Hi, All -
With oil reportedly now going for
-$37 a barrel – that is, producers with excess output on their hands
paying $37/barrel to have it hauled away, would it make economic sense for the C&TS to move all the available tank cars over to Antonito so they could be loaded with crude shipped in on the SL&RG, and then hauled back to Chama for storage adjacent to the loading dock until the price goes back up a year or three from now? IIRC, the capacity of the narrow-frame cars is roughly 6,000 gallons and the GRAMP
S cars are similar, so the gross income would be approximately 6,000 gallons per car / 55 gallons per barrel × $37 per barrel = about $4,000 per car, or over $32,000 gross if all eight currently operational cars could be used, plus the income from selling the oil eventually, minus the cost of two round trips – empty and full – from Chama to Antonito. Would this be worth the effort??
-
Roosso (MUY) Loco