Posted On: 08/27/2014 10:58:23 AM
Post# of 43065
Re: PaperProphet #12918
A person can look look at crude oil prices, currently about $97.50/bbl and diesel spot prices, currently around $2.80 (what you see at the pump includes taxes), and see that a barrel of diesel costs about $20/bbl more than a barrel of oil.
That $20/bbl will be an approximation of what it costs to process and includes everything including transportation, processing, capital costs, inefficiencies, some profit, etc.... That number was lower in the past as well.
Diesel doesn't cost $20/bbl or $0.50/gallon because refineries generally need to pay market prices for the 'feedstock' crude oil. Just like the 'fuel' PTOI produces won't cost $0.25/gallon because PTOI needs to procure the plastics. Yes, PTOI could throw in free solid waste or get paid to take solid waste and really make the cost under $10/bbl...but then the oil produced would be close to worthless.
That $20/bbl will be an approximation of what it costs to process and includes everything including transportation, processing, capital costs, inefficiencies, some profit, etc.... That number was lower in the past as well.
Diesel doesn't cost $20/bbl or $0.50/gallon because refineries generally need to pay market prices for the 'feedstock' crude oil. Just like the 'fuel' PTOI produces won't cost $0.25/gallon because PTOI needs to procure the plastics. Yes, PTOI could throw in free solid waste or get paid to take solid waste and really make the cost under $10/bbl...but then the oil produced would be close to worthless.
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Yes, I understand your penny stock also is the real deal, created with the inventiveness of Edison and destined to be the next Microsoft. Yes, I understand that the delays are also only because your company is making their product and/or technology even more revolutionary.
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