Talk:Crack spread

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Can anyone tell me:

I have heard that the Crack spread today is about $00

If that is correct, and if Goldman Sacks makes a conservative estimate of a Gulf Coast 3:2:1 refining margin of $10 - 11.00, as they do here, what prices does that imply for (1)crude and for (2)refined and (3) distillate products?

"We believe the Street consensus is woefully underestimating the earnings power at Valero Energy and other refiners over the next several years.

Using a conservative $10-$11 per barrel Gulf Coast 3:2:1 refining margin, we now forecast EPS of $9.50 in 2007E, $10.50 in 2008E, and $12.00 in 2009E, which are a respective 19%, 52%, and 63% above the First Call consensus.

The key to our bullish outlook is continued resilient oil demand, increasingly regular “unplanned” downtime industry-wide, and significant delays in most of the major new projects that gives us confidence in sustained high margins through at least 2009."

208.115.203.200 16:11, 27 April 2007 (UTC)Harry

where does diesel fit into this picture?