jlf1961 -> RE: EPA Rules Force Shell to Abandon Oil Drilling Plans (4/28/2011 4:20:36 PM)
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ORIGINAL: Edwynn Yes, and that being the indication that the EPA requirements are not the limiting factor in any significant way. We hear the crying from the oil industry that they can't afford to do as every single other industry is required to do in meeting EPA standards where that comes in to play. Please. The 15 highest net profit companies in 2009 are crowded around the $12 billion to $14 billion mark, a good many of them being oil companies. ExonMobil dwarfed them all in having more than double the net profits ($29 + billion) of the next closest company. But they can't build a refinery because it's all the EPA's fault. In reality just saying that they don't want to pay for it, even in the midst of year after year record breaking profits. Except it wasn't the EPA's fault for the oil companies themselves shutting down all those refineries as soon as they bought them. Right. Lots of companies with far less market capitalization and net profits have to play by the rules. The oil companies have been given a free ride far more than other industries for decades. You can argue for more of the same if you like, but some of us are actually paying attention here and have had enough already. In 2009 through 2010, as revenue streams in the oil business dried up and profitability of oil refineries fell due to lower demand for product and high reserves of supply preceding the economic recession, oil companies began to close or sell refineries. Due to EPA regulations, the costs associated with closing a refinery are very high, meaning that many former refineries are re-purposed. It costs 2 to four billion dollars to build a new refinery. Given the information above about current trends in the industry, shutting down old refineries cost money to meet EPA standards, there is toxic waste clean up, which is inevitable in this particular part of the oil industry. When PRIDE Refinery shut down here, and it was a small refinery, it cost a few HUNDRED million dollars just in environmental clean up costs. Alon USA Refinery near Big Spring Texas has been trying to get permits for an expansion of the Refinery for years, the problems being the EPA.
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