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Old 03-19-2009, 03:54 PM   #19
brk-lnt
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Quote:
Originally Posted by Pineedles View Post
Have they started with the cash or credit pricing like here in CT & MA Difference can be as much as a dime a gallon. Cash price for regular this morning here in CT at a Citgo station is $1.93. I think they all are gouging though, $140 p.b. of oil down to $40 and they can't get the price under a buck, or close for that matter? Give me a break.
Depending on what state you're in (CT, MA or NH), between Federal and State gas taxes, you'll be paying 36-43 cents per gallon just for the taxes. Now you need to account for the drilling, refining, distribution and gas station markups.

A 42 gallon barrel of crude will yield 19 gallons of gas after refining (plus some other petroleum products), so at $40/bbl, you get a raw price of about 75 cents per gallon of gasonline. Now you're at ~$1.11-$1.18 per gallon, and you haven't accounted for the cost of refining (about 25-30 cents per gallon), distribution (20-30 cents per gallon), or end-user sale (8-10 cents per gallon).

Gas at or near a dollar ain't going to happen unless somebody decides to donate their part of the chain for free.
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