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Old 11-14-2018, 11:09 AM
 
Location: Caribou, Me.
5,028 posts, read 3,586,994 times
Reputation: 3554

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Quote:
Originally Posted by KaraG View Post
What do you mean the prices never go down? Ridiculous.
I didn't say that, did I? I said that prices go down much SLOWER than they go up. (For example, the price of a barrel has dropped by about 20% over the last few weeks. But prices at the pump have barely nudged down over that same period.....they have dropped by about 3 to 5%.)

 
Old 11-14-2018, 11:10 AM
 
Location: Caribou, Me.
5,028 posts, read 3,586,994 times
Reputation: 3554
Quote:
Originally Posted by MinivanDriver View Post
The prices on the station near me dropped 20 cents in a day.



Tell you what. Don't buy gas.
Recently??
Because that is not at all what has been happening in general over the last month.
 
Old 11-14-2018, 12:00 PM
 
49,282 posts, read 39,739,919 times
Reputation: 30906
Quote:
Originally Posted by maineguy8888 View Post
For one basic reason: when the price of crude rises (even a little), it almost instantly affects the price that consumers pay. But when crude prices drop, it takes MUCH longer for them to drop, even a little. This makes no sense, other than some perverted form of capitalism.
They have every right to be greedy and/or engage in collusion. And I have every right to wish them ill for it.
Did you know that many states have laws that prevent them from selling below cost?

You should think about that and reconsider your views.

Also, please note that the profit margin on a gallon of gas to the oil company is less than 20 cents. The various governmental bodies through both direct tax (38.4 cents in Maine) or things like federal corporate taxes, import duties, property tax etc. boost that number up to probably closer to a dollar.

Feel free to pull up the financial statements of some of the oil companies and you can see their revenues and net profits and calculate their profit margin.
 
Old 11-14-2018, 12:37 PM
 
24,868 posts, read 27,034,957 times
Reputation: 23005
Quote:
Originally Posted by Redraven View Post
Actually, the greed of the oil companies goes all the way back to the creation of The Ethyl Corporation which resulted in the elimination of alcohol as an anti-knock additive in vehicle fuel, and replacing it with tetra-ethyl lead because the lead compound was cheaper than alcohol. That, even though both the inventor of leaded gasoline (Thomas Midgely) and Henry Ford considered alcohol "the fuel of the future!"

Google it.
Ok, I believe you, but the main point is still the same.
 
Old 11-14-2018, 12:42 PM
 
4,114 posts, read 1,679,641 times
Reputation: 13027
Quote:
Originally Posted by maineguy8888 View Post
Recently??
Because that is not at all what has been happening in general over the last month.



As of yesterday. Last Thursday, I bought gas for $2.45 a gallon. Yesterday, I bought it for $2.25.



If you actually read annual reports of oil companies and looked at their financial statements, you'd know that they aren't raking in bushels of cash. This is reflect in their share prices.
 
Old 11-14-2018, 12:56 PM
 
1,661 posts, read 383,249 times
Reputation: 1940
Quote:
Originally Posted by maineguy8888 View Post
For one basic reason: when the price of crude rises (even a little), it almost instantly affects the price that consumers pay. But when crude prices drop, it takes MUCH longer for them to drop, even a little. This makes no sense, other than some perverted form of capitalism.
They have every right to be greedy and/or engage in collusion. And I have every right to wish them ill for it.
Well, all the gas stations still have tanks full of $4.00 gas they have to sell!

It rises immediately in anticipation of the next load, which the station would not be able to buy at the increased cost with the proceeds of the last cheap tank sold.
 
Old 11-14-2018, 02:12 PM
 
16,702 posts, read 17,844,479 times
Reputation: 23980
Quote:
Originally Posted by StealthRabbit View Post
yes... in 1976

been using 'free fuel' ever since...

but... AMSOIL !!!!

They are still jacking up the 'feedstock' story... was paying $76 for 5 Gal HD Diesel 15w-40, Now $150+ There must be a LOT of barrels in Synthetic lube oil Feedstock,

I welcome algae fuel, and hope to 'Grow-my-own'


Eventually you won’t be able to buy the raw material for your “free” fuel. Already restaurants no longer give away the cooking oil. My buddy made biodiesel but he started having a hard time getting restaurants to give him the used cooking oil.
 
