North America is finding more oil than it can pipe or ship. Investors and the general public alike now know the story about pipeline constraints; it’s in our [US and Canadian] newspapers every day. Right now, the Permian formation in west Texas has it, and Western Canada has it. The Bakken play in North Dakota had it in 2012. (And the Marcellus natgas formation in Pennsylvania has had it for almost 10 years!
According to Keith Schaefer, writing in Oil & Gas Investments Bulletin, there’s a unique solution–or at least a partial solution–to Canada’s problem, and that is: upgrading Canadian heavy oil.
One of the new technologies that Schaefer identifies as a potential solution to the partial upgrading of Canadian heavy oil is FluidOil’s VHTL.