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Gas For $1.89

Discussion in 'Commercial Snow Removal' started by Flawless440, Dec 25, 2014.

  1. Flawless440

    Flawless440 PlowSite.com Addict
    Messages: 1,543

    Marry X-Mas Everybody.....Kids made out like a bandit.

    West side of Columbus Gas for $1.89... Wish we were workin so we could burn some up..
    I remember starting this business $15 in the truck, $10 gas up a mower, $2 in a can for the blower/ trimmer... Go mowing for a day.. Is gas really that cheap again?

    Who thinks its going to jump back up to $3?

    When are they going to drop the Diesel?
  2. derekslawncare

    derekslawncare PlowSite.com Addict
    Messages: 1,003

    It's nice to have the gas down, but I agree, it would be even nicer if the diesel would follow suit. I think the teamsters need to go on strike again like they did several years back when diesel first started to be outrageously overpriced. Supposedly, diesel requires less refining than gas does to make, so I wonder what the reasoning behind it staying high when gas drops is. I think it may have something to do with the Ultra Low Sulfur crap that we run today vs back then, but I could be wrong. Somebody that knows fuel chime in and give us a tutorial would ya?
  3. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    It will be back up to 4 bucks by summer.OPEC has the cash reserves to let it fall until other oil produces fold up. And bottom feeder investors can not buy oil on the market and start to push the price back up
  4. Flawless440

    Flawless440 PlowSite.com Addict
    Messages: 1,543

    $4 would be crazy by summer.. It will show what real a$$holes they are.. Whole time they can drop the price when ever they want.
    I thought we had some new oil pipeline runnin though the U.S allowing a price drop???
  5. derekslawncare

    derekslawncare PlowSite.com Addict
    Messages: 1,003

    Nope, the democraps keep voting against it.
  6. scottr

    scottr Senior Member
    Messages: 405

    Your right, back in the days before ULSD, the refining costs were much cheaper for diesel and heating oil, today, not only does it add another very large and expensive process to pull the sulphur out but then they have to despose of it or try to sell it with a very small market. Or pay to get rid of it. Like everything the cost gets passed on.. On top of that, good old economics 101...... Supply and demand plays its roll, weather natural or artificial :help:
  7. Shade Tree NJ

    Shade Tree NJ Senior Member
    Messages: 202

    Diesel dropped here in NJ along with regular gas, just need to pay attention to price. Exxon around $3.40 a gallon of diesel, convince store $2.93 gallon of diesel yesterday. Regular is from $2.03 (cheapest I have seen @ sams club) to $2.65 at She'll station, always is a lot higher than all other stations. And as bonus all gas in NJ is full service, old state law makes it illegal to pump your own gas, works out great when nasty and cold out.
  8. leigh

    leigh 2000 Club Member
    from CT
    Messages: 2,342

    Kind of ironic but cheap fuel is a not a positive. Canary in a coal mine! Frackers nightmare.
  9. procut

    procut Senior Member
    Messages: 903

    Don't know if it is true or not but that's one of the reasons for the cheap oil that I heard. Supposedly opec is fearful of fraking so they are flooding the market to drop the price hoping the frakers will either have to go out of business or will abandon the fraking idea when there is no money to be made.
  10. DieselPowered

    DieselPowered Junior Member
    Messages: 13

    Now if only we could buy gasoline or diesel futures at these prices like the airlines do... Could lock in these prices for a year or more... But, then who has that kind of money in this business...?
  11. leigh

    leigh 2000 Club Member
    from CT
    Messages: 2,342

    That's part of it,sort of like lowballing nationals lol.
  12. John_DeereGreen

    John_DeereGreen 2000 Club Member
    Messages: 2,908

    It's been in the low 2's here for 3 weeks.

    Makes me love my diesel. :realmad::realmad::realmad:

    If I added up all the money I've spent on extra fuel and repairs vs a gas truck, I'd have been ahead to give this one away and buy a new gas truck
  13. Flawless440

    Flawless440 PlowSite.com Addict
    Messages: 1,543

    Buy stock in Oil and ride it back up??
  14. allagashpm

    allagashpm Senior Member
    Messages: 797

    The diesel is 350 here, 235 for 87. I don't miss the diesel truck but let's not start that convo. The diesel prices are more consistent than gas, it will fluctuate but for the most part it will stay within the same range whereas gas can skyrocket. It is also taxed more than gasoline, I dont remember the percentage though. I filled my fiance car for 26 bucks I couldn't believe it.
  15. SnoFarmer

    SnoFarmer PlowSite Fanatic
    from N,E. MN
    Messages: 9,883


    the big price differentiation is not because of the ULSD requirements,
    yes it cost a little more and we saw that increase already.

    diesel taxation has gone up.
    coal fired power-plants have been converted to natural gas or fuel oil, IE diesel fuel because noboma doesn't like coal.

    Then the winter demand for home heating oil, IE diesel fuel.
    and the increased demand from the record number of diesel powered vehicles..

    the patch is causing a regional price increase as demand remains high.
    Also, beginning in September, gas demand declines, but diesel fuel demand increases as more diesel fuel is required for the machinery to harvest and transport crops
    supply and demand


    ps ulsG is right around the corner.
    Last edited: Dec 26, 2014
  16. jimbo64

    jimbo64 Senior Member
    Messages: 194

    OPEC will continue to provide cheap oil until North American providers begin to shut down and lay off because of the low cost of this "Terrorist" oil. Already all levels of government are complaining of the taxes they are losing and the programs they will have to cut because of these low prices. As usual it's the average working people that suffer.
  17. SnoFarmer

    SnoFarmer PlowSite Fanatic
    from N,E. MN
    Messages: 9,883

    actually we have taken opec out of the equation.
    they are begging the USA not to drill any more and to turn off the flow of crude.
    and if we did have the pipe lines in place ans increased refining we could tell opec to go f, them selves

    These new supplies, which are available to meet U.S. domestic petroleum product demand, have substantially reduced U.S. dependence upon crude oil imports from overseas. Continued efficient development of domestic resources promises even greater improvement in the domestic supply-demand balance.
    OPEC, an international cartel of oil-producing countries, is the single
    most important production-related entity in the global crude oil
    market.Its members produce about 40 % of the world’s daily
    consumption of crude oil. OPEC’s objective has been to manage its
    members’ collective supply through production quotas in order to
    prop up world oil prices. While OPEC has sought to limit supply to
    the marketplace

    US oil production has gone up 50% in the last 10years.

    we did all this to stop opec, they no longer call the shots.
    and if oil prices stay low the oil boom will end, willeston will be a ghost town.
    Last edited: Dec 26, 2014
  18. KFX450RXC

    KFX450RXC Member
    Messages: 51

    Gas is about $2.30 down here. Diesel is slowing getting there. Its getting close to $3.00 but most areas average around $3.15 or so.

    Just my .02. As long as Europe's demand for diesel is so high, it'll be hard for it to drop as low as gas.
  19. SnoFarmer

    SnoFarmer PlowSite Fanatic
    from N,E. MN
    Messages: 9,883

    I agree,to a point
    That to is a issue.
    Russia is capable of refineing ulsd also. (At 10ppm)
    Our sanctions on Russia is putting the hurt to them and they are ever so eager sell diesel fuel to Europe.

    We have cut back our exports of diesel to Europe, so why would that drive up prices?

    Last edited: Dec 26, 2014
  20. jimbo64

    jimbo64 Senior Member
    Messages: 194