Doesn't make sense to me....

[Snobdds]

April went like this:
On April 1, 2022, DOE issued the second Notice of Sale for a price-competitive sale of 30 million barrels of SPR crude oil. A total of 16 companies responded to this notice, submitting 126 bids for evaluation. Contracts were awarded to the following 12 companies:

• Atlantic Trading & Marketing, Inc. (2.1 million barrels)
• Chevron USA (1.025 million barrels)
• Equinor Marketing & Trading (0.7 million barrels)
• ExxonMobil Oil Corporation (3.6 million barrels)
• Glencore Ltd. (2.6 million barrels)
• Marathon Petroleum Supply and Trading LLC (2.375 million barrels)
• Mercuria (0.5 million barrels)
• Motiva Enterprises LLC (4.05 million barrels)
• Phillips 66 Company (2.5 million barrels)
• Shell Trading (US) Company (2.75 million barrels)
• Unipec America, Inc. (0.95 million barrels)
• Valero Marketing and Supply Company (6.85 million barrels)

I know who took it to be processed, but you implied something else. You implied we sold high and can now buy cheap (low). That means we bought for x, sold for Y and can get more barrels than we paid for x at the time.

How are you concluding this?

 

[Hay Dude]

7 jets for 8 people. Even back then, it was something like $20-$25K just for the fuel (I can’t remember the exact amount). I don’t care if it’s tax deductible or whatever, just that they used 7 jets to fly in 8 people from around the country. That’s nuts.

Sounds like a G8 Summit!

 

[MossRoad]

Sounds like a G8 Summit!

Sounds like a G8 Summit!

More people arrive on those planes.

Here’s a pretty funny story…

I’m working one evening. A BAC 1-11 like this lands and pulls in.

(picture of an example, not actual plane)



I park the plane, chock the wheels, the door opens, the stairs extend as a limo pulls up.
Kenny Rogers walks down the stairs, says something to the pilot, gives me a wave hello, gets in a limo, and heads to a concert he’s giving in town.

His pilots get off and come inside and ask us what’s the best pizza place in town. We give our opinion and one asks for the phone number. He goes to the phone (this is early 80s, no cell) and calls them up. Conversation goes something like this:

Hi, I need to order two pizzas please.
Hmm Hmm. Yes.
I’d like two deluxe pizzas delivered to XXX aviation‘s office at precisely 11:45 for Mr. Kenny Rogers. (I can’t remember exact time, but you get the gist).
Hmm hmm. Yes.
If you’re 5 minutes early the pizza will be cold, and Kenny won’t be happy.
If you’re 5 minutes late, we’ll be gone, Kenny won’t be happy, and you won’t get paid.
So be here at 11:45 with HOT pizza and it will be worth your trouble.
OK?
Thanks.

Pilots take our courtesy car to Ponderosa, we fulfill the fuel order and the evening goes on.
They return an hour or so later with toothpicks in their mouths, pay the fuel bill, go sit in the lounge and watch TV.

Around 11:15 they fire up the power unit on the plane, get the air conditioning going, and start preflighting.

Around 11:40 I see the pizza guy hiding behind our hangar. At exactly 11:45 he flips on his headlights and whips into the parking lot, jumps out, runs up to the office, the pilot waves him down and walks up to meet him. He hands the pilot the pizzas and the pilot hands him $100.

Pilot turns towards the airplane with the pizzas as Kenny’s limo pulls up almost exactly at the same time. He meets Kenny at the steps, shows him the pizza boxes, Kenny smiles and appears happy. Kenny waves to us all and gives us a big smile, and walks up the steps. The limo pulls away, they retract the stairs, close the doors, I pull the wheel chocks, and off they go!


So now, anytime we’re apparently going to be late going somewhere, I’ll say to my wife and/or kids, “Kenny won’t be happy.” They don’t respond.

 

[Doughknob]

Gas prices may seem like black magic. But you can believe somewhere, somebody is getting rich.

Isn’t that the whole idea of a free market economy?

 

[BravoXray]

7 jets for 8 people. Even back then, it was something like $20-$25K just for the fuel (I can’t remember the exact amount). I don’t care if it’s tax deductible or whatever, just that they used 7 jets to fly in 8 people from around the country. That’s nuts.

When I was at the Goshen airport one Saturday morning a few years ago working in my hangar, a Global Express owned by the ex-CEO and owner of a large tech company out of Boston, came in and two people got off. It was refueled, 1100 gallons if I remember correctly, and left. About eight hours later, it was back and one person got off. Then the next day, it was repeated in reverse, one person got on and left, early in the evening it came back and two people boarded and it left again.
I talked to the FBO manager a few days later, and said the two people were wife and daughter of the plane owner, and they all came to spend a little time at their place on Lake Wawasee. The plane owner had to work 'till noon on Saturday, and go back early on Sunday, so he sent the wife and daughter out earlier, and they stayed later on Sunday.
He said they bought over 4000 gallons of JetA that week end.

 

[riptides]

I know who took it to be processed, but you implied something else. You implied we sold high and can now buy cheap (low). That means we bought for x, sold for Y and can get more barrels than we paid for x at the time.

How are you concluding this?

I simply stated we sold at market highs and can purchase (current market rate) lower than what we sold for.

I know the average price of purchase in the SPR.

 

[Hay Dude]

Speaking of rich people/poor people, etc. last night my son and I went to fuel up the truck for tomorrows work.
We drove past 3 DuPont estates, then Bidens house. A very exclusive area. At the red light near the end of his road, we turned left to go a 1 mile into the Wilmington BP for diesel in a “iffy” area.
I said to my son, never ceases to amaze me the diversity of income you can encounter just driving 1 mile in this country.

 

[MossRoad]

Speaking of rich people/poor people, etc. last night my son and I went to fuel up the truck for tomorrows work.
We drove past 3 DuPont estates, then Bidens house. A very exclusive area. At the red light near the end of his road, we turned left to go a 1 mile into the Wilmington BP for diesel in a “iffy” area.
I said to my son, never ceases to amaze me the diversity of income you can encounter just driving 1 mile in this country.

Yeah, that’s true pretty much anywhere USA. Our town has large differences between east side/west side, and affluent suburbs and gated communities. Indy is the same way. Chicago. Pittsburgh.

 

[LD1]

I have always just assumed (maybe I am wrong) but the bags over the handles is a issue with pump. Not that they are out of gas. Because done these service stations all draw out of the same tank for all the pumps? IE: three large underground tanks. 87, 89, 91. So there is only ONE 87 octane tank.....with multiple pumps that can draw from the SAME tank. So if they were out of 87 octane...ALL the pumps would be out of service for that octane.

 

[MossRoad]

I have always just assumed (maybe I am wrong) but the bags over the handles is a issue with pump. Not that they are out of gas. Because done these service stations all draw out of the same tank for all the pumps? IE: three large underground tanks. 87, 89, 91. So there is only ONE 87 octane tank.....with multiple pumps that can draw from the SAME tank. So if they were out of 87 octane...ALL the pumps would be out of service for that octane.

Kinda, but there’s usually only 2 gasoline tanks. One of the lowest octane and one of the highest octane. The pump has what I think is called something like a ‘blender valve’, so depending which button you push for what octane you want, the pump mixes the two low and high octane fuels to get the mid grades.