The long wedding march for US airlines is nearing its end, with all the marriages bringing much-needed discipline into the industry.
Archive for the ‘jet fuel’ Category
By Matt Kohlman | November 15, 2013 12:01 AM Comments (0)
By Matt Kohlman | October 25, 2013 09:51 AM Comments (0)
Want to gauge how well US airlines are doing in controlling fuel costs? Try the word “gauge.”
US airlines all reported solid quarterly profits this week and again touted how they were able to hedge, refine, design, merge, cut or slim their way to fuel-efficient gains. That includes the term “upgauging” — basically the equivalent of supersizing snack meals for an industry that all but removed snacks, at least the free ones.
By Matt Kohlman | August 2, 2013 03:20 PM Comments (1)
Years of consolidation, capacity cuts, fuel efficient planes and other cost controls helped jet fuel prices glide downward in 2013. But some US markets have still felt turbulence.
By Matt Kohlman | June 14, 2013 11:22 AM Comments (1)
Sometimes airlines are just like any neighborhood.
If all your neighbors have a dream car (or Dreamliner), you’ll want one, too. If all your neighbors have internet access (at 30,000 feet), you’ll want it, too. If all your neighbors have hedges for their yards (or jet fuel), you’ll want that, too.
So what’s the latest neighborhood gossip? It’s whether the new owner of the biggest house (airline) on the block (in the world) is going to try and keep up with the Joneses. At least when it comes to those hedges.
By Matt Kohlman | May 23, 2013 09:40 AM Comments (1)
Airlines flying from Houston to Chicago may want to load up on something other than passengers at the start of the trip — extra jet fuel.
Landlocked Chicago has the highest jet fuel price by far of any major spot market in the world, thanks mostly to refinery issues. At $129.13 a barrel Wednesday, May 22, it was $10 higher than the closest region, the perennially short North West Europe. In gallons, it was at $3.0745, or 35.55 cents higher than the highly liquid US Gulf Coast.
By Jeffrey Bair | May 10, 2013 12:43 PM Comments (2)
They like to say around the Platts office in Houston that California is an island.
An economic island, that is. The kind where the spot prices of gasoline and other refined fuels are insulated from the bob and weave of trades in the rest of the United States.
It’s an interesting analogy. But consider how fuel economics are affecting a real-live island right now: Oahu.
By Matt Kohlman | March 5, 2013 09:43 AM Comments (0)
Think the jets to Europe and Latin America are packed? Try the ships carrying jet fuel.
The idling of a major Caribbean refinery last year helped speed along a net export trend for US jet fuel, with a record amount shipped out of the US in 2012. The reversal of historic net imports happened despite events that would normally make one think the US would be a heavy importer: major refinery issues on the West Coast and Hurricane Sandy on the East Coast.
By Matt Kohlman | January 22, 2013 12:38 PM Comments (0)
In the movie Planes, Trains and Automobiles, Steve Martin and John Candy have problems with every one of those modes of transportation on their journey home. Delta Air Lines ponders a similar plotline with its newly purchased refinery.
Of course, there are planes involved. But the longer journey to success also relies on railroads hauling cheap crude to the refinery and renewed driving demand to help gasoline margins.
By John Kingston | December 22, 2012 05:07 PM Comments (2)
If there was ever a “think out of the box” deal in 2012, it was Delta Airlines’ purchase of the Trainer refinery, near Philadelphia, from Phillips 66.
The man who from all accounts was central to that deal getting done was Jon Ruggles, a former trader who headed Delta’s jet purchasing. At the Philadelphia press conference announcing the deal, Ruggles was up at the front, along with the political dignitaries from the city and state, along with the the airline’s senior management.
And now he’s gone.
By Simon Thorne | July 10, 2012 09:53 AM Comments (0)
So concerned are they over the safety of local Nigerian airlines, some of the wealthier businessmen in the region are taking the unusual step of flying the 300 miles from Lagos to the capital of Abuja via the UK’s capital city, London.
That’s nearly 6,000 flight miles and 12 hours on board a plane, not to mention time spent in London’s airports, to avoid a 300-mile one hour domestic flight.