jesus christ....its up a f***ing quarter today. they halted because it reached the day limit....we are screwed.
We've got to build more refineries in this country. The environmentalists need to take a back seat on this issue - they're to blame for not building a new one in the past 30 years. Even if Bush agrees to release some of the strategic petrolem reserve we won't have the capacity to refine it if some of the refineries sustained damage from Katrina.
Investment tips... Long Term (<5yrs) - VLO (gasoline refinery) Damage assessments are still coming in. #1 just bought #2 to be completed Thursday. Watch for a drop after that but a split is coming soon that should give it some pop followed by another drop. LT though this stock should make in the $16 per share range next year which is insaine. Short Term (<1yr) - HD (Home Depot) There are quite a few do-it-yourselfers out there that just got a long list of projects.
HD and LOW aren't getting any bounce at all. they were weak before and got even weaker. there is a small cap stock called CLHB, Clean Harbor. check it out....does everything that NO will need to clean up.
Thank you. Finally someone that knows why we can keeping wildcating or opening up reserves and it will not make a difference. Laws are so stringent now days that its almost impossible and completely cost ineffective to open up refineries.
I agree, but I have a feeling its not just environmental reasons 100% thats stopping them. Its not in their best interests to do it and lower the price, collusion amongst them. I think gov needs to be involved to make sure there is enough capacity and work through the red tape to get it done. Should have been done long ago, 30 yrs since the last refinery was built and we have to live them doing maintenance whenever they want. Almost, like the Enron saga...
Personally, I'm not in HD - all in VLO. I do think that it should bounce once next earnings. I just don't see how they won't make more money than they thought. But hey - I bought into a company that only made that special fax paper thinking how can they lose money. They did and so did I when fax machines came out that used regular paper. Still love VLO though. It will move up and down but the trend is up.
Actually its in the best interest of the smaller guys to open them for sure since it could bring in so much additional profits. If you are selling 10 gallons at a 5 cent profit but could sell 20 at 4 cents, you would jump at it (overall $ go up). On the other hand, someone thats massive has no interest in seeing a lot of supply since before they were selling say 200 gallons at 5 cents and now would sell 210 gallons at 4 cents (so making overall less $)
How much have refinery spreads increased? I'm sure they are up, but I bet they have not increased anywhere near as much as the impact of oil price increases. Therefore, in many ways additional supply is more important just refinery capacity.
Wrong. The reason we haven't built any new refineries is because just 7 years ago oil traded at around $8/barrel. The Oil companies would never have paid for the refinery when the prices were low. But, everyone needs a scapegoat. Oil is rising for a magnitude of reasons. And quit complaining, this is Capitalism.
Can you cite studies? If true, it's bizzarre since the average refinery spews 10,000 gallons of waste daily anyway. 'Oil refineries use and release toxic chemicals that can harm human health and the environment. An average-sized refinery releases over 10,000 gallons of waste daily to air, water and land, not including accidents. Refinery waste includes benzene, a known carcinogen (reported by virtually all refineries); toluene, which may cause central nervous system dysfunctions; xylene, a neurotoxin that may also cause respiratory problems; and heavy metals such as mercury, which harm ecosystems. ' http://www.environmentaldefense.org/article.cfm?ContentID=1178
The fact remains that even know it is not worth it to build, staff and finance a new refinery. In the short run it will be profitable, but what about in the long run? Forbes hit the nail on the head, and ExxonMobile, Shell and the others know it. Oil is up on pure speculation. And it is going to come back down, just like it did in the 70s and 80s. Doomsday analysts will always exist, but that is no reason to believe them.
The way this worded makes me a little suspicious. Benzine, Xylenes and Toluene are major end products of refineries which then use them as precursors for plastics and synthetic fibers, as well as industrial solvents. In otherwords, people try to make these things. If you wanted to, I suppose you could call everything from the refinery, including gasoline toxic waste products that leave by air,water, or land, like in trucks, boats, and airplanes. Gasoline is a combination of octane and heptane and other trace crap. The MSDS for gasoline states that it causes cancer, is a respratory irritant, and causes central nervous system depression and polyneuropathy. Sounds pretty scary, like the way they describe benzine and tolulene. The following wikipedia pages will give you a slightly more circumspect view of tolulene, benzene, and xylenes. Wikipedia page on Toluene Wikipedia page on Benzene Wikipedia page on Xylenes Almost every immediate post WWII advance in materials science has it's roots in one of these things. If you want to eliminate them, start by removing all of the plastic from your life and replacing it with bakelite, which itself is the result of the end product of two pretty nasty chemicals, carbolic acid and formaldehyde. BTW, for the record, to reach 1970's prices when adjusted for inflation, the price will need to excede $90/barrel for light, sweet crude.
The strangest thing about all of this is the (strong) theory that - oil is naturally produced by the earth, is not a fossil fuel, and is not finite. _______________ The evolution of multicomponent systems at high pressures: VI The thermodynamic stability of the hydrogen–carbon system: The genesis of hydrocarbons and the origin of petroleum link __________ Sustainable oil? About 80 miles off of the coast of Louisiana lies a mostly submerged mountain, the top of which is known as Eugene Island... link