RobJ
Elite Member
charlz said:Here in the Boise area there are two pipelines that bring fuel up from the Salt Lake area. Both belong to Chevron. As you can imagine we get a serious 'lag' when prices start to go down. for instance regular is 3.94 and diesel is 4.74 at Sam's club with is cheaper than most places.
Obviously everyone is getting their fuel the same way so something is different. Additives I think probably make the biggest difference between say Chevron and a club like Sam's which likely has no additional additives beyond what might be required by law.
Lots of places like Sam's don't make much off of gas. It's more come buy some gas, and while you are at it spend $100 on other items.
I talk to our crude buyer daily (for our refinery), the products (gas) are leading the fall recently. IE in the refinery business if gas prices fall faster than crude, margins go in the tank. They are falling because inventories are down a bit but still at strong levels. But consumption is down with the recent high prices.
As you say transportation costs to deliver the fuel affect the price in certain areas. That said you would think Houston would be cheaper than everyone else, not the case. I guess then supply and demand come into play.
Rob