Re: [BULK] Re: gas and fuel costs

From: Sonny Heath (sonny@defuniak.com)
Date: Sat Nov 19 2005 - 06:27:33 PST


Anyone with their eyes half open know that what you say is true but I want
to know the reason why this is. Why am I required to pay almost twice what
a trucker pays???

Sonny

----- Original Message -----
From: "Mark B. Anderson" <mark@aasurplus.ca>
To: "Military Vehicles Mailing List" <mil-veh@mil-veh.org>; "Sonny Heath"
<sonny@defuniak.com>
Sent: Saturday, November 19, 2005 8:21 AM
Subject: [BULK] Re: [MV] gas and fuel costs

> Hey Sonny and the rest.
> up here the O/O of trucks are paying 60 cents a litre at the pumps were I
> pay $1.03 a litre at the pumps for my regular truck and when I run colored
> fuel I pay 48 cents a litre.
>
> that's the facts from my town..
>
> Mark
> ----- Original Message -----
> From: "Sonny Heath" <sonny@defuniak.com>
> To: "Military Vehicles Mailing List" <mil-veh@mil-veh.org>
> Sent: Saturday, November 19, 2005 8:16 AM
> Subject: Re: [MV] gas and fuel costs
>
>
>>I want someone to tell me why the truckers are NOT complaining about the
>>price of fuel like they always did before?????
>>
>> Sonny
>>
>>
>> ----- Original Message -----
>> From: "Ryan Gill" <rmgill@mindspring.com>
>> To: "Military Vehicles Mailing List" <mil-veh@mil-veh.org>
>> Sent: Saturday, November 19, 2005 1:14 AM
>> Subject: Re: [MV] gas and fuel costs
>>
>>
>> At 8:16 PM -0700 11/18/05, Kirk Thompson wrote:
>>>Technically:
>>>The way I understand it is simply supply and demand.
>>>
>>>Fuel oil, Diesel, and kerosine (listed in order from lower grade to
>>>higher) are actually by-products of the different stages of the molecule
>>>cracking process that makes gasoline. These fuel oils are actually not
>>>intentionally made. Gasoline is what is desired to be made in the
>>>refining process and since diesel is really just a by-product, when there
>>>is a strong demand (more vehicles using diesel) and there is not a large
>>>supply (because if there is plenty of gasoline, you don't need to make
>>>more and therefore no more diesel is made), it drives the cost up.
>>
>> Kerosene and Fuel Oil are thicker, Gasoline is
>> more aromatic. Diesel is a mix of several
>> (benzine included) aromatics that are nearly the
>> same as Kerosene. The refining process will make
>> a given amount of each, however, the process can
>> be tweaked by additions of other chemicals to
>> crack different molecules and make more or less
>> of a given amount of fuel.
>>
>>>Personally:
>>>I think we are getting screwed by Big Oil. Record profits for the last
>>>10+ years and 2005 being the best in history.
>>
>> As I understand it their bulk of profits are from
>> the massively increased demand for crude oil in
>> India and China. The refined fuels are made
>> mostly in the US with some being made in Mexico
>> and Canada. Europe has been selling us some
>> gasoline because they've been increasing the
>> number of diesel powered cars spurning a growth
>> in the need for diesel and a lessening of
>> gasoline. The US market has increased use of all
>> fuels. Refined fuels are a very small part of
>> their market.
>>
>> Competition will drive the prices back down. The
>> fact that we have a new refinery being built for
>> the first time in 20 years should help to. It'll
>> be a state of the art facility which should give
>> it an edge. The DOE web page has a lot of
>> information on the market trends and why the
>> prices actually get driven up.
>>
>> see http://www.doe.gov/engine/content.do?BT_CODE=PRICESTRENDS
>>
>> One key thing to remember is that fuels and the
>> raw crude are bid on based on the prices and
>> expected price increases. If prices are expected
>> to go up, companies will bid on lots of fuel to
>> guarantee supply, this will drive the price up a
>> bit but will also at the same time limit the use
>> because it becomes more expensive. If the supply
>> is refreshed quickly, then being locked into the
>> price for the higher fuels more or less hurts the
>> company who has to sell at that price. The same
>> goes for bigger and smaller fuel stations
>> depending on the cycle time of their stock. More
>> cycle time and they'll be stuck with the higher
>> price because that's what they bought it at.
>> They'll try to sell it at the lower price.
>> There's a Citgo around the corner from me that I
>> bought fuel from before I knew better. They're
>> charging 3.59 a gallon for diesel. The Quicktrip
>> that's 3 exits up I285 is selling it at 2.35. The
>> Quicktrip gets their diesel in in large lots
>> because they have 16 Truck sized pumps (master
>> slave units) and they are an in town truck stop.
>> --
>> --
>> Ryan Gill rmgill@SPAMmindspring.com
>> ----------------------------------------------------------
>> I speak not for CNN, nor they for me.
>> But I do work there and still like the company.
>> ----------------------------------------------------------
>> | | | -==----
>> | O--=- | | /_8[*]°_\
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>> |: O(4) == O :| _Oo\=======/_O_ |____\ /____|
>> |---\________/---| [__O_______W__] |x||_\ /_||x|
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>> |s|=\______/=|s| |s|=|_____|=|s| |x|--|_____|--|x|
>> |s| |s| |s| |s| |x| |x|
>> '60 Daimler Ferret '42 Daimler Dingo '42 Humber MkIV (1/2)
>> ----------------------------------------------------------
>>
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