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Canadian study shows oil sands floats, dispelling earlier findings

Jun. 28, 2016 11:58 AM ETKinder Morgan, Inc. (KMI) StockKMI, CEO, COP, XOM, OVV, SU, SHEL, IMO, CNQ, ENB, PDS, TRP, HUSKF, CVEBy: Carl Surran, SA News Editor62 Comments
  • A Canadian government study yields a surprising result about what happens to oil sands crude in a freshwater spill: it floats, at least for a while, sinking more slowly than conventional oil, unless exposed to high temperatures and weathering.
  • The results may help dispel some concern that a spill of diluted bitumen would be more difficult to clean up, and help companies make the case for pipeline projects such as Kinder Morgan’s (KMI +0.9%) Trans Mountain expansion and Enbridge’s (ENB -0.1%) Northern Gateway pipeline.
  • The study follows a 2015 report by the U.S. National Academy of Science that showed diluted bitumen tended to sink quickly after being spilled in fresh water.
  • Among other relevant tickers: SU, ECA, CVE, CNQ, TRP, OTCPK:HUSKF, IMO, XOM, COP, PDS, CEO, RDS.A, RDS.B

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