Feds fine three for CBR mislabeling

Written by Douglas John Bowen

Three companies have been fined by federal officials for mislabeling crude-by-rail (CBR) oil produced in the Bakken Shield formation in North Dakota, which was shipped by rail.

Hess Corp., the Whiting Oil and Gas Corp., and Marathon Oil Corp. were singled out by innspectors from the Pipeline and Hazardous Materials Safety Administration (PHMSA), in cunjunction with the Federal Railroad Administration (FRA), The New York Times reported Wednesday, Feb. 5, 2014.

Inspections, which began last summer following the derailment and explosion July 5, 2013 in Lac-Mégantic, Quebec, found that 11 of 18 samples from cargo tanks were not properly identified and labeled.

Officials say inspectors plan to expand the scope of observations involving oil products being shipped, including corrosiveness, hydrogen sulfide content, and gas concentrations.
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