Originally Posted by Donger
And again, refinery maintenance isn't the only reason for the recent increase. I don't know why you continue to claim that it is (and that I claim that it is).
I suspect that you are allowing your emotions to cloud your objectivity.
As an FYI for those of you that think the maintenance is just made up:
My company is a structural consultant for a couple of oil refineries and, as Donger stated, each year they have a "turn around" period in their production in which the refinery is essentially shut down to do maintenance and to convert their systems over to different blends.
I am only a structural guy so I do not know (or care to) learn all of the chemistry and mechanical engineering that it takes to refine oil into its multiple states, but needless to say it is more than just flipping a switch as some of you seem to think.
Also, my understanding of why they do not build more refineries is due to the EPA/Government. They have placed so many restrictions on what has to be done that it is not feasible to build a new refinery when the older ones are just "grand fathered" in that they would also have to compete with. The EPA is also part of the reason it costs so much to refine oil now as compared to 10-15 years ago when they did not have the restrictions. (All of this information is from the refinery guys themselves and does not mean that I agree (or disagree) with their opinions.)