PDA

View Full Version : Costs Related to a Gallon of Gas?


W7WV
06-27-2008, 07:00 PM
My wife came home the other day and said she read something at work that a retailer of gas only makes $.10 per gallon sold and that some $3 of the $4 we are paying now goes for research.
I don't know who wrote at article but they were smoking something funny or working for Bush.
I cannot buy that a retailer only gets $.10 per gallon. It would appear that the maintenance of pumps, the cost and permits and EPA compliance would cost more than that easily.
Also 75% of the current costs to exploration and research. Really.
What about the state and federal taxes and the distributors who transport it? Something is wrong with those figures she read about.
Has anyone ever seen a percentage wise breakdown for a gallon of gas?

KD6NIG
06-27-2008, 07:04 PM
10 cents? Wow. Thats pretty good.

A lot of things I've read have said half that, maybe. Most of the costs of operation come from sales in the mini-mart, usually.

N2RJ
06-27-2008, 07:11 PM
My wife came home the other day and said she read something at work that a retailer of gas only makes $.10 per gallon sold and that some $3 of the $4 we are paying now goes for research.
I don't know who wrote at article but they were smoking something funny or working for Bush.
I cannot buy that a retailer only gets $.10 per gallon. It would appear that the maintenance of pumps, the cost and permits and EPA compliance would cost more than that easily.

It's true. A couple of my inlaws own gas stations. They don't make a lot from the gas, and it's less than 10 cents per gallon.

Some gas stations close to where I live are also closing down their gas stations because selling gas is now unprofitable.

So while a lot of gas thirsty ignoramuses take out their frustration on the gas station owners, it is the oil companies (producers, refiners) making all of the money.

Also 75% of the current costs to exploration and research. Really.

Probably true. My cousin is a directional driller and makes a lot of $.

In 1999 I was looking at oil industry jobs. At that time the lowly roustabout on an oil rig made around $300-$400/day (US dollars), which is probably more today. You can just imagine how much they pay the other workers.