Just bought gas for under $3

Rip · Post by **Rip** » Fri Oct 25, 2013 4:42 pm

Hooray! It has been some time since I bought gas that cheap.

Biyobi · Post by **Biyobi** » Fri Oct 25, 2013 4:48 pm

Rip wrote:Hooray! It has been some time since I bought gas that cheap.

Ahh, gulf coast pricing. Premium just crept under $4 here in the LA area and I wanted to throw a celebration. I thought about creating a holiday for it, but that would have caused them to jack the price back up.

Scuzz · Post by **Scuzz** » Fri Oct 25, 2013 4:51 pm

i thought it getting under $3.50 here in Central Cal was a great thing.

Isgrimnur · Post by **Isgrimnur** » Fri Oct 25, 2013 5:08 pm

It's been popping up and down over the $3 mark in Dallas depending on local factors, vendors, etc.

disarm · Post by **disarm** » Fri Oct 25, 2013 5:20 pm

The price for premium in CT got to $3.99 a couple weeks ago. I think it's the first time I've paid less than $4 in Connecticut in 18 months or more...

miltonite · Post by **miltonite** » Fri Oct 25, 2013 5:45 pm

Rip wrote:Hooray! It has been some time since I bought gas that cheap.

Don't forget, you got to pump it yourself.

Scuzz · Post by **Scuzz** » Fri Oct 25, 2013 5:53 pm

miltonite wrote:
Rip wrote:Hooray! It has been some time since I bought gas that cheap.
Don't forget, you got to pump it yourself.

What is with states that make you have someone else pump your gas? Liberal wussy states.

NickAragua · Post by **NickAragua** » Fri Oct 25, 2013 5:56 pm

Scuzz wrote:
miltonite wrote:
Rip wrote:Hooray! It has been some time since I bought gas that cheap.
Don't forget, you got to pump it yourself.

What is with states that make you have someone else pump your gas? Liberal wussy states.

It's a very rare gas station in Massachusetts that has full service, a situation with which I am perfectly content.

Teggy · Post by **Teggy** » Fri Oct 25, 2013 6:03 pm

Thanks, Obama.

Rip · Post by **Rip** » Fri Oct 25, 2013 6:11 pm

Teggy wrote:Thanks, Obama.

Indeed, since we haven't built any new refineries nor steamlined any regulation to make refining any cheaper one can only gather we can thank economic "growth".

Isgrimnur · Post by **Isgrimnur** » Fri Oct 25, 2013 6:33 pm

Yeah, there's been no new capacity installed in forever. Oh, wait...

Ground was broken in March 2013 for construction of a new refinery in North Dakota. The 20,000-barrel-per-day (bbl/d) Dakota Prairie facility is scheduled to be built in 20 months.

In 2012, Motiva upgraded its refinery in Port Arthur, Texas, making it the largest refinery in the U.S. with a capacity of 600,250 barrels per calendar day.

In 2009, Marathon upgraded its Garyville, Louisiana refinery. As of January 1, 2013, the capacity is more than double its original 1977 capacity.

RMC · Post by **RMC** » Fri Oct 25, 2013 6:45 pm

I think I paid 3.23 in Ohio yesterday. It was right around there anyway.

Rip · Post by **Rip** » Fri Oct 25, 2013 6:46 pm

Isgrimnur wrote:Yeah, there's been no new capacity installed in forever. Oh, wait...

Ground was broken in March 2013 for construction of a new refinery in North Dakota. The 20,000-barrel-per-day (bbl/d) Dakota Prairie facility is scheduled to be built in 20 months.

In 2012, Motiva upgraded its refinery in Port Arthur, Texas, making it the largest refinery in the U.S. with a capacity of 600,250 barrels per calendar day.

In 2009, Marathon upgraded its Garyville, Louisiana refinery. As of January 1, 2013, the capacity is more than double its original 1977 capacity.

http://www.eia.gov/dnav/pet/hist/LeafHa ... irius2&f=a

Move the pieces around the board all you want.

Gross inputs to refineries is flat and has been for sometime. A 20K refinery in two years or small upgrades to existing refineries is background noise. Oil prices have some effect and they are down right now, but by far the biggest reason is lack of demand.

http://www.zerohedge.com/news/2013-03-0 ... -dow-jones

Let's try to spin this: "Gas demand is plunging on a soaring economy, a record DJIA and a more resilient consumer"... Hm, no, that didn't work. Let's give it another try: "Surge in sales of flaming paperweights known as Chevy Volts leads to a plunge in gasoline demand." Uh, no. One last try: "Consumers migrate to Flintstonemobiles, gas up what internal combustion engine cars they have with redbull vodka"... Sorry, we suck at this "spin" stuff - we will leave it to CNBC. They are the real pros.

