Fuel Prices report

Natural gas prices have been on a tear in the past month. Look for that to show up in the price of diesel. Crude may roll over here and go back to $93 briefly, but it's going to $125 one way or another.
 
Morganton today.
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My side of WS seems to have leveled off at 3.69 for 87. I think Costco had it for 3.5x, but the line was 10 deep so I just kept going.
 
Diesel prices are retardulous and it makes no sense.
 
Hearing friends say gasoline has gone up a bit in the last few days. Still 3.89 in Galax and have seen it 3.69 in Mount Airy.
 
I was in Staley NC Thurs thru Sat and fuel was $4.89 on Thurs,Got up Fri morning and it was $5.11.Met a dude in Spring lake Fri afternoon and it was still $4.85 at a Sonoco on 421.All the Stations around 421 in Siler City was $5.49
 
I am all over VA weekly, the prices seem to be fairly consistent until you get into northern VA. Even Richmond isn’t too different. I have to fill two race jugs today, Galax is typically 3.89 for the last few weeks.
 
FYI, the pumps at the Shell on the edge of Harlan Kentucky shut off at $95. Had to swipe the card again...
 
Read an analyst last night that said a number of factors, but specifically the marine low sulphur standard, declining Nigerian output, and limited desulfurization refining capacity are combining to create "unbelievably high" diesel prices. Russian sanctions (less crude and NG, so more gasoil use in Europe) factor in as well. Essentially, crude feedstocks to make ulsd are not plentiful and are becoming less so. The remaining crude is more expensive to refine. Absent a change in the regulations, the situation will get worse as demand increases. This was primed to happen in 2020, but reduced demand due to COVID delayed the price increases.
 
Pennsyltucky strikes again....

On the way home from the office yesterday - $4.45/gal for 87. The poor folk (literally/figuratively) driving diesel are now paying $5.99 a gallon for that swill here.
 
shawn said:
Read an analyst last night that said a number of factors, but specifically the marine low sulphur standard, declining Nigerian output, and limited desulfurization refining capacity are combining to create "unbelievably high" diesel prices. Russian sanctions (less crude and NG, so more gasoil use in Europe) factor in as well. Essentially, crude feedstocks to make ulsd are not plentiful and are becoming less so. The remaining crude is more expensive to refine. Absent a change in the regulations, the situation will get worse as demand increases. This was primed to happen in 2020, but reduced demand due to COVID delayed the price increases.
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This bit of info leans me to the belief this will not be short lived. So is Ultra Low Sulfur Diesel now a must have? (HYPOTHETICAL) Seems to be quickly shifting to necessity/luxury status depending on the market or buyer?

Long term opens a lot of questions in major transportation and shipping. Not just trucks but large ships, do they run this blend or required to? Hmm. Market shift forced by diesel prices and the push for electric. Laws inbound for the ability to prove the need for diesel engines does not seem to far fetched. Or consumers get pinched and prices force shifts to be competitive. Even if large electric was involved to power gobs of smaller diesel engine chores we don't have the infrastructure to handle it. I need to turn my brain off this...
 
WARRIORWELDING said:
This bit of info leans me to the belief this will not be short lived.
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The IMO 2020 rules on very low sulfur fuel oil for marine use are global; went into effect at the beginning of 2020.
 
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