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Old 09-01-2023 | 07:57 AM
  #86  
Buck Rogers
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Joined: Apr 2018
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Originally Posted by Trip7
Yes, Leads me to wonder....

With spot at $85/barrel and 42 gallons per barrel....that means that unrefined crude is $ 2.02/gallon. Right now the gas price is $3.17/gallon at my local gas station. So, somebody has to purchase crude, ship it to a refinery, process it, ship it/distribute it to outlets and after federal, state and local taxes and ALL the overhead(truckers, insurance, salaries, taxes, infrastructure involved in trans/dist) combined with ancillary markups and profit margins added all along the supply chain. I see a very small profit margin that can only work in a business model that deals in HUGE volume. In essence...highly leveraged to potential disruptions. .. I can see why nobody wants to build a new refinery.

It's NOT GREED as was alluded to.... it's more like self preservation.

That's my real world synopsis as opposed to some pie in the sky "Everything should be free" unobtainable utopia. JMO/YMMV
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