Fuel prices?

[artvonne]

  Sorry, guess I had my wires crossed. I had to go do some reading to try and see what it was I was trying to recall.

  What I found was that there is a shortage of processing, that there has not been a new refinery built since 1976, and that we are increasingly running beyond our capacity to process crude and are needing to have crude processed outside the US.

  Like everything else, between treehuggers blocking them entirely, people wanting beach front property, and cities wanting to turn the coastlines into tourist attractions, no one is seemingly able to get a bigger pipe through.

  I thought I recalled during Katrina, when a big refinery was damaged, the networks saying we only had 4 refineries, but obvioulsly I misheard something.

[boxcarOkie]

$4.05 in Ridgecrest, Ca today

You ever go up to Bishop and Lone Pine?  Beautiful country up there, we were at Manzanara a couple of years back, that was kind of sad.

BCO

[rusty]

Just went with my son to pick up the grandkids from school here in Muscat Oman. The Shell down the street has diesel for .146 Rials per litter that works out to be about 1.43 a gal He said it has been that price for over a year and a half. I wonder what it would cost to ship the ole Eagle over here? 

Wayne

[boxcarOkie]

Just went with my son to pick up the grandkids from school here in Muscat Oman. The Shell down the street has diesel for .146 Rials per litter that works out to be about 1.43 a gal He said it has been that price for over a year and a half. I wonder what it would cost to ship the ole Eagle over here? 

Wayne

I guess it would be alright, how do you feel an Eagle would do in sand?  Low ground clearance and all, better get them big ol fatboy tires on it first before you ship it over there Wayne.

BCO

[niles500]

Art - actually there is significant reserve capacity available - since the highest utilization rates of 1998, the reserve capacity has been increasing as refineries 'retooled' and increased their capacities at existing facilities - FWIW

http://www.eia.doe.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=MOPUEUS2&f=M

[Singing Land Cruiser]

Mrs. Jones is parked with 200 gallons of Go Juice in her. Wow there,s a switch! A bus that is appreciating! M&C

[artvonne]

Art - actually there is significant reserve capacity available -

 Maybe, but read this. in either case the answer is more complex than the question.

  http://www.msnbc.msn.com/id/6019739/ns/business-oil_and_energy/

[Lin]

I don't believe the low-capacity dodge.  If there was a shortage it would be obvious.  There is no problem getting all the fuel you want.  There is just the same rampant opportunistic gouging as ever.

[artvonne]

  There isnt a shortage, but we are running close to current capacity. And as the report I posted is saying, not all refineries are working to produce the same percentages of various products.

  Then we have fuel being altered 100 different ways for certain cities, which really tangles it up.

[chart1]

Just went with my son to pick up the grandkids from school here in Muscat Oman. The Shell down the street has diesel for .146 Rials per litter that works out to be about 1.43 a gal He said it has been that price for over a year and a half. I wonder what it would cost to ship the ole Eagle over here? 

Wayne

Maybe you could ship a 2000 gal tank of diesel back!
2000 Gal x 1.43=2,860 in Muscat Oman
2000 Gal x 4.79=9,580 in U.S.

[niles500]

Art - first, the article you noted was from 2004 - second, I most certainly would rely on the DOE figures over MSNBC or any "news" organization - we are currently no where near production capacity nor are we at any historical inventory lows - FWIW

[rusty]

Good point. My son is always shipping equipment back and forth in containers. Maybe he could fill up the extra space for Dad.

Wayne

[boxcarOkie]

I don't believe the low-capacity dodge.  If there was a shortage it would be obvious.  There is no problem getting all the fuel you want.  There is just the same rampant opportunistic gouging as ever.

I most certainly have to agree.  If something is in short supply, then it goes up in value, keeping it off the market rigs the price to historical levels.  Last year, just outside of Davis, Oklahoma a bolt of lightning hit a storage tank at a refinery and it ignited the product inside which in turn created a rather spectacular fire that burned for a long time.  

The big story on the news for that day, small town, little refinery, most people could not find it on a map.

Now here is the kicker, this is what I found so interesting.  The tank in question had "28 feet" of diesel stored inside it, now if it is in short supply, what is a little po-dunk refinery in the middle of nowhere, doing with 2.5 stories of the material in storage?

Hoarding would be my guess.

Yesterday I went to town to purchase some enamel reducer for my trailer project.  What an eye opener that was!  I bought one gallon of medium dry reducer.

It cost $28.41

I am not bitching about the cost of motor-fuel anymore.  Stick a fork in me ... I am done.

BCO

[billy6941]

Alaska has 6 refineries, lots of oil, and we still pay the highest average prices in the country!!!!

[Len Silva]

There is a simple answer to reducing oil prices.  That is to require anyone purchasing oil futures to take delivery of that oil.  I think they could probably get 50,000 barrels in the basement of the new York Stock Exchange.