Profit from Canadian crude oil shipments to the Gulf Coast hits a two-year high

Golden Ten Data reported on April 9 that, due to transportation disruptions in the Strait of Hormuz, shipping Canadian crude oil to the US Gulf Coast has now become the most profitable opportunity in more than two years. According to Link Data Services and General Index, as of Tuesday's close, June-delivered Canadian heavy crude in the US Gulf Coast commanded a premium of $13.55 over the price for May delivery in Alberta, the highest since December 2023. This price difference is also the highest level since the expanded Trans Mountain Pipeline to the Pacific Coast began operations, which previously helped alleviate long-standing export bottlenecks that had led to deep discounts for Alberta crude. Refineries around the world are seeking alternative supplies after the Iran war reduced Middle East crude exports, thereby boosting demand for Canadian heavy oil. Despite the US and Iran announcing a ceasefire, the Strait of Hormuz remained largely blocked as of Wednesday.