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Richard Branson To Build Oil Refinery


Jason

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HOLA441
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HOLA442
Of course, I think its being rebranded 'Virgin Where? '

:lol:

or virgin whore store for boodylicious babes who love to flaunt it reet out. thrusting navels. the subtle triangle of an edible thong. peeking like the green triangle from a box of quality street. or perhaps the seethrough bra and panties with the white washing label showing through. take me sideways and keep to 40c no spin.

is that also crumbs in the bed ? classic.

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HOLA443
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HOLA444
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HOLA445

I'll give the man credit for one thing.

If you take a domestic flight in Australia then there are basically 3 choices - Qantas, Jetstar (an offshoot of Qantas) or Virgin Blue.

Bottom line is that Jetstar keeps rescheduling flights to the point where it's unusual NOT to be delayed. And we're not talking about 30 minutes - quite often they move the flight by a few DAYS to the point that, if you are unlucky, you'll arrive at your destination AFTER you were meant to fly home. Totally ******* useless.

Qantas - Not too bad if you've got plenty of $ but beware if they delay a flight. They wont bother to call you because 7am is just way too early for them. Better to have you turn up at the airport an wait ALL DAY. They're getting more and more like Jetstar. And increasingly Qantas is scrapping regional routes and leaving them to Jetstar. I live in an area affected by this so they're of limited use now.

Virgin Blue - Reasonably cheap and ON TIME. They actually fly the plane in the same week, and for that matter on the same DAY, that you booked. In fact, every time I've travelled with them they have been within 1 hour of the scheduled time which is massively more useful than arriving on Sunday when you booked for Wednesday as happens with Jetstar. AND they don't get you to line up like school kids for an hour while they're running late like the other mob does either.

So I hope Virgin keeps flying planes in Australia otherwise we're basically stuffed if we want to get anywhere without paying a fortune and travelling business class with Qantas. Sad but true.

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HOLA446

Vinny wrote that refinery capacity had an effect on current fuel pricers. I fail to understand why a refinery bottleneck would impact crude oil prices in any way but negatively, since the refinery blockage would cause crude inventories to pile up and that would mean a reduction in shipments, and hence a reduction in demand for crude.

Surely the issue of refinery capacity is something of a red herring? I can't understand how a downstream operation would impact upstream prices upwards. A refinery block would lead petrol/diesel prices to go up, because that shortage is downstream. I'd actually expect to see a big divergence between petrol and crude oil prices if it was principally a refinery problem.

Don't know what to make of Peak Oil issue, except that the technical case looks pluasible. Trouble is, it rests on numbers that are estimates. Nonetheless, the peak in discoveries was more than forty years ago, so I'm not inclined to dismiss the PO as just another scare story.

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HOLA448

Looks like Ryanair have a lot to learn from the people they have copied::

Southwest Airlines, however, never seems to tire of making correct choices. "We have a good hedge in for 2005," says Laura H. Wright, senior VP-finance and CFO. "We've got 80% hedged at about $25 barrel; relative to the forward curve for '05 that looks very good." It gets worse for competitors: "60% hedged in '06 at $31 and 45% hedged for '07 at $30." That, for now, is the extent of Southwest's ability to hedge.

:)

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HOLA449
Vinny wrote that refinery capacity had an effect on current fuel pricers. I fail to understand why a refinery bottleneck would impact crude oil prices in any way but negatively, since the refinery blockage would cause crude inventories to pile up and that would mean a reduction in shipments, and hence a reduction in demand for crude.

Surely the issue of refinery capacity is something of a red herring? I can't understand how a downstream operation would impact upstream prices upwards. A refinery block would lead petrol/diesel prices to go up, because that shortage is downstream. I'd actually expect to see a big divergence between petrol and crude oil prices if it was principally a refinery problem.

Don't know what to make of Peak Oil issue, except that the technical case looks pluasible. Trouble is, it rests on numbers that are estimates. Nonetheless, the peak in discoveries was more than forty years ago, so I'm not inclined to dismiss the PO as just another scare story.

I agree, prices went up after Katrina and now they are back down even after all the spew from the ANALysts saying the sky is falling and these oil platforms will be off line for years!!!

Hmmm I bet they were loaded up on oil and refining stocks.

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HOLA4410
I agree, prices went up after Katrina and now they are back down even after all the spew from the ANALysts saying the sky is falling and these oil platforms will be off line for years!!!

Hmmm I bet they were loaded up on oil and refining stocks.

Here I’ve extracted, added to and modified bits and pieces from my prevous posts to try to illustrate the effect of refining capacity on crude oil price. My argument may not be well ordered or clear. (Anyone who agrees with me and can provide a better explaination – please do so). But here goes anyway:

"Why does a lack of refining capacity cause crude oil prices to rise pray tell?"

There are a few reasons for this. At face value none, indeed logic would suggest the opposite to be true.

Fears of a shortage of one component, e.g Gasoline, has added to the worry about supply in general. This is not (perhaps) a physical link, just the emotion of the market. What is seen are concerns, shortages, bottlenecks etc. A driver for crude increases?

Take the case as being made that there may be crunch coming sometime with crude supply itself. This is also driving the price, but it is supported by the price that the consumer is, right now, willing or able to pay for the refined products. If there is a shortage perceived (or real) of these products themselves then their price goes up and this means the refiner can now afford crude at higher prices - there is the support for the higher crude cost.

The crude producer is able to sell at a higher price because of higher refinery margins caused by shortages, expected or real, of individual components. Refineries are also able to make more money from raffinate steams at the moment. Without these higher margins refineries could wind down, produce less, thereby putting downward pressure on crude prices. We are not seeing this. It is a vicious circle as it stands.

And I don't see the rises in crude price as being caused by "peak oil" to any great extent (at the moment). Rather than a lack of refining capacity should demand continue to rise. Crude inventories have held up, and look robust. The concern is having refined products, this is the main is driver in the price. At the moment this would mean concerns in getting enough gasoline to the consumer. Towards the end of the year all eyes will be on heating oil supply/demand (perhaps the the oil stocks are still worth buying / holding). Refineries are flat out. They can not pump more finished product.

The other way of looking at this is what do you think would happen if the refined products had a large reduction in price? Can you see crude falling?

I hope this helps Messy and Malco? Golden shower, I believe Ryan air have already hedged at $60 – but they may have done so again at $70 ??????

Just bear in mind, as I have said before, crude oil itself is virtually worthless if you can't refine it.

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HOLA4411
Guest magnoliawalls

Vinny wrote that refinery capacity had an effect on current fuel pricers. I fail to understand why a refinery bottleneck would impact crude oil prices in any way but negatively, since the refinery blockage would cause crude inventories to pile up and that would mean a reduction in shipments, and hence a reduction in demand for crude.

Surely the issue of refinery capacity is something of a red herring? I can't understand how a downstream operation would impact upstream prices upwards. A refinery block would lead petrol/diesel prices to go up, because that shortage is downstream. I'd actually expect to see a big divergence between petrol and crude oil prices if it was principally a refinery problem.

I have been pondering this one lately - could it be because crude oil is not a homogenous product?

If heavy sour crude requires greater refinery capacity to process and takes longer, in the presence of a downstream bottle-neck, sweet light crude could still go up in price while the heavy stuff is offered for sale but not sold?

Is there any way to see charts of crude oil broken down by type and volume sold?

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