Rail shipments of liquefied petroleum gas (LPG) out of Western Canada are weeks behind schedule as local railroads struggle with crew and locomotive shortages.
“We are not getting cars out in a timely manner,” said one distributor who loads product out of Alberta.
He estimates that as many as 25% of his cars were not loaded in November. Producers have tried to help by allowing November barrels to be loaded in December and they have offered product at November prices. Other sources confirm the delays.
LPG industry sources say delays have been seen on both Class 1 railroads serving Western Canada – the Canadian Pacific Railway (CP) and the Canadian National Railway (CN).