Delta Deal for Conoco Refinery Getting Closer (DAL, COP, JPM)

Energy

Published: April 17, 2012 12:10 pm

A couple of weeks ago there were press reports that Delta Air Lines Inc. (NYSE: DAL) was contemplating the acquisition of one of three idled Eastern US refineries, with the most likely being the 185,000 barrel/day Trainer, Pennsylvania, refinery owned by ConocoPhillips (NYSE: COP). Reuters reports today that its sources are saying that a deal could be announced as early as this week.

Delta has reportedly offered $150 million for the plant and the airlines would purchase the refinery but the supplies would be financed by JPMorgan Chase & Co. (NYSE: JPM). Morgan would sell Delta jet fuel at a wholesale rate and sell other refined markets into the market.

That sort of arrangement is probably the only thing that would make sense for Delta, which has struggled to control its fuel costs for the past couple of years. In addition to its sales, Morgan gains some traction in the New York harbor market hub and can use the refined products as hedges on the production of jet fuel and diesel fuel.

Paul Ausick

The Average American Is Losing Their Savings Every Day (Sponsor)

If you’re like many Americans and keep your money ‘safe’ in a checking or savings account, think again. The average yield on a savings account is a paltry .4% today, and inflation is much higher. Checking accounts are even worse.

Every day you don’t move to a high-yield savings account that beats inflation, you lose more and more value.

But there is good news. To win qualified customers, some accounts are paying 9-10x this national average. That’s an incredible way to keep your money safe, and get paid at the same time. Our top pick for high yield savings accounts includes other one time cash bonuses, and is FDIC insured.

Click here to see how much more you could be earning on your savings today. It takes just a few minutes and your money could be working for you.