MMEX Resources Corp (MMEX)

[jmjjw]

Actually, pretty bleak.

If somehow MMEX ever got financing even for its Phase I proposal, it would fall into that unfortunate, sad bucket of potentially vulnerable refineries, that produce primarily intermediate streams.

Abundant industry data shows that a topping unit cannot be operated at a profit. MMEX is on the most simple side of that equation - you can reference the VFuels process schematic in the TCEQ PBR application for validation - it lacks even side-stripping and minimal stabilization capability.

The Phase I unit as proposed would barely scrape by, if at all, any supply side disruption, which you can easily establish by the crude feed tankage. It would never survive normal demand side variation.

This would result in periodic crude unit operations, halts in processing that would further impair any operating profit.

MMEX is dead before it ever even gets off the ground.