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The Water Cooler
General Discussion
California Drivers Were Sold Bad Gas in Statewide Scheme
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<blockquote data-quote="SoonerP226" data-source="post: 4213214" data-attributes="member: 26737"><p>[MEDIA=youtube]HZuta8hpd0o[/MEDIA]</p><p></p><p>I think what he's missing is that the junk yard is generally <em>paying</em> to have the "used fuels" hauled off and disposed of properly, not selling it. One of the commenters under his video said the going rate in California used to be roughly $350/55-gal bbl, so if the fuel delivery company charges the prevailing rates, they're starting out roughly $6/gal ahead. If they can sell it for $4/gal to the retailer, that's nearly $10 in profit (after you take out the actual cost of transporting it, which is most likely negligible) where they might be lucky to make a dollar or two per gallon on "new" gasoline. </p><p></p><p>If you have 5,000 gallons of it and you're rolling out, say, 20 tanker trucks at ~11,000 gallons each to service customers, you're only putting 250 gallons in each truck. That's probably not enough bad gas for anyone to notice (less than 0.25% of the load), especially after it's been sloshed around with the good gas in the truck and in the station's tanks (one reference I found said that gas station tanks usually hold 11,000-24,000 gallons). It's going to return a $50,000 profit and be dang near undetectable. Hell, it allegedly went twelve years (2009-2021) without being detected.</p><p></p><p>That's a pretty slick racket.</p></blockquote><p></p>
[QUOTE="SoonerP226, post: 4213214, member: 26737"] [MEDIA=youtube]HZuta8hpd0o[/MEDIA] I think what he's missing is that the junk yard is generally [I]paying[/I] to have the "used fuels" hauled off and disposed of properly, not selling it. One of the commenters under his video said the going rate in California used to be roughly $350/55-gal bbl, so if the fuel delivery company charges the prevailing rates, they're starting out roughly $6/gal ahead. If they can sell it for $4/gal to the retailer, that's nearly $10 in profit (after you take out the actual cost of transporting it, which is most likely negligible) where they might be lucky to make a dollar or two per gallon on "new" gasoline. If you have 5,000 gallons of it and you're rolling out, say, 20 tanker trucks at ~11,000 gallons each to service customers, you're only putting 250 gallons in each truck. That's probably not enough bad gas for anyone to notice (less than 0.25% of the load), especially after it's been sloshed around with the good gas in the truck and in the station's tanks (one reference I found said that gas station tanks usually hold 11,000-24,000 gallons). It's going to return a $50,000 profit and be dang near undetectable. Hell, it allegedly went twelve years (2009-2021) without being detected. That's a pretty slick racket. [/QUOTE]
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California Drivers Were Sold Bad Gas in Statewide Scheme
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