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A different slant on looking at fuel prices, lowest in history now.


Wild and Free

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Wish diesel fuel would follow suit. Still have yet to see it fall below $3.30 locally.

 

Diesel is a different animal compared to gasoline, ever since the EPS's ultra low sulfer mandate that changed the refining process which is longer much more complicated process and more expensive so diesel will never be to low levels like gas due to that alone not to mention the demand for diesel keeps climbing as well but for me locally hopefully in the coming months I hope our prices fall due to a new diesel fuel specific refinery having gone live a couple weeks ago about 80 miles from me, first new refinery built in USA in nearly 40 years and one more in the process of being built that will be a diesel only refinery as well here in ND.

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I've read in many reports where the added cost of a gallon of ULSD compared to a gallon of LSD is 10 cents a gallon. The big cost was the transition in updating the equipment which was billions of dollars but 10 - 12 cents a gallon difference is the number I've seen in a few places like NACS and EIA.

I believe you are right when you talk about demand, aside from the marginal increase here much of the world is dependent on diesel fuel like we are to gas and it probably pays better to export then it does to keep it here, which keeps the demand and therefore the prices where they are.

What technology did they recently bring to your area? Would be interested to hear about it.

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What technology did they recently bring to your area? Would be interested to hear about it.

 

Here is a link to the new diesel refinery that went online just before Christmas. The state and oil industry are trying to keep a lot more product local and process it here to avoid the transportation glut we run into since a couple of big pipelines are being held up that are creating issues with the railroads other commodity backlogs like AG products and coal. 

http://www.dprefining.com/

 

There are several natural gas processing plants in the works as well as fertilizer plants and a new 400 billion dollar plastics / pvc pellet manufacturing facility committed to the state now to they are looking for the right location as of now but I can't recall the company name right off the top of my head.

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