Delta interested in buying an oil refinery?

[nwaf16dude]

Airlines have a bad track record when it comes to investing in non-core businesses, even travel related businesses like hotels and rental car companies. DAL just made an investment in Pinnacle to keep those RJ's flying, that's not a rumor.

They made an investment that prevents us from losing feed in a quick, uncontrolled manner, while simultaneously taking feed away from our largest competitor. I'd prefer that we just pick up the flying ourselves, but it was probably a good move, considering the other options immediately available.

 

[C-21Pilot]

Interesting article

http://news.nationalgeographic.com/...04-northeast-us-refinery-closures-gas-prices/

 

[On Your Six]

Yes I do. My family has been in the industry for a long time. The Philly plant didn't have access to the oil they needed. I did have it backward...they are set up only for light sweet crude. But there is none close by.

Transporting the crude in was way too expensive. Had to tanker it in..

Here's a big red flag for you..

When other refineries aren't even interesed, there is a major, major problem with the operation. That's all you really need know.
.
RF

There are 4 interested parties. One airline, 3 oil companies, according to that article.


Godspeed!


The OYSter

 

[outerlimits]

They made an investment that prevents us from losing feed in a quick, uncontrolled manner, while simultaneously taking feed away from our largest competitor. I'd prefer that we just pick up the flying ourselves, but it was probably a good move, considering the other options immediately available.

If you think that is a good move, just wait till delta farms out the DC -9 and airbus flying .

You will really think that's a good move.

 

[nwaf16dude]

If you think that is a good move, just wait till delta farms out the DC -9 and airbus flying .

You will really think that's a good move.

You couldn't be more wrong about what I think about more outsourcing.

 

[MD11Drvr]

I've seen JetA run interchangeable with diesel in large over the road trucks. FedEx did it years ago at a particular station. The only reason they stopped was the concern about failing to pay taxes that one pays at the pump.

In my experience you can run Jet A in a diesel engine however expect problems with seals if running a traditional type injection pump. Not sure how a common rail system will deal with it but I will guess better than the old style pumps. Jet A has a less oil in it and is a key lubricant in the pumps. I have seen it done but the smart folks added Murphy's mystery oil to the jet A to give some lubrication properties for the seals and o rings. As for diesel in a jet engine it does not run well, but will run. Higher EGT's and smutted up compressor section. When I was in the Army saw it happen on a AH-1 which was mis fueled at the POL site. We had to change the engine and flush all fuel lines. I am sure if it was truly interchangeable it would be common practice.

 

[On Your Six]

Just saw it on CNBC too. The commentators on there said they thought it was smart, and called it a possible "game changer.". But, Redflyer says "don't do it!". I always wondered what John Ross Ewing (JR Ewing's son) did after he grew up at South Fork, and it now appears he might be flying Orange and Blue 737-300s over Western Texas.


Godspeed!


The OYSter

 

[redflyer65]

I never said not to do it, but usually the others are right about a company getting outside of their core business. Maybe they should go for it.

This a different refinery than the Philly Sunoco one.

PS..I'll fly a 300 around West Texas all day, everday if it makes money. Now that's simple.

 

[redflyer65]

Just saw the latest CNBC piece. Said Delta would have to sink 90 million into it so it can be up to code....and thats every four years.

Looks like they might be looking for a way to spend OYS's payraise she was counting on. Ooops!

 

[On Your Six]

Just saw the latest CNBC piece. Said Delta would have to sink 90 million into it so it can be up to code....and thats every four years.

Looks like they might be looking for a way to spend OYS's payraise she was counting on. Ooops!

But DL is making billions when you guys are making millions. And, if it saves more than $90 million over 4 years, could it be worth it? You bet Shirley! Enjoy the high pay over Western Texas while you can.


Godspeed!


The OYSter