Buffett And Icahn Together In Oil Transport Boom

Warren Buffett’s Union Tank Car Co., is earning serious dividends on the firm’s contracts to haul shale oil, according to a report from Bloomberg. Union Tank specializes in providing rail transport services to firms, particularly those that need to transport liquid cargo. Hydrofracking has vastly increased the potential for oil and natural gas production in the mainland United States, but it also changed the traditional location of oil sources. The lack of pipelines to the new hotbeds of production has resulted in an economic profit for the rail companies able to haul the oil to treatment facilities. The new logistics…