Dearest Exxon Mobil

[Murph Tang]

I love when people bitch about the oil companies and have absolutely no knowledge as to how the business is. I also find it funny how shocked they are at the high profit when petroleum products basically run the world and are used by almost pretty much everyone and in everything you encounter, not just auto fuel. I always say, you have no room to bitch about the consumption and pricing of petroleum unless you are Amish. Then you are just a Hypocrite.

Out of a 44 gallons that one barrel products almost 30 gallons is used for diesel and gasoline.

I do believe we do have the right to bitch especially in DFW due to the lack of public transit. I don't have a choice. I have to drive to go to work. I cannot take a bus or train from my house to work because there is no service. Competition does not work in this market because every place to get gas is within pennies of each other. We have to pay what is at the pump.


"ExxonMobil reports first-quarter profits of $10.7 billion – 69 percent above the company’s first quarter of 2010."

May 2010 we are around $2.80 per gallon. Now we are $4.00 per gallon.

Am I seeing something wrong? Please educate.

[Vertnut]

Government makes 3x what oil companies do per gallon, and they don't have to go through any of the processing of the product like oil companies. You're bitching at the wrong people.

Exxon makes .02 per gallon of gas. The state of Texas makes .20 per gallon. Minnesota makes .27 per gallon. Wisconsin makes .32 per gallon.

[Trip McNeely]

Out of a 44 gallons that one barrel products almost 30 gallons is used for diesel and gasoline.

I do believe we do have the right to bitch especially in DFW due to the lack of public transit. I don't have a choice. I have to drive to go to work. I cannot take a bus or train from my house to work because there is no service. Competition does not work in this market because every place to get gas is within pennies of each other. We have to pay what is at the pump.


"ExxonMobil reports first-quarter profits of $10.7 billion – 69 percent above the company’s first quarter of 2010."

May 2010 we are around $2.80 per gallon. Now we are $4.00 per gallon.

Am I seeing something wrong? Please educate.

Its not the oil companies, its the market, and the speculators. Blame Wall Street. I mean if people only knew the millions of dollars that went into (1) well from geological survey to see if anything is even IN the formation, cost to drill, cost to produce, cost to transport(pipe/mid-stream) to compression stations, cost to refine, up to the transport to the gas station. I mean with that much money sunk into a product, in reality even though its a dirty fluid end product should be like 75 dollars a gallon or more. Trust me when I tell you, a lot more money is sunk into a "maybe" as a risk than you think. Its more risky than profitable when it boils down to it, but the payouts yeah are generally good when they are just that.

[Vertnut]

Out of a 44 gallons that one barrel products almost 30 gallons is used for diesel and gasoline.

I do believe we do have the right to bitch especially in DFW due to the lack of public transit. I don't have a choice. I have to drive to go to work. I cannot take a bus or train from my house to work because there is no service. Competition does not work in this market because every place to get gas is within pennies of each other. We have to pay what is at the pump.


"ExxonMobil reports first-quarter profits of $10.7 billion – 69 percent above the company’s first quarter of 2010."

May 2010 we are around $2.80 per gallon. Now we are $4.00 per gallon.

Am I seeing something wrong? Please educate.

Mike, remember that Exxon doesn't set the prices. They simply work off of margins, like most refiners do. My wife works for a refiner here in Dallas, and they just reported a very nice profit for the quarter. All they do is refine. They buy the oil at the current price, and turn it into jet fuel, asphalt (tar), gasoline, diesel, and some specialty lubricants. They actually yield more than 44 gallons of product, due to additives, etc. There is NO waste out of that barrel.

[Murph Tang]

Mike, remember that Exxon doesn't set the prices. They simply work off of margins, like most refiners do. My wife works for a refiner here in Dallas, and they just reported a very nice profit for the quarter. All they do is refine. They buy the oil at the current price, and turn it into jet fuel, asphalt (tar), gasoline, diesel, and some specialty lubricants. They actually yield more than 44 gallons of product, due to additives, etc. There is NO waste out of that barrel.

