The cut and thrust of the gasoline industry is not for the weak. Only the strong will survive. How petrol refining industry exposes them as a unique bunch.
Certainly there is unforgivable stress involved in such destructive competition arena. Ordinary people like us would fall by the wayside early in the game.
This article will reveal the role of refineries in this highly competitive industry. We will briefly discuss refineries, integrated refinery and refinery.
Refiner
The refinery processes (or refines) barrels of crude oil into various products. Gasoline is one of those products. 20% of each barrel of gasoline, our needs.
Ensure that their gasoline refiners to Retail Gas Outlets. They distribute gas by pipeline, truck it to different destinations, and they even send it by rail.
Some refiners supply gasoline to independent dealers. Other offers gasoline jobber. You can believe it or not, some even own their own refineries, gas stations. This has-your-cake-and-eat-it-too-kind integrated refiners.
Integrated refineries
Giant companies like Exxon Mobil, Shell, BP, Sunoco, Texaco and Chevron refineries are integrated. As you can see some marks are heavy hitters in the market.
Yep! Some still have the best of all worlds. Integrated own their own refineries refinery. Moreover, this particular race also owns their own Retail Gasoline Outlet.
In the U.S., nearly 80% of the refineries owned by … you guessed it right, integrated refiners.
Here’s a surprising statistic. As fuel sales we discussed here? Well, many of them disappeared. In 1994, she exploded to about 205,000. Nine years later, she collapsed to about 168,000.
Where have they gone? I could not figure that indicates how many of the integrated refinery gas stations Houdini was during this period?
However, it should always be remembered, you reduce your margins with corners, you need to do to increase your quantities of the same. Perhaps physical limitations to play a role.
Refinery
Refineries swallowed a barrel of crude oil at one end. And from the other side flows a horde of petroleum products. One of which is gasoline. Refineries also distribute their products to retailers.
Refineries are a horse of another color. I say this because over the years has been declining refineries, while at the same time to expand. Roughly over the last 60 years the number of refineries has declined dramatically from 399 down to 149th
While at the same time, the remaining refineries has grown. Technology has played an important role in this expansion. Refineries ran at producing 5 million barrels per day, producing 16 million barrels per day. It states to do more with less.
It is known that late, refineries laugh all the way to the bank. This need not be. You can make a difference. You can take action now.
Photo credited to: tehrantimes.com/index_View.asp?code=172551
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