Booming oil production extracted from numerous shale plays in the United States is outpacing pipeline expansion, leaving high-production companies, like those in the Bakken, struggling to find pipeline takeaway capacity. The lack of takeaway capacity is causing regional U.S. oil price discrepancies as a result. In this video, Motley Fool energy analyst Joel South tells us about a new deal from Phillips 66 (PSX 0.18%) in which the company will move oil to the East Coast using rail carts, supplying its East Coast refiner in Trainer, Penn., with cheaper West Texas Intermediate benchmarked crude.
Phillips 66 Moving Cheap Oil to East Coast Refiner
By Joel South and Taylor Muckerman – Jan 10, 2013 at 2:49PM
NYSE: PSX
Phillips 66
Market Cap
$56B
Today's Change
(-0.18%) $0.25
Current Price
$137.95
Price as of November 7, 2025 at 4:00 PM ET
This oil transport deal could be a big win for Phillips 66.
About the Author
Joel is a University of Washington graduate and covers energy and materials for The Motley Fool. Be sure to follow The Motley Fool's energy and materials Twitter for all your energy and materials coverage.
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