What's the difference in the media than someone on an internet forum that has yet to back anything up. Still waiting on how "Wall Street" caused a physical shortage in California.
What's the difference in the media than someone on an internet forum that has yet to back anything up. Still waiting on how "Wall Street" caused a physical shortage in California.
I posted the wall street reference due to the constant complaining about oil prices.
I'm calling BS on this gasoline shortage being due to closing refineries/oil shortage/not enough refineries.
I'm arguing that refineries are not producing as much gasoline because the profit margin on diesel is higher. Production costs have been cut thanks to a streamlined hydro-treating processes, and a simplified method for refineries making their own hydrogen instead of buying it on the market. Brings the manufacturing price down significantly. This is why more crude is allocated to diesel production, plus demand for low sulpher diesel is at an all time high. The byproducts of low sulpher diesel are also building higher margins of profit. Thus, California isn't running out of oil, or having trouble getting it in it's ridiculously limited pipelines. Otherwise, we would see a shortage of all petrochemicals, and due to such a shortage, it would even affect us in Oklahoma at the pump. It's hard to show "proof" of a guarded industry standard, ie- make the most money you can, but let's try this flow chart on for size. It's a few years old, but if you can comprehend, you'll see how this trend started back then.
http://www1.eere.energy.gov/vehiclesandfuels/pdfs/deer_2008/panel2/deer08_leister.pdf
Based on your location I'm betting Conoco-Phillips
While Phillips raped and pillaged us of our name and brand... We'll always be Conoco at heart.
That would be a cool tour. I know lots of people who used to work there.
I worked in ponca for a couple of years a while back. I miss it and the ease of being in my stand by 7:30 every morning.
I can surely comprehend a simple power point that has no reference whatsoever. Seems that reference would be something that is imperative when presenting opinion as fact. Therefore, it seems we really aren't any closer to proof that this theory directly applies to the current situation in lieu of refinery issues.
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You miss Ponca? Must not have lived there very long, that place is a damn cesspool. '83-91. Hated every friggin second of it. wife's family is still there. I have to go back at least once a month, yuck.
I haven't read a thread with people complaining about fuel prices in a long time. A lot of people on here understand the energy industry is vital to the Oklahoma economy and many on here workin the industry including myself, your comments are inconsistent and across the spectrum. Basically you're slinging poo to see if anything sticks. And like GMT stated that PowerPoint talks about the possible increase in demand for diesel from a 2006 point of view and is essentially worthless to your argument.
Think about it for a minute. If the refiners produce excess diesel because its more profitable. Who are they selling it to? There is no demand for diesel internationally since Europe and other countries produce more diesel than gasoline. Even if gas was less profitable per gallon, they would make up the difference in total profit with volume because of demand. My original argument stands. Their is more profit in gasoline right now because of the spread in WTI and Brent. The refineries are processing as much as possible and exporting as much as possible to capture differintial in cost. Take a look at the stock trend for the refineries and what everyone is commenting on the driver. It's the spread!
I give up. Guess you need it more than I. Have a good weekend.
I said I missed working there. I lived north of Newkirk just east of the casinos. If I worked nights, I could be in my treestand by 0730. Made for great hunting.
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