Scuzz · Post by **Scuzz** » Fri Oct 25, 2013 6:51 pm

Yea, gas prices are down, we are producing more but the economy is supposed to be improving. So at what point do the Chinese start buying it up again and we see the price go up.

Rip · Post by **Rip** » Fri Oct 25, 2013 7:00 pm

Scuzz wrote:Yea, gas prices are down, we are producing more but the economy is supposed to be improving. So at what point do the Chinese start buying it up again and we see the price go up.

They don't buy gasoline from us. You don't want to transport gasoline so far from where it is refined. We sell them oil, they can refine it closer to them cheaper than we can. Gasoline is a way separate product from natural gas or crude oil. The cost/price factors are much different. Even if we could magically produce as much oil as we want for free gasoline would be far from free. Oil cost is only about 50% of the cost of to produce gasoline.

Isgrimnur · Post by **Isgrimnur** » Fri Oct 25, 2013 7:07 pm

How does it spin when it turns out that we export gasoline? Surely if supply issues were such a horrendous burden on prices, we'd go back to the 70s and 80s when we were importing it, no?

Face it, refinery capacity and domestic shortages are not driving gas prices.

Scuzz · Post by **Scuzz** » Fri Oct 25, 2013 7:10 pm

Rip wrote:
Scuzz wrote:Yea, gas prices are down, we are producing more but the economy is supposed to be improving. So at what point do the Chinese start buying it up again and we see the price go up.
They don't buy gasoline from us. You don't want to transport gasoline so far from where it is refined. We sell them oil, they can refine it closer to them cheaper than we can. Gasoline is a way separate product from natural gas or crude oil. The cost/price factors are much different. Even if we could magically produce as much oil as we want for free gasoline would be far from free. Oil cost is only about 50% of the cost of to produce gasoline.

No, but in a world market gas bought from somewhere else is replaced by gas bought from somewhere else etc. The market is all tied together. That is why the idea of America drilling itself into energy independence doesn't work. Heck, most the oil drilled for here belongs to foreign oil companies.

Scuzz · Post by **Scuzz** » Fri Oct 25, 2013 7:11 pm

Isgrimnur wrote:How does it spin when it turns out that we export gasoline? Surely if supply issues were such a horrendous burden on prices, we'd go back to the 70s and 80s when we were importing it, no?

Face it, refinery capacity and domestic shortages are not driving gas prices.

Most of what we export, as I understand it, is the fancy products, specialty stuff, not the gas you would put into your chevy.

Rip · Post by **Rip** » Fri Oct 25, 2013 7:17 pm

Isgrimnur wrote:How does it spin when it turns out that we export gasoline? Surely if supply issues were such a horrendous burden on prices, we'd go back to the 70s and 80s when we were importing it, no?

Face it, refinery capacity and domestic shortages are not driving gas prices.

That is nothing. 10K barrels a year. As shown by the chart in my link demand is down by like 1500 barrels A DAY. That is 547,500 barrels a year. 10K is chicken feed.

Oh and BTW, the reason you are seeing that export go up is because the foriegn price has become competitive with selling it at home. Why you might ask? Because demand at home has tanked.

Isgrimnur · Post by **Isgrimnur** » Fri Oct 25, 2013 7:45 pm

Then I'm not honestly not sure what your point is. We need to expand drilling and refining operations to meet the demand of the domestic market that's exporting oil and having demand drop?

Zurai · Post by **Zurai** » Fri Oct 25, 2013 7:57 pm

Rip wrote:
Isgrimnur wrote:How does it spin when it turns out that we export gasoline? Surely if supply issues were such a horrendous burden on prices, we'd go back to the 70s and 80s when we were importing it, no?

Face it, refinery capacity and domestic shortages are not driving gas prices.
That is nothing. 10K barrels a year.

Per month, not per year, and the average for Jan-Jul 2013 is 11,375 barrels per month. That's 136k barrels per year.

JonathanStrange · Post by **JonathanStrange** » Fri Oct 25, 2013 8:00 pm

I've been purchasing gas for $2.89 for a week or so at the local Giant. BUT my cousins' don't even pay that! They just keep pestering me to buy them a few gallons to get them home. So it's free if your cousin wants you to drive away!

