Exxon record profits again

ducati996 · Aug 24, 2006

MadReferee said:
As I said earlier, everyone pays the same amount for gas at the bulk distribution terminal. The difference in prices from the terminal to the pump is usually in the 30-50 cent range. This markup DOES NOT GO TO THE OIL COMPANIES, it goes to the local distributor, hauler and retailer.

The big oil companies are making their profit earlier on in the process.

Looks like they make it in the 26% area as well as the wholesale price of crude - they make money without taking possesion of the crude - the float
or the buy it at a set amount and price commitment, and when the price of crude goes up, they are locked in at the old price - without taking possesion of the crude. Did you ever see the documentary on Enron? it was called the "smartest guys in the room". take notice on how the traders took control or made conditions to benefit the rise in energy rates. They are doing the same thing here - dont think it isnt happening just because somebody wasnt caught yet - its because our politicians arent looking hard enough, or dont have the spine to take action. or even one better - everybody is everybodys friend. Sound like a conspiracy theory? no just greed taking over, and the Gov't not doing what they were elected to do. In time there will be a whistle blower to come out and confirm what most folks already suspect- we will be proven right once again. This play book has been played over more times within the last 8 years, and any other time on record. Its political with the flavor of corruption lingering all around it - Enjoy !!

ducati996 · Aug 24, 2006

MikePA said:
Try doing more research on the EIA site. Oil company profits on a gallon of gas is 10 cents when gasoline costs $3.00.

Funny - I provided a link to the EIA saying different - look for yourself

would you mind providing the link from the EIA that contradictes itself on its own website?

ducati996 · Aug 24, 2006

MikePA said:
The OIL COMPANIES LIKE EXXON make 10 cents a gallon. I did not say the people who pump the oil out of the ground are only making 10 cents a gallon. EXXON does not pump the oil out of the ground. EXXON is not a retailer. This thread is about EXXON.

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just another campaign of mis-information Exxon does pump the oil plus owns the refinery its delivered to - see article for percentages of ownership.
You dont make that type of money without having all bases covered! This is just one project and one example
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UPDATE 1-Nippon Oil buys crude from Exxon Sakhalin project
Wed Aug 23, 2006 5:01am ET

TOKYO, Aug 23 (Reuters) - Japan's top refiner Nippon Oil Corp. (5001.T: Quote, NEWS, Research) said on Wednesday it has made its first spot purchase of crude oil from the Exxon Mobil-led (XOM.N: Quote, Profile, Research) Sakhalin 1 project in Russia's Far East.

The 700,000-barrel cargo of Sokol crude will be delivered to Nippon Oil's oil terminal in Kagoshima, southern Japan, in October, the company said in a statement.

Nippon Oil said the cargo was bought from Sakhalin Oil and Gas Development Co. (SODECO), a government-backed consortium of Japanese oil companies and trading firms, which hold about 30 percent of Sakhalin-1.

It usually takes about three or four days to deliver crude from the DeKastri port in Sakhalin to Japan, the refinery said.

Nippon Oil declined to comment on the price paid for the cargo or the benchmark for Sokol crude.

Traders said Nippon Oil's barrels were the second export cargo from the project.

Project operator Exxon will export the first crude oil cargo to Japan for September loading. The first export cargo is due to arrive at a refinery run by Japan's TonenGeneral Sekiyu KK, 50 percent owned by Exxon, traders said.

Exxon delined to comment on the exports.

Sakhalin-1 is due to pump about 250,000 barrels per day (bpd) by the end of this year. Exxon Mobil and SODECO each hold 30 percent and India's Oil and Natural Gas Corp. (ONGC.BO: Quote, Profile, Research) has 20 percent.

The rest is held by state-run Russian oil company Rosneft.

SkyPup · Aug 24, 2006

Don't feel bad, even Hezbollah is complaining about the high cost of fuel these days:

BEIRUT, LEBANON—As the cost of rocket fuel soared to $630 per gallon Monday, Middle Easterners who depend on the non-renewable propellant to power 10-kilogram rockets have been forced to severely restrict their daily bombing routines, bringing this latest round of fighting to an unexpected halt.

Frustrated Hezbollah fighters face astronomical rocket-fuel prices at the pump.

