Delta's oil refinery bid viewed favorably by some analysts

Delta Airlines is expected to make a move that will cause a splash in both the air transportation and oil refining industries.

The country's number two air carrier is expected to bid on ConocoPhillips oil refinery in Trainer, Pennsylvania, according to Reuters.

Some in the industry say that the move would allow Delta to keep the facility operational. Other bidders on the facility reportedly planned to shut it down, which would cut jet fuel supplies by one fifth and possibly forcing Delta to go overseas for some of its fuel needs.

"It is an opportunity risk that Delta faces versus a negative risk exposure," Geary Sikich with Logical Management Systems told the news provider.

Reuters reports that the deal - which may be announced in the coming weeks - calls for Delta to buy the 185,000-barrel-a-day facility for $150 million and for JP Morgan to finance the refining process.

Analysis of the U.S. oil refining industry can be found at PennEnergy's Research area.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...

Latest PennEnergy Jobs

PennEnergy Oil & Gas Jobs