If Dakota Access pipeline doesn’t pass environmental review, oil could derail agriculture transport
Sunday, August 13, 2023

Any potential shutdown of the Dakota Access oil pipeline could literally derail grain and ethanol shipments in the Midwest, potentially costing the agriculture industry billions of dollars. 

For years, a pending environmental impact statement has been hanging over the Dakota Access Pipeline, which takes oil from western North Dakota to a terminus in Illinois.

Some fear the outcome of the EIS could affect the operation of the pipeline.

A study by Elaine Kub, a commodity market analyst in South Dakota, showed the Midwest agricultural sector could suffer more than $3 billion in annual losses.

"A sudden shift like that would be really detrimental to rail congestion," Kub said in an interview.

Her analysis of the Dakota Access impact came out in July, examining what would happen if the oil flowing through the Dakota Access pipe stopped.

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