Informative Articles About Our Research
Poor refining profitability puzzles investors
By Hoekstra Trading LLC |
An Aug. 16, 2021 article titled Phillips 66 Stock: Advantaged By Its Refining-Adjacent Businesses, by Laura Starks was published on ...
Read More Today’s octane economics
By Hoekstra Trading LLC |
Because octane can seem confusing, consider a more familiar commodity, wine. Imagine you own a vineyard. You produce wine for ...
Read More Refining’s margin capture problem — here’s the hidden cause
By Hoekstra Trading LLC |
A sore point in US refiners' 2021 earnings has been low "margin capture" rates. Margin capture refers to actual realized ...
Read More Refiners rebuffed again on RIN price pass-through
By Hoekstra Trading LLC |
In an eight-year battle over Renewable Identification Numbers (RINS), refiners have failed to get much relief from their RIN obligations. ...
Read More Hidden costs of Tier 3 gasoline hurt refiners’ gasoline production and profit margins
By Hoekstra Trading LLC |
For the first time, US refiners are being challenged to meet the EPA's Tier 3 10-ppm sulfur gasoline specification while ...
Read More A billion dollar question: do refiners recapture RINs expense?
By Hoekstra Trading LLC |
There is much confusion in the refining industry on whether and how $billions/year of Renewable Identification Number (RIN) expenses are ...
Read More New gasoline specification is increasing gasoline prices
By Hoekstra Trading LLC |
As gasoline demand increases, a new specification is increasing gasoline prices. The specification, called the Tier 3 Standard, limits gasoline ...
Read More Understanding RIN Price Fundamentals
By Hoekstra Trading LLC |
It has been proven the pricing of D4 RINs follows basic economic and asset pricing theory. In 2020, the theory ...
Read More Hoekstra Trading RINs price spreadsheet model
By Hoekstra Trading LLC |
This chart shows, in green, the price of D4 RINs traded from 2011 through March 2021: The black line represents ...
Read More OPIS Alert – Tier 3 gasoline resurfaces
By Hoekstra Trading LLC |
Here's Tom Kloza's latest writeup on Tier 3 and sulfur credit prices: *********** 2021-03-09 04:50:16 EST ***Tier 3 Sulfur Gasoline ...
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