By Kelly Needham
November 09, 2006
Stated in that article (pay attention here) was the fact that Anderes Oil stores about six weeks worth of product on hand, and receives product every month. Petro Marine reported close to the same situation. In fact, to quote Bob Cox of Petro Marine "So, if I'm selling gas to South Tongass (Service) today, that's probably a gallon of gas I bought in September," (which would've been within a month of that article being published). Distributors also average the price between older stock and new stock, according to Anderes. The article stated "The blending process results in price changes that move more slowly here than in quick-resupply markets - regardless of whether prices are moving up or down," but transportation and holding costs are only 2 of many factors figuring into the pump price, (pay attention here) crude oil costs also contribute.
So, all that said, I heard on the radio today that oil prices have risen, and it's expected to raise gas prices, but by this articles reasoning, we don't have to worry about it for about one month......right?
About: "Once paid $1.19
a gallon with my first vehicle"
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