Crude-by-rail is the only thing keeping the keystone pipeline from ever becoming reality. Why? Guess who is a major shareholder of CSX? Warren Buffet.
Not CSX. His investment group, Bershire Hathway, owns BNSF.
Rail shipments of crude from the Williston Basin began because existing pipeline capacity could not keep up with development and production increases. (As a matter of fact, all infrastructure was sorely taxed, from roads, gas processing facilities, feeder pipelines, service companies, and community related sectors like housing, health care, schools as well.)
But the main purpose of the Keystone XL is to transport crude from the Tar Sands play in Alberta south to refineries which handle heavy crude, and there was only going to be a little room for Bakken oil anyway. (100,000 bbls/day, about 10% of the production in the region).
Someone figured out fast that the next most economical way to ship the oil was by rail, and local investors put together the first loading terminal--others have followed.
Buffett's bunch just recognized a trend and bought into the shipper.
If I had to look for a motivaation by Othugga, it wouldn't be Buffett. He's cozying up to the Iraninas and they have a fairly heavy crude oil, as do the Venezuelans.
Keeping in mind that refineries are set up for a type and gravity range of crude, maybe he wants us to import that instead of the Canadian crude.