Posted by john in la on November 13, 2022 at 06:50:01 from (97.80.68.11):
In Reply to: Diesel Shortage posted by whizkidkyus on November 12, 2022 at 21:58:15:
I tried to explain this last week but I guess some did not see it. I will not address the political side of this. All one has to do is ask why would anyone in DC want diesel over $6 a gallon in November and they can see how far fetched that is.
So lets look at real facts. I will address the north east because we have plenty diesel in the south east. The north east is north of I 40 and east of the Mississippi.
We have for years exported diesel to Europe. We have for years imported diesel from Europe to the north east U.S.
Now lets go back 2 years. The whole world shut down. Oil went below $0. We had jet fuel and gasoline coming out of our ears. Refineries were forced to slow production. Since diesel sales were still strong through heating oil and road trucks we lived off stored reserves that the system always keeps on hand. Not a big deal because when they come back online they will just replenish the supply line.
Then we were hit with a one two punch. Not one but I want to say two refineries in the north east went down from explosions and fire. I want to say they were in Ohio. This cut supply to the north east.
Then we have the war. Sanction Russia we do not care how high the price of fuel goes. So a major supply of diesel to Europe was cut off. They look to the U.S. to meet this supply shortage. And they are willing to pay for it at higher than U.S. prices.
So while we have plenty diesel on the gulf coast; where the biggest refineries in the U.S. are lets see how this plays out. There is only one pipeline between the gulf coast going up the east coast and we have to keep sending a share of gasoline. We can not just send diesel all the time. The supply from Ohio is cut off. The supply from Europe is cut off. The Jones act prevents us from loading ships in the gulf and sending them to the north east U.S. And Europe is willing to pay dearly for our gulf coast diesel.
If I was a oil company I would be doing just as they are. Load my diesel on a ship and send it to Europe. This will give me record profits.
And that is the facts and will remain the facts as long as the Jones act is in place and we sanction Russia because I do not see us replacing or building any new refineries in the north east. So get use to paying Europe prices for diesel.
Upload one or more videos to your post. Photo and video filesizes should be less than 5MB. Formats allowed are gif, jpg, png, ogg, mp4, mov, and avi. Be sure to use filenames without spaces or special characters, and filetypes of 3 digits lower case.
We sell tractor parts! We have the parts you need to repair your tractor - the right parts. Our low prices and years of research make us your best choice when you need parts. Shop Online Today. [ About Us ]
Today's Featured Article - Tuning Up Your Tractor: The Battery - by Curtis Von Fange. Buried somewhere beneath the sheetmetal, under the gas tank, or stuffed in front of the radiator is the battery. This elusive and neglected component of the tractor is the hardest to get to when it is dead and in need of a jump. But usually, the storage battery is a storehouse of electrical energy waiting to be released a the flick of a switch. A few maintenance tips and periodic cleaning will keep it charged for the duration of its life span. The battery is made up of a number of lead bas
... [Read Article]
Latest Ad:
For sale Farmall super A tractor is complete and has just been setting for awhile,it was running when pulled out of the barn,shouldn’t take to much to get it going asking 1100.00
[More Ads]
All Rights Reserved. Reproduction of any part of this website, including design and content, without written permission is strictly prohibited. Trade Marks and Trade Names contained and used in this Website are those of others, and are used in this Website in a descriptive sense to refer to the products of others. Use of this Web site constitutes acceptance of our User Agreement and Privacy Policy
TRADEMARK DISCLAIMER: Tradenames and Trademarks referred to within Yesterday's Tractor Co. products and within the Yesterday's Tractor Co. websites are the property of their respective trademark holders. None of these trademark holders are affiliated with Yesterday's Tractor Co., our products, or our website nor are we sponsored by them. John Deere and its logos are the registered trademarks of the John Deere Corporation. Agco, Agco Allis, White, Massey Ferguson and their logos are the registered trademarks of AGCO Corporation. Case, Case-IH, Farmall, International Harvester, New Holland and their logos are registered trademarks of CNH Global N.V.
