* Bakken prospect has been hampered by lack of outlets
* NuStar joins other efforts to get the oil to market
HOUSTON, April 16 NuStar Energy LP (NS.N) has
unloaded its first rail shipment of Bakken crude oil from North
Dakota at a terminal in St. James, Louisiana, and plans to ship
up to 10,000 barrels per day, the company said in a news
The delivery of 5,000 barrels opens up an outlet for the
Bakken shale development, one of the hottest new oil production
prospects in the United States that has been hampered by a
shortage of pipeline capacity to market.
NuStar is working with BNSF, Union Pacific (UNP.N) and
Canadian Pacific (CP.N) railroads on the initiative, a NuStar
"The Bakken crude oil sources in North Dakota are of
critical importance to the United States oil and gas industry,"
NuStar President and Chief Executive Curt Anastasio said.
"We think there's a lot of potential to market this product
through St. James, so we have short-term and long-term plans to
increase the amount of crude oil that we can ship there,"
EOG Resources (EOG.N) last May announced plans to rail
Bakken oil out to Cushing, Oklahoma, the New York Mercantile
Exchange delivery point, and Enbridge Inc ENF_u.TO was
expanding its North Dakota pipeline system to be able to handle
The Bakken is largely a shale oil prospect, and the
downward dip in crude oil prices and lack of demand because of
the recession also were factors slowing its development, which
is more costly than conventional oil production, experts said.
But prices have been rising recently, improving prospects
for the Bakken area.
The NuStar shipment arrived by rail late last week and was
unloaded earlier this week, a NuStar spokeswoman said.
(Reporting by Bruce Nichols; Editing by Lisa Shumaker)