Old 11-14-2018, 02:24 PM
 
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
20,946 posts, read 37,776,919 times
Reputation: 21064
Quote:
Originally Posted by Electrician4you View Post
Eventually you won’t be able to buy the raw material for your “free” fuel. Already restaurants no longer give away the cooking oil. My buddy made biodiesel but he started having a hard time getting restaurants to give him the used cooking oil.
I have a farm, I can grow my own. (Grain or algae)

I also use discarded Jet A (From Maint) or heating oil, waste motor oil, or... whatever will burn.

Friends (B-D producers) get 6000 gal lightly used oil delivered every week from a sausage factory.

I seldom (never(?)) have used from a restaurant.
In my PNW home it is tough to find free oil (too many producers + Baker Commodity has upped their purchase price (They collect used oil from Fast food to sell to Chinese Cosmetics factories / burgers and fries to Lip Stick (makes terrible Bio Diesel.)

Most countries are FAR ahead of USA in Bio Fuel production feedstocks and methods. (since USA has CHEAP dino fuel).

I would expect the USA will soon be paying closer to world market rates for fuel. Depends on the USDollar / stability of USA investments. I have a few USA manuf friends who are moving offshore due to increased costs in USA (tariffs and such).
 
Old 11-14-2018, 02:26 PM
 
Location: Ohio
18,223 posts, read 13,385,577 times
Reputation: 14093
Quote:
Originally Posted by maineguy8888 View Post
For one basic reason: when the price of crude rises (even a little), it almost instantly affects the price that consumers pay. But when crude prices drop, it takes MUCH longer for them to drop, even a little. This makes no sense, other than some perverted form of capitalism.
They have every right to be greedy and/or engage in collusion. And I have every right to wish them ill for it.
Wow, your understanding of everything is incredibly poor.

When you purchase oil, leprechauns don't dance around causing the oil to magically convert to gasoline.

If you're buying Saudi Light, Basra Light or Iranian Light, it takes about 4 weeks to get to a US port. If you're buying Brent Blend or Bonny Light, it takes about 3 weeks to sail from the North Sea or the Nigerian coast to get to the Gulf coast refineries.

When the tankers port, unicorns don't fly over and magically convert the oil to gasoline.

The oil is off-loaded into pipelines that go to oil refineries, and after being refined, which takes more than 3 minutes, it is transported by pipelines to holding tanks, where it is blended with ethanol.

There's no such thing as gasoline or ethanol pipelines. The gasoline has to be shipped by tanker truck to wholesale distributors who manage large tank farms. The oil is transported from there by tanker truck to local gasoline stations.

For the Midwest, gasoline is loaded on barges which sail up the Mississippi, then into the Missouri River or the Ohio River, and then on up to tank farms, and from there distributed by tanker truck to gasoline stations.

If you pay $100/barrel for oil, you have to sell the constituent products, whether it's gasoline, diesel, aviation fuel, Neodols, esters, lubricants, jellies or asphalts and tars for a price that reflects the $100/barrel price you paid.

It is no different than corn or any other product sold on the market.

If you buy corn from a farmer at $10/bushel and store the corn in your silos, and then the price drops to $7.50/bushel a week later, you don't sell the corn you paid $10/bushel for $7.50/bushel, you sell it at $10/bushel.

We can see why you'd never be a CEO.
 
Old 11-14-2018, 03:02 PM
 
4,990 posts, read 2,228,164 times
Reputation: 12703
Quote:
Originally Posted by MinivanDriver View Post
As of yesterday. Last Thursday, I bought gas for $2.45 a gallon. Yesterday, I bought it for $2.25.



If you actually read annual reports of oil companies and looked at their financial statements, you'd know that they aren't raking in bushels of cash. This is reflect in their share prices.
I chagrinningly disagree as I've read ExxonMobil quarterly. . They aren't in the poor house . They most certainly ARE making profits. Just because they shelled out a lower percentage then was "projected" by analysis.they most certainly did rake rattle and roll in that douugh.
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