I don't think you can look at the price/profit for a gallon of gasoline, but rather look at the breakdown of the profit on a 42 gal. barrel of crude.
One barrel of refined crude yields, in addition to Gasoline, Diesel Fuel, #2 Heating Oil, Jet Fuel, Kerosene, Propane, Motor Oil and assorted Petrochemicals.
When all these are factored in, the Oil Cos. are doing just fine - yielding a little over $70/Bbl profit. At today's wholesale prices, that hovers near 50% of the market price (especially when you factor in Oil Depletion Allowances)... that's more than a reasonable profit margin.
Last edited by Lil bastard; 06-23-2008 at 09:22 PM.
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