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Joined: Feb 2006
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I was wondering this the other day......


Why is off road(#2 red dye diesel) more money per gallon than standard gasoline?


Gas was $.30 or .50 more, can't remember.


I thought that diesel was cheaper to refine but evidentially not?

Bunch of tax on the dyed fuel?

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$3.06 today in central MS, gas $2.17


Dave

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Originally Posted by SamOlson
I was wondering this the other day......


Why is off road(#2 red dye diesel) more money per gallon than standard gasoline?


Gas was $.30 or .50 more, can't remember.


I thought that diesel was cheaper to refine but evidentially not?

Bunch of tax on the dyed fuel?


Ultra low sulphur diesel is more expensive than old diesel for a number of reasons.

1. The process for ULSD cost approximately $3billion for a large refinery like the Exxon refinery in Baton Rouge to put into place.

2. Running diesel now thru the ULSD process after the cracker adds to the time it takes. Diesel used to be cheaper because it was quicker and required less energy to crack than the finer stuff like gasoline etc....

It adds up.


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Originally Posted by BigDave39355
$3.06 today in central MS, gas $2.17


Hattiesburg was $1.96 for gas and $280 for diesel today.


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wholesale price for distillates is higher than gas. Red NRLM fuel here in Pa is LSD not Ultra Low. However LSD is still sulphur reduced. Do not understand exactly how it works, but the story is diesel is a global commodity and gas not so much.


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Oh okay, thanks for the good explanation.

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Originally Posted by Auger01
In case you missed it on CNN, OPEC is flooding the market in order to kill all the US shale oil competition.


<sarcasm> Really? Huh. </sarcasm>


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Diesel was $2.69 here in town today... but there was also another station I saw pumping it $3.80 a gallon also...

There are a lot of station owners and distributors that are raking in the cash right now...by overcharging for fuel, especially Diesel...

there is more variation here in the Rogue Valley on Diesel than there is Gasoline...

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Originally Posted by NathanL

Ultra low sulphur diesel is more expensive than old diesel for a number of reasons.

1. The process for ULSD cost approximately $3billion for a large refinery like the Exxon refinery in Baton Rouge to put into place.

2. Running diesel now thru the ULSD process after the cracker adds to the time it takes. Diesel used to be cheaper because it was quicker and required less energy to crack than the finer stuff like gasoline etc....

It adds up.


All that's true but none of it has anything to do with the price of diesel. Diesel is more expensive than gas because a good portion of diesel refined here is exported to Europe where it can be sold for $8-12 a gallon instead of $3.50 here. Less diesel here equals higher pump prices. The cost of oil and refining it doesn't set the pump price, it's what the market will bear.

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Thanks, knew it had to something to do with foreign markets but wasn't sure how it worked.


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Originally Posted by SamOlson
I was wondering this the other day......


Why is off road(#2 red dye diesel) more money per gallon than standard gasoline?


Gas was $.30 or .50 more, can't remember.


I thought that diesel was cheaper to refine but evidentially not?

Bunch of tax on the dyed fuel?



Off road is $2.50 a gallon, on road is $3.25, heating oil is $2.42 and gas is $2.75 in these parts at the moment. Done trying to figure out how they price it, just thankful it cost me $550 less to fill my tank over last year at this time.



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3.69 in these parts


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$2.94 here yesterday...
Stayed stuck at $3.69 forever

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Noticed prices at a local station today
Unleaded Regular $2.39
Diesel $3.39.
Glad to see prices going down, but a buck a gallon difference?
I know all the excuses but it just ain't right.


















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