Canadian Railways in 'catch-22' over Crude Shipments
Canadian railway operators see a lucrative opportunity to transport more crude oil to the United States as a rise in output force producers to find new routes to its southern neighbor. However, their need for long-term contracts and the pressure to move a surplus of grains in the country is making it hard to cash-in on the prospect. Canada moves about 95 percent of its oil by pipelines, which are currently full. A 20 percent rise in crude production in the past five years has increased pressure to find new ways to haul the commodity, with rail being the second cheapest alternative.
Brazil's Cosan 2014/15 Sugar Output Down
The sugar and ethanol division of Brazilian conglomerate Cosan SA said late Wednesday its sugar output in the 2014/15 season fell more than 9 percent from the previous season after drought crimped cane development. Raizen, the joint venture between Cosan and Royal Dutch Shell produced 4.08 million tonnes in the cane crop year that ended in March, down from 4.49 million tonnes the previous season. Raizen's ethanol output, the other component produced from crushing cane in Brazil, was up just over 1 percent at 2.06 billion liters over the same period, Cosan said in its quarterly earnings report.
Brazil's Cosan Ends Judicial Battle With ALL
Brazilian sugar and ethanol company Cosan SA Industria e Comercio in a securities filing Tuesday said it has resolved a pending judicial battle with America Latina Logística SA, a Brazilian railway operator. Cosan, whose Rumo Logistica unit recently agreed to a $4.7 billion merger with ALL, said all outstanding disagreements with the rail operator before the merger have now been settled. The two companies are now focused on completing the necessary steps required for the merger to get regulatory approval, Cosan said in the filing. (Reporting by Alberto Alerigi; Editing by Lisa Shumaker)
