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Old 04-23-2007, 08:40 AM  
Donger Donger is online now
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Gasoline at $2.50 Coming to a Pump Near You, Unfazed by Falling Tab

http://www.bloomberg.com/apps/news?p...d=afOlUzd30YOo

Pretty alarmist, IMO, but possible.

Spoiler!
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Old 08-03-2015, 06:18 PM   #91
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I don't understand why crude is below $50 a barrel yet gas prices in LA are all at least $4.29 per gallon.

Because of all the Raiders fans as well as the players stealing gas. They gotta make up for the loss.
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Old 08-03-2015, 07:37 PM   #92
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Because of all the Raiders fans as well as the players stealing gas. They gotta make up for the loss.
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Old 08-06-2015, 11:04 AM   #93
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Heading down again today. $44.23 down almost 2%
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Old 08-06-2015, 11:07 AM   #94
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Diesel 2.29 in the Queen City of the Ozarks.
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Old 08-06-2015, 11:08 AM   #95
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Diesel 2.29 in the Queen City of the Ozarks.
I can't remember the last time diesel was cheaper than unleaded, much less .20+ cheaper.
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Old 08-06-2015, 11:09 AM   #96
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US Refineries Running at 10-Year High

In Wednesday’s report on the nation’s petroleum inventories, the U.S. Energy Information Administration (EIA) said that U.S. refineries were running at 96.1% of capacity in the week ended July 31. The last time the country’s refineries ran at that level was the week ending July 8, 2005, more than 10 years ago.

July is a big month for oil refiners, or at least it was. In 1998, U.S. refiners ran at 100% of capacity during the week of July 10 and at more than 100% of capacity in the week before Labor Day. Following that week in 2005, it took six years for refiners to reach even 90% of capacity again.

There could be a few reasons for the boost in refining. First, U.S. drivers posted in May a new all-time high for miles driven. (May is the most recent month for which data is available.) Miles driven had reached a peak in November 2007 and then stagnated for nearly eight years.

The increase in miles driven is likely due mainly to lower gasoline costs, which typically encourage Americans to hit the road. As unemployment rates decline, more people are back in the cars driving to work as well.

Another primary reason for the increase in refinery usage is product exports. Since late August of 2013, U.S. refiners have been exporting more than 3 million barrels a week of gasoline, diesel and other refined products. The current total is 3.74 million barrels a day of exports, based on a four-week average.

Some of the export increase is due to production of lightly refined crude oil that is the nearest thing U.S. producers and refiners can send out of the country, except to locations in Canada and Mexico. Kinder Morgan operates a so-called splitter plant that separates the condensates that are produced along with crude oil into components such as naphtha, kerosene and gasoil. The components are then exported and fully refined into usable fuels once they reach their destinations. The announced earlier this week is also targeted at these light condensates.

Because refined products command a higher price than crude oil, producers can take advantage of the refining spreads to boost profits for a reasonable cost. Where a new refinery to produce gasoline might cost $3 billion to $4 billion to construct from the ground up, a condensate splitter plant may cost as little as a tenth of that. Besides, as automobile mileage improves, growth in demand has slowed and that trend will continue, even if more slowly because pump prices are so low.

A final reason for the boom in refining last week may be that California’s refineries are coming back online after some unscheduled repairs. California drivers have been paying nearly $3.50 a gallon recently for gas when the national average is around $2.55. One consumer advocacy group has accused California refiners of exporting gasoline in order to reduce inventories in the state and keep prices high.

It is also worth noting that U.S. refiners are not the only ones who have either been taking advantage of or positioning themselves to take advantage of the higher prices paid for refined products. Saudi Arabia has a third 400,000 barrel-per-day refinery on the drawing board (it already has two that size), the United Arab Emirates is doubling the capacity of its 415,000 barrel-per-day refinery at Ruwais. Both are looking at additional exports to help boost profits while crude prices remain low.
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Old 08-06-2015, 11:12 AM   #97
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I can't remember the last time diesel was cheaper than unleaded, much less .20+ cheaper.
It's varying by station. Diesel stayed consistent at 2.39 at two stations on Battlefield for the better part of May-June. Now one of them is down to 2.30 No.2 Diesel and 2.39 87 unleaded.

