KXL dead!

ExpressLane said:
That is because Canada is producing more crude than they can ship thus they have an over supply.
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No, they can ship it just fine...that's why we have an oversupply.

What they want to do is remove that oversupply so they can make more money.

Basically, they want to divert the flow of the sludge to the Gulf Coast, where it can be sold at a markup, from the US MidWest, where it is currently sold at a discount.

So why do you want US refineries in the Midwest to pay more for the sludge?


They will ship more thus raising their revenues from 2 to 3.9 billion.
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No, you seem functionally illiterate.

They aren't going to ship more, they're just diverting to where the oil is being shipped so they can charge more for it.

That's what "strengthens pricing" means.


The resultant increase in oil to Texas will decrease prices in the US.
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No, it won't. They are literally telling you that it won't. They are telling you that the price of crude will INCREASE if it gets diverted to the Gulf.
 
LV426 said:
No, they can ship it just fine...that's why we have an oversupply.

What they want to do is remove that oversupply so they can make more money.

Basically, they want to divert the flow of the sludge to the Gulf Coast, where it can be sold at a markup, from the US MidWest, where it is currently sold at a discount.

So why do you want US refineries in the Midwest to pay more for the sludge?




No, you seem functionally illiterate.

They aren't going to ship more, they're just diverting to where the oil is being shipped so they can charge more for it.

That's what "strengthens pricing" means.




No, it won't. They are literally telling you that it won't. They are telling you that the price of crude will INCREASE if it gets diverted to the Gulf.
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They have too much oil for their refining capacity and even if they refined it all they couldn't sell it without shipping it long distances. If they ship it to Texas they will get prices based on Texas crude which is higher than they can get for it in sparsely populated Canada and the upper northwest which has its own oil supply in Montana and North Dakota. They have too much so they have to sell it cheap so they want to sell it where they can get a fair market value for it. Oversupply in Texas would not drive prices up in Texas. That is just stupid. :rofl2:
 
Truth Detector said:
Only dumb, uneducated cunts think that increasing supply increases prices. :palm:
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It's not increasing supply you stupid idiot, it's diverting the supply to a market where it can be sold at a higher price because of demand.

Since the sludge can only really go to one place right now (US MidWest PADD II), it's oversupplied because it can't get to other markets from the US Midwest because of geography.

So US Midwest refineries have the leverage to dictate pricing discounts because TransCanada can't sell the same volume of oil globally because of the geographic limitations of US PADD II.
 
Truth Detector said:
[The dumb ignorant cunt cant comprehend what they are reading. They go on to SPECULATE that This is expected to increase the price of heavy crude to the equivalent cost of imported crude
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Exactly! So TransCanada is telling you in explicit terms that the goal of KXL is to increase prices of Tar Sands Crude because it's currently oversupplied to the region.

Why is that so hard for you to understand?
 
Truth Detector said:
hat is highly doubtful based on the FACT that refining "heavy" crude is much more expensive than "sweet crude."
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So now you're switching to refining costs since your whole transportation costs bullshit was utterly annihilated.

It's not doubtful to TransCanada...in fact, it was the entire justification for KXL, that's why they said what they said in the permit application.

Why are you arguing with TransCanada? They're the ones telling you that it will increase costs for US consumers. Your beef is with them, not me.


'The only thing that is correct in this analysis is that there will be a larger market thus resulting in increased revenue, not increased prices
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OMFG...wow you are dumb.

Larger market = more demand, and more demand = higher prices.
 
LV426 said:
Exactly! So TransCanada is telling you in explicit terms that the goal of KXL is to increase prices of Tar Sands Crude because it's currently oversupplied to the region.

Why is that so hard for you to understand?
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So when it is added to the supply were already have in Texas it will drive prices DOWN. :laugh:
 
LV426 said:
They literally say that in the *first fucking sentence*:

Existing markets for Canadian heavy crude, principally PADD II, are currently oversupplied

What a fucking idiot.
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You dumb cunt; you can't have OVER supply in a market where gas prices are higher than the US. Learn to comprehend what you read asshole.

