What i don’t understand is that gasoline prices always ensure a barrel of crude oil is almost break even. Thats like just under half a barrel of crude. Another third of that barrel is processed as other fuel.
Just looking at the most abundant fuel, 20 gallons of gasoline, 11 gallons of diesel per barrel.
So for the current prices: $4.10 per gallon of gas, $5.65 per gallon of diesel. That’s $144.15/barrel. And we still have about 25% of the barrel left.
“But wait, what about refinery costs?”
Any idiot with high-school chemistry knowledge could refine a barrel of crude for profit. It’s the same damn process as distilling alcohol.
Maybe not into the exact formulations of mass produced products nowadays, but its a stupid simple process.
What i don’t understand is that gasoline prices always ensure a barrel of crude oil is almost break even. Thats like just under half a barrel of crude. Another third of that barrel is processed as other fuel.
Just looking at the most abundant fuel, 20 gallons of gasoline, 11 gallons of diesel per barrel.
So for the current prices: $4.10 per gallon of gas, $5.65 per gallon of diesel. That’s $144.15/barrel. And we still have about 25% of the barrel left.
“But wait, what about refinery costs?”
Any idiot with high-school chemistry knowledge could refine a barrel of crude for profit. It’s the same damn process as distilling alcohol.
Maybe not into the exact formulations of mass produced products nowadays, but its a stupid simple process.