X

Sign Up To Our Free Newsletter

Join Now

Thanks for subscribing to our free newsletter!

ERROR

  • 3 minutes Texas forced to have rolling brown outs. Not from downed power line , but because the wind energy turbines are frozen.
  • 7 minutes Scientists Warn That Filling The Sahara With Solar Panels Is A Bad Idea
  • 11 minutes United States LNG Exports Reach Third Place
  • 15 minutes Joe Biden's Presidency
  • 13 hours U.S. Presidential Elections Status - Electoral Votes
  • 9 hours Interest article about windmills and waterwheels in Europe
  • 4 hours Retired RAF pilot wins legal challenge over a wind farm
  • 1 day Speaker Pelosi, "Tear Down This Wall"
  • 2 days NYT:  The Supreme Court’s order (Re:  Trump’s tax returns) set in motion a series of events that could lead to the startling possibility of a criminal trial of a former U.S. president
  • 20 hours Chance for (Saudi)Arabian peninsula having giant onshore Gas too?
  • 1 day Disaster looming in UK offshore wind power
  • 2 days Wednesday Nikki Haley reached out to Trump for meeting at Mar-a-lago. Trump said No ! You blew it Nikki . . .
  • 17 hours “Cushing Oil Inventories Are Soaring Again” By Tsvetana Paraskova
  • 2 days Scientist clone endangered Black Footed Ferret from Ferret that died 30 years ago . It's a 100% exact genomic match.
Dan Dicker

Dan Dicker

Dan Dicker is a 25 year veteran of the New York Mercantile Exchange where he traded crude oil, natural gas, unleaded gasoline and heating oil…

More Info

From Shale Boom to Refinery Revolution: Massive Investment Potential

Note: Following on from last week’s Inside Investor report with Dan Dicker where he mentioned CVR Refining (up over 10% since last Friday.) We decided to spend some time looking into the refining sector for additional investment opportunities.

If 2012 was a great year for refiners and anyone who invested in them, 2013 is shaping up to be more profitable than even the most astute analysts predicted. In September 2012, combined crude oil and condensate production in the Eagle Ford play topped 700,000 barrels per day; by 2016 we could be looking at as much as 1.6 million barrels per day. All this crude has to go somewhere.

But let’s not bury the lead. Follow this trail … Valero Energy Corp (NYSE:VLO) sends crude oil extracted in the Eagle Ford Texas shale play to its refineries in Quebec City.

This is very significant on two levels. It means that:

•    production is growing to the point that it is starting to replace refiners’ more expensive overseas imports
•    if Valero is refining Eagle Ford crude in Quebec City, this means it got special approval from the US federal government to EXPORT US crude

The Year of the Refiner

What is happening, in effect, is that the shale boom is ramping up production to the extent that refiners are drowning in supplies of light sweet crude to the point that they no longer have to import as much from West Africa, Mexico and Venezuela, for…




Oilprice - The No. 1 Source for Oil & Energy News