Since the oil companies were recently proclaiming their "historical profits" over this past year...new refineries should be easy to afford! But as always...not in my backyard...so approvals should take about 20 years.
My feeling is that technology has progressed to the point that existing refineries can be demolished and two new refinieries built in the same spot!
Those "historical profits" typically go to the CEOs and shareholders, not for new refineries.
Snip: Petroleum refineries are expensive facilities, with capital costs ranging from about $2 billion to $4 billion, depending on their size, capabilities, and location. Industry studies suggest that obtaining the necessary approvals and financing typically takes several years and that construction usually takes more than five years. Given the lead times for planning such a facility, CBO expects that near-term costs would primarily be for planning and siting a facility, with construction-related expenditures beginning in 2010. Thus, assuming the President chooses to build a refinery and that the necessary amounts are appropriated, CBO estimates that implementing this project would cost about $275 million over the 2006-2010 period for planning and preconstruction activities and a total of at least $2 billion over the 10-year period.
Snip: Nervous about facing voter outrage in next year’s congressional elections, some Republicans asked the industry to increase production and ease back prices. But reports indicate that, even after the recent hurricanes wrecked a significant chunk of the nation’s oil refineries, the oil companies are in no rush to build new refineries. Gheit commented, “Exxon is a good corporate citizen but it does not work for the welfare of the country.”