Refiners Hold Aces in '06 Oil Sweepstakes

Crippled by last fall's hurricanes and facing the prospect of more storms this year, U.S. petroleum refiners have struggled to reopen and boost production.

And yet, refiners see another year of record profits on the horizon, boosted by sky-high gasoline prices and tight new fuel standards.

Wall Street appears to agree. This year, analysts have increased their earnings estimates for nearly all independent refiners. Investors have followed and share prices have risen by as much as 59% since January.

"Refiners could counterfeit money, but it wouldn't be nearly as profitable," says Tom Kloza, publisher of the Oil Price Information Service in Wall, N.J. ...