oldfolkdancer

Oil Refiners Grab a Stake in the Ethanol Business

The irony of ethanol enhanced gasoline is that a vehicle get less MPG using it.

Valero Energy Q1 2009 Earnings Call Transcript

Valero transcript shows management working hard for shareholders. Studying existing and proposed government regulations and modifying business operations accordingly.
An important quote: "You are not going to hear from Valero that the golden age of refining is around the corner again. We're down to the business as we as a management team know it and that is to slug it out. And that's what we are doing, but we will provide a good opportunity, things happen, we'll have some better years, and we'll have sone years that aren't quite as good.
......................... [gasoline]does give you an opportunity to get around. So, our business adds value [and] as long as we add value we're part of the society here. " Bill Kesse

U.S. Refiners Squeezed by Collapse in Crude Oil Discounts

I'm long on VLO. When people look at Valero they only see a crude refiner. They are also the largest US retailer now. Their retail outlets are combined with convenience stores selling basics. There is a wind farm in the works which will be subsidized. Rather than fighting government regulations they go along with them. Management feels ethanol blending is here to stay so they bought ethanol processors at fire sale prices.
How many people do you know that drive battery operated cars?

Valero Energy: Still Too Much Uncertainty for a Clear Call

Well thought out article but it omitted Valero's exporting of product it doesn't sell in the US. Gradually the price of refined product will move up in proportion to crude price. Right now Valero is "eating" a lot of the cost of purchased crude.