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Posted by Chris Case @ San Diego on Friday, March 14, 2008 at 12:47:06 :
In Reply to: Dumb... posted by MoparNorm on Friday, March 14, 2008 at 11:32:03 :
The refiners get variable ratios of different fuels from a barrel. More of the lighter products means less of the heavier, and visa versa. With the new formulas of gas and diesel both, they may be competing for the mid-weight chemicals. It is possible that every gallon of ULSD 'costs' multiple gallons of 87 octane regular. Diesel used to be considered a by-product of gasoline refining, not no more.
Supply and demand rules have effects right within the cracking towers.
And then price gouging comes into play...
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