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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?


To: John Carragher who wrote (48730)9/9/2005 12:08:25 PM
From: energyplay  Read Replies (2) | Respond to of 206325
 
I don't remember jet fuel shortages pre 9/11/2001, or even in 2000 when business and pleasure travel were greater with a less fuel efficent fleet.

I would expect much of the 'shortages' to be related to very aggresive inventory management by financially challenged airlines.

The military use of jet might be the big hidden factor. There is high operational activity, very long distances, and mixed levels of efficency.



To: John Carragher who wrote (48730)9/9/2005 4:26:06 PM
From: Elroy Jetson  Read Replies (1) | Respond to of 206325
 
Yes there is a kerosene/jet-fuel shortage. This is why diesel now costs more than gasoline and why those home owners who buy heating oil are going to be shocked this winter.

The military gets priority for their JP-8 orders, with barely enough for commercial use.

Some airports in areas where the housing bubble has ramped up growth, like Las Vegas are short of jet fuel due to pipeline constraints. The short term solution is that airlines flying into Las Vegas fill up at their other destination - a modest inconvenience. Kinder-Morgan will need to add an additional pipeline to Las Vegas from California.

With an alkylizer some refineries can convert the gasoline fraction into heavier distillates like jet fuel, diesel and heating oil, but its expensive.
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