Ok but if the prices are set by speculators and oil companiesi make massive margins are they innocent while hurting the average Joe? Everything goes into store has to be trucked in. An easy example is groceries. The price of produce is going way up. My diesel bill is huge and diesel suppose to be easier to refine. I have to do fuel surcharges now . everything is ship on a pallet. So just the pallet increase will be past on to the consumer.....and that is just the pallet. Not to mention the other cost like packaging etc that goes up also because its truck also.

[slow99]

Ok but if the prices are set by speculators and oil companiesi make massive margins are they innocent while hurting the average Joe? Everything goes into store has to be trucked in. An easy example is groceries. The price of produce is going way up. My diesel bill is huge and diesel suppose to be easier to refine. I have to do fuel surcharges now . everything is ship on a pallet. So just the pallet increase will be past on to the consumer.....and that is just the pallet. Not to mention the other cost like packaging etc that goes up also because its truck also.

Massive margins? Exxon posted non-gaap EBIT margins of 13.4% a year ago...they were 16.6% this past quarter. Zomg, da Exxon is screwing us!

[Captain Crawfish]

Dearest Exxon Mobil and BP,

Since you made 11 billion and 7.1 billion in profit last quarter respectively.

Are you hiring? Do you have a profit sharing program because it cost $70 to fill up my car today?

Thanks

BP XOM are the tickers

[jakesford]

It's not massive margins, they make record profits because of the massive amounts of product that is moved on a daily basis.

Personally it still amazes me how little oil cost in the grand scheme of things. When you think of everything that goes into getting it from the ground to the consumer as a final product, it's pretty cool. Talk about economies of scale.

[bottlerocket]

Government makes 3x what oil companies do per gallon, and they don't have to go through any of the processing of the product like oil companies. You're bitching at the wrong people.

Yes, stop taxing gas. I'm sure the money will magically appear in the govt's pocket somehow.

[FATHERFORD]

Oil is in just about everything you use. Not just gas. That's where Exxon get's their other 97%..

[Murph Tang]

Massive margins? Exxon posted non-gaap EBIT margins of 13.4% a year ago...they were 16.6% this past quarter. Zomg, da Exxon is screwing us!

and 16.6 isn't great in today's market?

are you talking overall or just gasoline/diesel?

[Grimpala]

Exxon makes .02 per gallon of gas. The state of Texas makes .20 per gallon. Minnesota makes .27 per gallon. Wisconsin makes .32 per gallon.

Then we turn around and send a good chunk of that out of state to all the welfare states around us.

[Broncojohnny]

Those fucking crooks at the Coca Cola company have a 31% profit margin! They made $14 billion dollars in 2010. God damn thieving sons of bitches. And it isn't like you can just stop buying Cokes either, what the fuck are you going to drink, a god damn Dr. Thunder?

Don't forget kids, profit is a four letter word just because the loser hippies, teachers and media say so. It would be a much better world if we lived in some socialist shithole like Cuba where it is against the law to employ someone in a private industry.

[Murph Tang]

Those fucking crooks at the Coca Cola company have a 31% profit margin! They made $14 billion dollars in 2010. God damn thieving sons of bitches. And it isn't like you can just stop buying Cokes either, what the fuck are you going to drink, a god damn Dr. Thunder?

Don't forget kids, profit is a four letter word just because the loser hippies, teachers and media say so. It would be a much better world if we lived in some socialist shithole like Cuba where it is against the law to employ someone in a private industry.

I don't have to drink coke to get to work. I do have to buy gas to get to work.

[Broncojohnny]

I don't have to drink coke to get to work. I do have to buy gas to get to work.

It is a somewhat free country, you made the choice on where you live, where you work, what you drive. All that shit is up to you, if you hate the price of gas then do something to change how much you buy, don't blame Exxon.