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Airlines becoming Oil Companies.

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Postby Liv » Sun Apr 08, 2012 2:42 pm

061122012.jpg
Delta Gas. What's next? VWs pulling planes?

This is quite interesting: Delta, is possibly buying an oil refinery. Say what? Bloody brilliant in my opinion.

What's even more interesting is they're buying a refinery, that is said to be unprofitable? What? Gas companies have billions in profits, but domestic refineries are unprofitable? Quoi?

It does make sense, though I think the trick to all this is the airline, eventually having oil production near an airport which all their planes could pass through to fill up with. Likely an east-coast location. Perhaps my local airport should consider building an oil refinery?

VW tug vehicle video.
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Postby A Person » Sun Apr 08, 2012 11:39 pm

There is currently a surplus of refining capacity in the US, hence refineries aren't very profitable. As a large consumer of fuel it may make sense for an airline to own a refinery, but I doubt it.
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Postby Liv » Mon Apr 09, 2012 1:26 am

Let's say it works, would an airline undercut the competition for market dominance, our would they just bask in the profits till the other airlines wised up and did the same?

Either way, likely only an airline the size of Delta could pull it off, so we're talking monopoly here... if it works.

Should get very interesting, very soon.
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Postby Liv » Tue Jun 26, 2012 11:21 pm

Well it's done. I expect this will be a whole new method of airline profiting. If everything is in-house, they'll dominate the industry. I suspect it won't be long before air-travel is all encompassing like Disney. They'll own the airports, the strippers, and the gambling. Yep, airport casinos...
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