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RE: MAP Detroit Refinery & Coker Project delayed

Home Forums Coking News: DCU, Upgrader 1.Coker (registered users only) MAP Detroit Refinery & Coker Project delayed RE: MAP Detroit Refinery & Coker Project delayed


Charles Randall

This type of information is ~good for tracking projects & changes to status or timing but shouldn’t be used for research or as confirmation of the project status.  These tables are put out by Reuters, Dow & Bloomberg and the data is arranged in several formats for regional views like:  this Table Projects, or Table on Maintenance & Project work or Table Construction projects status. 
I post a Routine Maintenance & Project status version on Maintenance News blogg.  These are put together by journalist / news types and they usually are distilling down 1-2 page news release to couple line items – so oversimplification is part of process. Just because a project has not moved out of planning and into EPC/FEED stage does not mean it has been dropped/canceled or eleminated. Many of cokers now going in have been on Long Term Plans since 1998 in regions like Mexico/Brazil /Canada/India & ect.  I find investment types, EPC contractors, project vendors & news reporters are all “NOW” junkies and if it isn’t happening in next 3 years it doesnt count and nothing is further from the truth.
Also take the split of Upstream & Downstream is being talked about by several refineries now – it is a “Stupidity Cycle” that lot integrated companies get pulled into because current group of New Exec’s drink their own koolaide and start believing that profits are really generated mostly from Upstream and forget that it is only the case because the combined profits are taken their to fully utilize the depletion, tax & cost deductions. Whenever companies split & eventually dispose of downstream assets – their profits often drop for both asset groups and the exposure to volatility is amplified becasue they are both new players that are often risk adverse, used to captive consumers & captive supply.
The current cycle of crude supply shortage sets up the false premise that all consumers are in a captive market; but the truth is that most of the large global oil companies have refineies that are complex and utilize heavy & non-conventional crude supplies that cannot be utilized (profitably) by Simple or Cracking refineries and hence have tendcy to oversupply…….watch Venezuela choke on thier heavy crude sales now that the market price has returned to fundamentals & speculation is being driven out of price of all commodities.

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