Crude down to 44$ a barrell

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brazen_dude

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International Crude is down to 44$ a barrel and Merrill are predicting a barrel to hit 25$ if recession hits china... But the pump prices are not reflecting the same reductions... Where as fuel prices in US are more realistic compared to barrel price now. See the below excerpt,

US wholesale petrol prices, which last traded below the $1 a gallon level in January 2004, have sunk almost 73 per cent since reaching a record $3.6310 in July.
Government data shows the nationwide average for US retail petrol prices has dropped to $1.81 a gallon from a peak of $4.114 in July, a decline of 56 per cent.


Definitely a fuel scam is going on in Ireland/Europe.
 
Wow you really are following the trends in the oil market. The prices you quote are for crude. The oil has to be refined before it is marketable for us poor sods. It taks approx 4-6 week for the change to reach the pumps, perhaps that answers your question - perhaps not!!
 
you get 158liters of oil from a barrel of crude out of which 120 liters is petrol & diesel... approx.... $1.81 for a gallon(4liters approx) is the retail price for gasoline/petrol in US at pumps ...dated 01/12..... so the prices in Ireland are no where near those...
 
I am curious to know the price levels of petrol and diesel in Ireland in the years 2003/2004.... can some throw the info...... value of € gained a lot since then... I feel the current prices are very unrealistic and oil companies/govt are not passing the savings to the consumers...
 
Point to note, pumps/oil companies did not wait 4-6 weeks to pass on the increase when the crude increased...
 
brazen_dude said:
I am curious to know the price levels of petrol and diesel in Ireland in the years 2003/2004.... can some throw the info...... value of € gained a lot since then... I feel the current prices are very unrealistic and oil companies/govt are not passing the savings to the consumers...
Click to expand...

I have a photo knocking about somewhere (I think it was taken in 2004). There was a petrol station in the background and the price at the pump was less than 80c per litre - and diesel was cheaper. I'll dig it up if I get the chance.
 
OMG You should change your name to JR. I have'nt a clue about how many litres per barrell of crude etc. (until now!!!) Are you in the oil business or are you so intrigued that you gained so much knowledge that you can give an informed argument to the oil companies!!!!
 
As master card says, for everything else you have Wikipedia...lol...
thanks j26... if it was 80c in 2004 the realistic pump prices should be the same.... $ to € in 2003/2004 are same like now today (0.79 to 0.82)... only diff from then to now is 8c levy on petrol... Historical crude price for Oct 2004 - 48$
 
Dug out the pics - 20 March 2004 it was 86.9(petrol)/79.9(diesel) while at the same place on 1 May 2004 it was 89.9/82.9.

I had though it was under 80, but it seems I was wrong.
 
Why have fuel prices not fallen more dramatically?

As mentioned before - if oil was $0 a barrel on the world markets, transportation was free, and filling stations charged no margin, we'd still pay about 70 cent for a litre of petrol at the pumps.
That goes direct to the government.

Is the government ripping you off? I'd rather think it's punishment for being an evil polluting car-driving monster who's killing the polar bears
 
brazen_dude said:
Point to note, pumps/oil companies did not wait 4-6 weeks to pass on the increase when the crude increased...
Click to expand...

Is there any significant evidence that this is true?

Wholesale oil prices climbed upwards on almost a daily basis for several months over last winter.

I don't remember the prices at the pumps being increased correspondingly. The price increases that did occur were far more gradual th.an the wholesale increases.
 
in Cork kerosene is running at 56c a litre so in our neck of the woods a 1,000 ltrs would cost you €560 approx.
 
I've done this before, but in quick terms

US Gallon = 3.8litres
Current price (as of today) of unleaded petrol from refinery = 97c (us) per US Gallon.
This equates to approx. €uro 20c per litre.
Add 50c duty
Add 12c distribution / retail costs (average)

Total = 82c

Add 21.5% VAT
Retail price = 99.6c


Diesel is currently $1.38 / US Gallon. = e 29c + 35c duty + distribution 12c + vat = 92c - Expect diesel to fall to 92 cent next week.
Home heat is $1.50 / US Gallon = e 31c + distributor 10c = 41c + vat @ 13.5% = 46.5c - Expect 1000 litres home heat to cost €465 soon. (no duty on kerosene)


Average retail price currently = 99c

Some petrom retailers take very small margin of 4c per litre to get you into the store to purchase sandwich etc and these retailers are normally 3 - 4 c cheaper than average - thus some sations currently sell at 95c
 
mcaul said:
Diesel is currently $1.38 / US Gallon. = e 29c + 35c duty + distribution 12c + vat = 92c - Expect diesel to fall to 92 cent next week.
Home heat is $1.50 / US Gallon = e 31c + distributor 10c = 41c + vat @ 13.5% = 46.5c - Expect 1000 litres home heat to cost €465 soon. (no duty on kerosene)
Click to expand...


Damned accurate me thinks!:D

Diesel down to 92/93c in many garages.
1000 litres kero from Top Oil Kildare €465.00

I can't see it going much lower at this stage.

Just to think 14 weeks ago we were looking at €1.50 diesel & €1150 for fill of kero! On top of increased mortgages.:eek: - What a difference a few weeks makes!
 
mcaul said:
]
Just to think 14 weeks ago we were looking at €1.50 diesel & €1150 for fill of kero! On top of increased mortgages.:eek: - What a difference a few weeks makes!
Click to expand...


Carlsberg don't do recessions , but if they did :D
 
brazen_dude said:
Crude for january contract down to 34$....

[broken link removed]
Click to expand...

I'd ignore that - this is just market traders closing their books and in reality doesn't affect the overall market. - back in september, similar action saw prices rise $30 in a day. The press love this stuff, but in reality its of no consequence.

Current price for refined product is down slightly and the dollar is settled at 1.40 region.

Expect another couple of cent to come off prices in the new year.
 
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