dogon dory
New member
Sorry, Folks - Post Deleted By Author
AstoriaDave":nihb3t6n said:Not much I can do to help you guys, dogon and the other Dave. I think you'll just have to believe whatever makes you comfortable.
dogon dory":31xknk4n said:I should whip up a good conspiracy theory about why diesel costs so much nowadays. No doubt it is linked directly to Tyboo's purchase of a diesel tank in some way. But since it might insite some sort of public uprising there in Joe's homeland I 'll keep it serious.tpbrady":31xknk4n said:I agree. I'm paying premium gas prices for diesel fuel. Alaska refiners produce about 3 times as much jet fuel as gasoline. My understanding the diesel we use is very similar from a refinery standpoint to jet fuel, the difference being additives. So why the high price for diesel?
For one thing, there are a lot more jets flying nowadays and a lot more diesel trucks on the highways. That's the demand side of the equation competing for the fuel. But the supply/demand equation nowadays is more complex than that.
Before coming to Alaska I worked in the chemical side of the business in "integrated" refineries. That means they make the normal refined products as well as other petrochemicals for plastics etc. It used to be that to produce gasoline through normal distillation, you got a bunch of kerosene and diesel whether you needed it or not. Todays technology has reached the point that we can turn virtually any hydrocarbon into any other, more desireable/more profitable hydrocarbon product.
All the chemE types used to talk about how many "molecules" of this or that were coming and going. The reason they used that terminology is because that is what they were managing (plus they were a bunch of geeks). Didn't make much difference which type of stuff it was, they could turn it into anything they wanted to. It takes X number of molecules of diesel to make Y number of molecules of propylene for plastic.
Because of the state of the technology, the value of hydrocarbons is now more or less related to how much energy (BTUs) they contain. Diesel has more energy than gasoline per gallon which means it has more hydrogen/carbon bonds which is what floats the chemEs' boats (no pun intended). They can break all those bonds apart and reassemble them in various combinations to make different stuff.
Sometimes supply/demand is more straightforward though. For example that's why propane is so expensive. A gallon of propane has way less energy than a gallon of gasoline but it costs more because it takes very little to turn propane into propylene to make plastic out of. And we all know how fond the world is of plastic. The distribution network is also more complex which adds cost.
All of that explanation was for everybody other than Tom. Up here it pretty much boils down to the old supply/demand equation. And they've got the supply. Plus I guess they figure anybody that can afford to drive a $35k diesel truck or a Mercedes can pay a little extra for fuel.
Man I wish it would warm up so I can get a life....
TyBoo":3434c5rq said:It's them damn antibiotic dinosaurs, isn't it?
Nah, viral DNA in the dinoflagellates that produced the oil in the first place!TyBoo":1ydut1gi said:It's them damn antibiotic dinosaurs, isn't it?