The price of a gallon of gas in Canada is about $4.16 per gallon.

$1.33 liter 3.7854118 to a gallon

0.82650759 US Dollars
 
LV426 said:
So now you're switching to refining costs since your whole transportation costs bullshit was utterly annihilated.
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You dumb ignorant cunt; the cost of piepline transprt is far cheaper and safer than truck or rail. In addition, you can't have gas without refining it dumbass. If you don't look at the cost to refine, you're not looking at anything. Be less of a triggered dumb cunt. :palm:
 
ExpressLane said:
They have too much oil for their refining capacity and even if they refined it all they couldn't sell it without shipping it long distances. If they ship it to Texas they will get prices based on Texas crude which is higher than they can get for it in sparsely populated Canada and the upper northwest which has its own oil supply in Montana and North Dakota. They have too much so they have to sell it cheap so they want to sell it where they can get a fair market value for it. Oversupply in Texas would not drive prices up in Texas. That is just stupid. :rofl2:
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:thumbsup:
 
ExpressLane said:
They have too much oil for their refining capacity and even if they refined it all they couldn't sell it without shipping it long distances.
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No, the US refineries in the Midwest are not over their capacity at all.

That's why it's discounted, you fucking nitwit.

And why do you give a shit about the profit margins of a foreign company?


If they ship it to Texas they will get prices based on Texas crude which is higher than they can get for it in sparsely populated Canada and the upper northwest which has its own oil supply in Montana and North Dakota.
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Lord, please send me Conservatives who can fucking read!

They "ship it" to the US Midwest RIGHT NOW. That's why they said that US Midwest refineries in PADD II are getting price discounts.

Why do you want to remove that discount, which would cause US refineries in the Midwest to pay more for the Tar Sands crude they currently get at a discount?

What sense does that make for the US?
 
ExpressLane said:
They have too much so they have to sell it cheap so they want to sell it where they can get a fair market value for it.
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Why do you give a shit about a foreign company's profit margins?

Why do you want US consumers to pay more for energy?

Why do you want to remove the oversupply of Tar Sands crude we currently enjoy?

Why do you want US refineries to pay more for Tar Sands crude?

Why do you want those cost increases to be passed on to consumers?


Oversupply in Texas would not drive prices up in Texas.
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There would not be an oversupply in Texas because the crude can get access to the global market at the Gulf, while it can't get access to the global market in the middle of Illinois. Unless you know of some international ports in Springfield, IL...?
 
LV426 said:
Larger market = more demand, and more demand = higher prices.
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You dumb cunt; larger market equals more supply. Supply does not drive demand. If supply exceeds damand, prices go down. If demand exceeds supply. prices go up. Right now, prices are going UP because of.....wait for it.....INCREASED costs and TAXES. It's not about supply right now. Demand is down. Way down. MORON.

Increase in Supply
When supply increases, accompanied by no change in demand, the supply curve shift towards the right. When supply increases, a condition of excess supply arises at the old equilibrium level. This induces competition among the sellers to sell their supply, which in turn decreases the price.

This decrease in price, in turn, leads to a fall in supply and a rise in demand. These processes operate until a new equilibrium level is attained. Lastly, such conditions are marked by a decrease in price and an increase in quantity.
 
LV426 said:
No, the US refineries in the Midwest are not over their capacity at all.

That's why it's discounted, you fucking nitwit.

And why do you give a shit about the profit margins of a foreign company?

Lord, please send me Conservatives who can fucking read!

They "ship it" to the US Midwest RIGHT NOW. That's why they said that US Midwest refineries in PADD II are getting price discounts.

Why do you want to remove that discount, which would cause US refineries in the Midwest to pay more for the Tar Sands crude they currently get at a discount?

What sense does that make for the US?
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Okay, what happens if the supply of crude goes down due to shutting down XL? That's right, prices increase. What happens if the XL pipeline gets built? You have MORE supply and prices go down. Was that too hard for your microscopic brain to process.

Supply does not increase demand without other factors to drive demand shit-for-brains.
 
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