From Washington Policy to Wall Street Securities – Timely Impact Analysis for Investors
Bradley Woods & Co. Ltd.
Bradley Woods & Co.
Dispensing policy insight for our clients’ investing and financing needs since 1970.
Daily Impact: September 2, 2014
Marathon Petroleum (NYSE: MPC )
The EPA is expected to finalize a rule easing the 2014 Renewable Fuel Standard (RFS), which sets the minimum level of renewable fuel refiners must blend into the nation's transportation fuel supplies. Refiners have argued that declining gasoline demand - and therefore demand for the biofuels that are blended into fuel - have made meeting the RFS unrealistic. The EPA has proposed a lower 2014 RFS, welcome news to refiners who argue the mandate has led to substantial costs for companies such as Marathon Petroleum (NYSE: MPC). Last year, Marathon has spent over $100 million on credits that refiners must purchase if they do not meet RFS requirements.