"The way things are going, I won’t have any money left over for other necessities, such as anti-aircraft missiles, land mines, and machine guns," said Hezbollah guerrilla Mahmoud Hamoui, who is just one of hundreds of Islamic militants compelled to scale back their killing until rocket-fuel prices return to their pre-2006 levels.

Regions in southern Lebanon and northern Israel, once bursting with the sounds of exploding rockets and air attacks, now lay eerily silent.

Since the start of this year, the average Palestinian and Lebanese militant’s rocket-fuel consumption has surged from three gallons to 22 gallons per week—second only to Cape Canaveral, FL in propellant consumption.

Bob_Skurka · Aug 24, 2006

Just my take on it, but I looked at the site provided by Ducatti and don't see the huge profits that he sees. I do see the number 26% that he keeps refrencing, but that is not profit, it includes costs. It even says so.

Anyway, I also think that our taxes are way too low on gas and diesel. Perhaps if the government were to force the price of gas and diesel up to $5 or $6 per gallon (maybe more) then people would not drive gas guzzlers, people would live closer to work, probably live in apartments and use mass trasnsportation, alternative fuels would be economically viable, and the world would be much happier for government workers who thrive on high taxes and look for creative ways to waste tax dollars

NewToy · Aug 24, 2006

Bob_Skurka said:
Just my take on it, but I looked at the site provided by Ducatti and don't see the huge profits that he sees. I do see the number 26% that he keeps refrencing, but that is not profit, it includes costs. It even says so.

Anyway, I also think that our taxes are way too low on gas and diesel. Perhaps if the government were to force the price of gas and diesel up to $5 or $6 per gallon (maybe more) then people would not drive gas guzzlers, people would live closer to work, probably live in apartments and use mass trasnsportation, alternative fuels would be economically viable, and the world would be much happier for government workers who thrive on high taxes and look for creative ways to waste tax dollars

I am relieved you are not in a posistion to influence federal gasoline taxes. You would have the country at a standstill quick. The American people are already dealing with the "gas guzzlers", look at domestic auto sales the last quarter.

John

ducati996 · Aug 24, 2006

Bob_Skurka said:
Just my take on it, but I looked at the site provided by Ducatti and don't see the huge profits that he sees. I do see the number 26% that he keeps refrencing, but that is not profit, it includes costs. It even says so.

:

Its a breakdown of percentage based on the average cost of gas - never said profits. Refer to the companies 10Q for that please

Based on just the percentage breakdown 10 cents that was floated about from MikePA doesnt seems accurate

Of course you wont see what others are trying to point out to you with those big blinders on

This time I hope you dont scream the word "politcal" and get the thread shutdown, or tell me you put me on ignore...it would be another good thread lost....

Duc

ducati996 · Aug 24, 2006

NewToy said:
look at domestic auto sales the last quarter.

John

I agree with you

I find it a shame that we are allowing our great auto makers to take such a dramitic hit because of this. Sure they have their labors issues, but they wont stand a chance of fixing it if they cant sell the cars because of the gas prices. We need these company's to be healthy - they have a huge effect on our economy, now that the housing market is falling -because of the inflation fears caused by for the most part- oil....
if the oil supporters dont see trouble on the horizon, likely a real severe recession is heading our way, then they are short sighted. When nobody buys the gas, because nobody is buying new cars, because they cant re-finance or they lost the equity in their homes to buy anything new and all those new wells cant generate enough profits to break even because the demand dropped off who can they blame? Only themselves because they will ruin it for everybody, and in turn it will bite them on the arse..

I hope for the supporters of Big Oil they have a recession proof income -

Bob_Skurka · Aug 24, 2006

NewToy said:
I am relieved you are not in a posistion to influence federal gasoline taxes. You would have the country at a standstill quick. The American people are already dealing with the "gas guzzlers", look at domestic auto sales the last quarter.

John

John, the little smiley means I was being sarcastic!!! (it is even called the sarcastic smiley)

What strikes me about this whole thread is that some of the folks here are just begging for big government to step in and "fix" things while world history shows that every time a strong central government is allowed to run amok and control the ecomony that the result is poverty, poor quality and inefficiency.

The sky is falling said chicken little! Gas prices are at $3/gallon we need to limit the profits of companies so that they can't make their 10/cents per gallon profit. Never mind that the are selling more gallons so they should be making more mone. Never mind that consumers are demanding more and more and more. Never mind that we live in a free market.