The 2.29 Diesel was at the station on the SE corner of the Sunshine and Campbell intersection.
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Old 08-06-2015, 11:13 AM   #98
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Diesel tends to be more steady than gasoline because there aren't any different blends mandated.
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Old 08-06-2015, 11:15 AM   #99
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Diesel tends to be more steady than gasoline because there aren't any different blends mandated.
Which is why I switched to that type of engine. Even if it's more expensive on the whole, it will at least be consistent.

And shit, it seems that it also has the benefit of being less in demand than 87 that once it hits a low it stays there for a while.
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Old 08-06-2015, 11:36 AM   #100
DaneMcCloud DaneMcCloud is offline
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Still $4.49 at the nearest Chevron station yet it's $3.39 at the Burbank Costco today according to Gas Buddy.

Donger, would you mind explaining why some stations can charge more than a $1.00 more than others? I realize that Coscto prices are less expensive due to yearly membership but it's only 20-30 cents more at Burbank gas stations, yet it's $4 dollars or more in Hollywood.

It's less expensive in Beverly Hills than Hollywood. It's just bizarre.
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Old 08-06-2015, 11:43 AM   #101
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Originally Posted by DaneMcCloud View Post
Still $4.49 at the nearest Chevron station yet it's $3.39 at the Burbank Costco today according to Gas Buddy.

Donger, would you mind explaining why some stations can charge more than a $1.00 more than others? I realize that Coscto prices are less expensive due to yearly membership but it's only 20-30 cents more at Burbank gas stations, yet it's $4 dollars or more in Hollywood.

It's less expensive in Beverly Hills than Hollywood. It's just bizarre.
It's probably a combination of two things:

1) Possible local taxation varies between the two.

2) It's more likely that for some bizarre California reason, people are willing to pay more in Hollywood than Burbank. I've said it before, but we have a station that is always $0.40 higher than two other stations a mile down the road. They can charge that because it's located very conveniently for all the MILFs in the neighborhood who will pay another $0.40 for the convenience. Or they simply aren't aware that their prices are high...
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Old 08-06-2015, 11:48 AM   #102
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I'll go with the "higher population in that area" theory, either people living in Hollywood or around/touring/vacationing there as opposed to Burbank. It's my ongoing theory of why gas is more expensive in the metro KC area than it is outside of it for the first time in forever - Kansas City must have passed some population number that automatically bumps up the prices.
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Old 08-06-2015, 12:00 PM   #103
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Quote:
Originally Posted by DaneMcCloud View Post
Still $4.49 at the nearest Chevron station yet it's $3.39 at the Burbank Costco today according to Gas Buddy.

Donger, would you mind explaining why some stations can charge more than a $1.00 more than others? I realize that Coscto prices are less expensive due to yearly membership but it's only 20-30 cents more at Burbank gas stations, yet it's $4 dollars or more in Hollywood.

It's less expensive in Beverly Hills than Hollywood. It's just bizarre.
If the people keep paying the higher price, why would they drop it? The gas tax is around a quarter higher in CA than say KS, so you are paying almost $2 more just because.
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Old 08-06-2015, 12:06 PM   #104
DaneMcCloud DaneMcCloud is offline
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Quote:
Originally Posted by Donger View Post
It's probably a combination of two things:

1) Possible local taxation varies between the two.

2) It's more likely that for some bizarre California reason, people are willing to pay more in Hollywood than Burbank. I've said it before, but we have a station that is always $0.40 higher than two other stations a mile down the road. They can charge that because it's located very conveniently for all the MILFs in the neighborhood who will pay another $0.40 for the convenience. Or they simply aren't aware that their prices are high...
Interesting. You'd think that with an app like Gas Buddy, prices would fall because there are less expensive options less than a mile away. Either that or it's the convenience factor.

Call it a character flaw, but I have real difficulty paying a higher price for goods and services when I'm aware they're less expensive elsewhere. I've had this conversation with my 7 year old many times, when she's asked about purchasing items.

Daughter: Daddy, can we get this?

Me: No, it's not on sale and it's cheaper at Coscto/Target/Amazon than here.

Daughter: I feel like all you ever care about is price.

Me: Someday, you will, too.
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Old 08-07-2015, 02:06 PM   #105
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Welp, crude closed down 79 cents, or 1.8 percent, at $43.87 today. That's a slide of 7% on the week and 26 % in the last six weeks. We could be looking at $35/barrel or lower before this stabilizes.
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