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	<title>Stock Blog Hub &#187; Cap and Trade</title>
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		<title>American Refiners Have a Problem &#8211; And the Government is Making it Worse</title>
		<link>http://www.stockbloghub.com/2009/11/14/american-refiners-have-a-problem-and-the-government-is-making-it-worse/20456</link>
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		<pubDate>Sat, 14 Nov 2009 22:10:03 +0000</pubDate>
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		<category><![CDATA[Cap and Trade]]></category>
		<category><![CDATA[Petroleum]]></category>

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		<description><![CDATA[by Sheena Martin, Investment U Contributing Editor America’s refining companies are under severe financial pressure. As the recession has blanketed the markets, demand for petroleum products has collapsed, causing refiners to scale back production. And a bill currently working its way through Congress could also have an adverse effect. Democrats support less reliance on foreign crude, but the hotly debated Climate Change bill would do just the opposite. The burden of carbon cap-and-trade provisions for refiners makes it reasonable for U.S. companies to consider moving production overseas. Why? Because foreign refiners will enjoy a significant cost advantage. Assuming even a modest carbon allowance of $26 per ton, the American refining industry will be spending an additional $58 billion annually. And recent studies put this closer to $100 billion per year ]]></description>
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