Oh, no, Sam O, the tofuniks here in Whitefish are screaming their lungs out about oil cans going by. While driving to the meetings where they scream, of course.
KXL makes sense because the oil is heavy and the Gulf Coast can handle heavy goo (Venezuela). The bonus is keeping jobs and running out the life on existing refineries in the South while smoothing out the market as noted above.
The oil cans are not going away, however. There is a flexibility aspect to crude haul by rail, as it can be diverted or re-routed or started up much more easily with less commitment that digging a trench. KXL will mitigate the rail crunch, but not break Warren. What WILL break Warren's butt is a nice big flaming wreck in the worst possible spot.
That said, Megantic was an anomaly. I doubt there's ever going to be another single-man oil can train tied off on top of a hill. Ed Burkhardt learned he can only cut costs so much....
