The Supreme Court agreed on Monday to consider reviving a critical approval for a railroad project that would carry crude oil and boost fossil fuel production in rural eastern Utah. The justices will review an appeals court ruling that overturned the approval issued by the Surface Transportation Board for the Uinta Basin Railway, an 88-mile (142-kilometer) railroad line. Arguments will take place in the fall.
The rail line would connect oil and gas producers in rural Utah to the broader rail network, allowing them to access larger markets and ultimately sell to refineries near the Gulf of Mexico. Producers who are currently limited to tanker trucks would be able to ship an additional 350,000 barrels of crude daily on trains extending for up to 2 miles (3.2 kilometers). The railway is being pursued through a public-private partnership between infrastructure development and investment firm DHIP Group in Winter Park, Florida, and the Seven County Infrastructure Coalition, a body formed by eastern Utah officials.
Other proponents include oil businesses and the Ute Indian Tribe of the Uintah & Ouray Reservation. They have argued that the railroad would be a boon to struggling local economies and boost domestic energy production. The type of oil to be exported from Utah — waxy crude, which is semi-solid at room temperature — makes it more challenging to move.
Currently it's heated and shipped in insulated trucks. The oil's consistency, on the other hand, makes it less damaging and easier to clean up after spills, project proponents say. The Supreme Court decision to hear the case was cause for optimism for the stalled railroad's developers.
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