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Old 08-18-2012, 03:33 PM   #31
Frequitude
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Quote:
Originally Posted by Flames in 07 View Post
Massive large scale refineries are being built all around the world. They are choking off all these old simple ones. I don't know exactly what it would cost, but I do know it would generate margins that are astronomical compared to a typical refinery. Completely at the expense of Alberta producers.
No dude, it wouldn't. As SebC says only if BC were to ban bitumen shipments otherwise that AB discount disappears as soon as the pipeline opens. And even then it wouldnt make your crazy returns for long. Keystone XL, Seaway, line 9 and more are all going to chip away at this spread. You don't build a multi-decade multi-billion project on a short term arb.

Enough going back and forth endlessly though. Hit me up on PM if you want to banter further.
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