Enbridge has gotten a judicial approval to reopen its 400,000-bpd Line 5 crude pipeline. A Michigan judge ordered Enbridge to shut both Line 5 East and Line 5 West Lines due to a structural problem. The pipeline ships crude oil from Western Canada to refineries in Ohio, Michigan, and Ontario. Despite the restart, refineries in those regions and Canada are expected to kee runs low amid low oil demand.
The latest data from the Energy Information Administration (EIA) showed refiners in the US Midwest cut runs to 81.5% of capacity in the week ended June 23, from 81.9% in the previous week. The region’s crude runs fell 16,000 bpd to 3.402 million bpd last week and expected to drop further this week.
Canadian refineries in Sarnia, Ontario, have also lowered runs. Data from Canada’s energy regulator showed Ontario refinery runs decreased to 295,000 bpd, with refinery utilization at 72%. Sarnia is home to Imperial Oil’s 120,000 bpd facility, Shell Canada’s 75,000 bpd refineries, and Suncor’s 75,000 bpd plant.
