Cenovus Energy Inc T.CVE

WHITING Refinery TRANSFORMER FAILURE Will BOOST CVE MARGINS

[ztransforms173]

- 435,000 bbls/d BP refinery SHUT DOWN due to LACK OF ELECTRICAL POWER due to TRANSFORMER FAILURE

- LARGE TRANSFORMERS are EXPENSIVE and USUALLY CUSTOM-DESIGNED so we will FIND OUT IF BP have a SPARE ONE HANDY

- IF NOT, they will have to ORDER ONE and it 'could' TAKE a BIT OF TIME

- this refinery is another GANGBANGER that Cenovus Energy 'MIGHT' BE TEMPTED TO BUY DOWN the ROAD as it is a HUGE CONSUMER of Canadian DILUTED BITUMEN {WCS, AWB etc.}

- TOLEDO and LIMA refineries will TAKE ADVANTAGE of the SITUATION IF THE SHUT DOWN is LONG ENOUGH

z173

[cashtango00]

Ya, because CVE needs more refinery capacity.  Its the one massive anchor on the company that keep on dragging.  

[ztransforms173]

- the US DOWNSTREAM REFINING OPERATIONS are PROGRESSING VERY WELL towards a GOOD NORMALIZED OPERATING MARGIN POSTURE  - they are VERY VALUABLE ASSETS that will DELIVER GREAT RETURNS ON INVESTMENT as the US is ENTERING an UNDER REFINERY PROCESSING STRUCTURE * a LARGE US EAST COAST refinery BLEW UP (from FIRE) and was DEMOLISHED and NEVER REBUILT CURTAILING US refinery CAPACITY * many US

[cashtango00]

As a shareholder, I hope you are right, because so far, the US refineries have been a money pit with little reward.  That trend has continued into q4 financials.  This is a company with great upstream and continued disappointing downstream.  Perhaps CNQ had it right by staying away from downstream and just focusing on what they are really good at.

[ztransforms173]

- BP now 'EXPECTS' ONLY a ONE DAY SHUTDOWN so everything should be BACK TO NORMAL by FRIDAY NIGHT * this IMPLIES that the HIGH-VOLTAGE TRANSFORMER was NOT DAMAGED z173