Rip · Post by **Rip** » Fri Oct 25, 2013 9:45 pm

Isgrimnur wrote:Then I'm not honestly not sure what your point is. We need to expand drilling and refining operations to meet the demand of the domestic market that's exporting oil and having demand drop?

No, if the economy stays in the tank you really don't need that much growth in drilling/refining.

Problem solved.

Kraken · Post by **Kraken** » Fri Oct 25, 2013 9:45 pm

Taxes prevent the price from going much below $3.50 here. I think the cheapest I've seen is around $3.40. I pay a premium price of nearly $4 for premium, but my grocery store reward points bring that down by 30 or 40 cents per gallon every time I fill up so I don't pay much more than I would for regular.

Since I only have to fill my 11-gallon tank every 5 or 6 weeks, it doesn't matter except inasmuch as I would always rather pay less than more.

wonderpug · Post by **wonderpug** » Fri Oct 25, 2013 9:56 pm

Just dipped under $3 here in New Mexico, too.

Isgrimnur · Post by **Isgrimnur** » Fri Oct 25, 2013 10:17 pm

Rip wrote:
Isgrimnur wrote:Then I'm not honestly not sure what your point is. We need to expand drilling and refining operations to meet the demand of the domestic market that's exporting oil and having demand drop?
No, if the economy stays in the tank you really don't need that much growth in drilling/refining.

Problem solved.

Didn't seem to have an impact after the dotcom boom in terms of export amounts. Your gross inputs haven't changed since then. And it didn't impact the demand curve on your Chart of the Day.

Zaxxon · Post by **Zaxxon** » Fri Oct 25, 2013 10:24 pm

Huzzah for winter blend!

Jeff V · Post by **Jeff V** » Sat Oct 26, 2013 11:01 am

Rip wrote:
Teggy wrote:Thanks, Obama.
Indeed, since we haven't built any new refineries nor steamlined any regulation to make refining any cheaper one can only gather we can thank economic "growth".

But when gas was high, it was his fault? Sorry, you don't get it both ways.

magic · Post by **magic** » Sun Oct 27, 2013 8:45 pm

$2.989 here in NJ this morning.

Cash.

A shame I have to put Premium in the tank, and there's a 55 cent difference in the price.

RunningMn9 · Post by **RunningMn9** » Sun Oct 27, 2013 9:12 pm

Haven't seen below $3 yet around my parts of NJ. Maybe I'll get surprised this week!

stessier · Post by **stessier** » Mon Oct 28, 2013 3:49 am

We are hovering right on the edge here in upstate SC. One week it will be $3.05, the next $2.95.

Jeff V · Post by **Jeff V** » Mon Oct 28, 2013 7:56 am

I saw some for $3.87 out here in the 'burbs yesterday, which means it must still be close to $5.00 in the city.

dbt1949 · Post by **dbt1949** » Mon Oct 28, 2013 7:59 am

$2.94 here in the boonies. Got 15 cents off a gallon using my Harps card so $2.79 a gallon.

Teggy · Post by **Teggy** » Mon Oct 28, 2013 2:12 pm

I work from home and drive a Honda Fit, so I never have a good idea of what gas is going for, but gasbuddy tells me it's around $3.40.

The thing that always blows me away is when I moved to Boston in 1998 I paid $.79 a gallon for heating oil. It's like when your parents tell you they paid a nickel to go to the movies, but it was really not that long ago at all.

Kraken · Post by **Kraken** » Mon Oct 28, 2013 3:47 pm

My radio told me today that the average price in MA fell 4 cents last week to $3.34, which is the lowest this year. I think that's about what it costs at the local Cumby where I fill up.

Octavious · Post by **Octavious** » Mon Oct 28, 2013 3:55 pm

It was 3.04 at the station near me. Which means the generic stations down the road are probably at 2.99.

Boudreaux · Post by **Boudreaux** » Mon Oct 28, 2013 4:20 pm

$2.849 here in St. Louis this morning. Cheapest I can remember in quite awhile.

Octavious · Post by **Octavious** » Mon Oct 28, 2013 4:40 pm

NJ has the cheapest tax on gas as far as I know so I'm kind of surprised that anyone is beating us. Can't we win at anything?

Isgrimnur · Post by **Isgrimnur** » Mon Oct 28, 2013 4:42 pm

Don't you make up for that by having to pay those pesky attendants?

Octavious · Post by **Octavious** » Mon Oct 28, 2013 4:46 pm

Please they are free. I'm not even sure if they get paid anything. I feel so weird when I have to do it myself. You people are so uncivilized.