Avgas Coming Down?

Sylvain wrote:
it's funny how fast these tanks get emptied and promptly replaced with
new priced fuel when the prices are going *up*...

any business (that plans on staying in business) is going to be
more sensitive to rising prices on a comodity that he must keep
stocked. If you don't plan sifficiently to cover replacment cost
you may not have enough money to pay for the next tanker load.

This didn;t used to be such a problem in the days when prices
went up a few cents here and there. But when prices can end up
being .50, .80 or even 1.00 per gallon higher in a month or two
(like last year) your next tanker load might cost you $8000.00
more than the last one and you better have the money to pay for it

Prices at the pump will start going down a lot when retailers
feel they aren't gonna get hit bad by the next spike.

Dave Butler wrote:

Ron Lee wrote:
Jon Kraus wrote:


Here in Indianapolis I have seen Mogas go down from $3.20 a gallon to
$2.50 and it appears that it will keep on dropping.


That is just plain wrong.

Really? I have a feeling Jon knows better what's happening in Indy than you.
When I want to know what's happening in CO, I'll ask you.

I heard a news report that for the second
week in a row gas prices dropped eight cents. Here in CO I just saw
the first drop in many weeks...2 cents. Still $2.93 for the cheapest
unleaded.

Dave, "wrong" as in "not fair/right/equitable" as opposed to
"inaccurate"

It was a joke big guy.

Ron Lee

Kingfish wrote:
ktbr wrote:

Jon Kraus wrote:

Here in Indianapolis I have seen Mogas go down from $3.20 a gallon to
$2.50 and it appears that it will keep on dropping.

On the other hand at my home base I just filled up for a trip and still
are paying $4.50 a gallon. Has anyone noticed if Avgas is coming down
too? Maybe it has to do with not making 100ll as often as Mogas. What
say you?

While I'm sure everybody's Avgas fuel quotes are going down (ours are)
you still have the fuel in the tank that you paid big $$$ for that has
to go. There are not that many airports (if any) that go through 10K
gallons of 100LL as quick as a typical gas station.



I heard on the radio this AM industry analysts are predicting gas
prices to be "closer to $2 than $3 by Thanksgiving". That might be good
news for LL consumers, but I'm too cynical to think the boutique fuel
market will respond as quickly, if at all, to a drop in mogas prices. I
am curious about what's behind this predicted drop though - reduced
demand after the summer is one thing, but this seems more like a market
adjustment IMO.

Kingfish
Turbine analyst *NOT* a fuel analyst

That is what this newscast said this morning - the market "overpriced"
itself. Nor sure what that meant. But, if we were gouged then the oil
companies need to refund our money. I know - fat chance.

--

Regards, Ross
C-172F 180HP
KSWI

Just paid 4.60 @ kral I only got enough to make the flight to A20 gas was
4.20 there. Mogas in Ca. is still over 3.00. I dont believe you will see gas
at 2 with crude in the $60.00-70.00 range. It would have to drop to 40.

"Jon Kraus" wrote in message
. ..
Here in Indianapolis I have seen Mogas go down from $3.20 a gallon to
$2.50 and it appears that it will keep on dropping.

On the other hand at my home base I just filled up for a trip and still
are paying $4.50 a gallon. Has anyone noticed if Avgas is coming down
too? Maybe it has to do with not making 100ll as often as Mogas. What
say you?

Jon Kraus
'79 Mooney 201
4443H @ UMP

We went from $5.15 down to $5.06 (just last night).

-Robert


Jon Kraus wrote:
Here in Indianapolis I have seen Mogas go down from $3.20 a gallon to
$2.50 and it appears that it will keep on dropping.

On the other hand at my home base I just filled up for a trip and still
are paying $4.50 a gallon. Has anyone noticed if Avgas is coming down
too? Maybe it has to do with not making 100ll as often as Mogas. What
say you?

Jon Kraus
'79 Mooney 201
4443H @ UMP

Ross Richardson wrote:
Kingfish wrote:
That is what this newscast said this morning - the market "overpriced"
itself. Nor sure what that meant. But, if we were gouged then the oil
companies need to refund our money. I know - fat chance.

A responsible oil company should charge you as much as you are willing
to pay. Oil is provided by for-profit companies. Oil prices are held
down by competition. "gouging" implies that either the companies
illegally got together and fixed prices or you don't understand free
market enterprise. If you think the oil companies are making too much
money, switch sides, buy some oil stock and share the profits.

-Robert

Robert M. Gary wrote:
Ross Richardson wrote:

Kingfish wrote:
That is what this newscast said this morning - the market "overpriced"
itself. Nor sure what that meant. But, if we were gouged then the oil
companies need to refund our money. I know - fat chance.


A responsible oil company should charge you as much as you are willing
to pay. Oil is provided by for-profit companies. Oil prices are held
down by competition. "gouging" implies that either the companies
illegally got together and fixed prices or you don't understand free
market enterprise. If you think the oil companies are making too much
money, switch sides, buy some oil stock and share the profits.

-Robert


A very well written response Robert. Its refreshing to know at least
some people actually understand free market economics.

Robert M. Gary wrote:
Ross Richardson wrote:

Kingfish wrote:
That is what this newscast said this morning - the market "overpriced"
itself. Nor sure what that meant. But, if we were gouged then the oil
companies need to refund our money. I know - fat chance.


A responsible oil company should charge you as much as you are willing
to pay. Oil is provided by for-profit companies. Oil prices are held
down by competition. "gouging" implies that either the companies
illegally got together and fixed prices or you don't understand free
market enterprise. If you think the oil companies are making too much
money, switch sides, buy some oil stock and share the profits.

-Robert

Exxon-Mobile has been good to us.

--

Regards, Ross
C-172F 180HP
KSWI

"ktbr" wrote in message
...
Robert M. Gary wrote:
Ross Richardson wrote:

Kingfish wrote:
That is what this newscast said this morning - the market "overpriced"
itself. Nor sure what that meant. But, if we were gouged then the oil
companies need to refund our money. I know - fat chance.


A responsible oil company should charge you as much as you are willing
to pay. Oil is provided by for-profit companies. Oil prices are held
down by competition. "gouging" implies that either the companies
illegally got together and fixed prices or you don't understand free
market enterprise. If you think the oil companies are making too much
money, switch sides, buy some oil stock and share the profits.

-Robert


A very well written response Robert. Its refreshing to know at least
some people actually understand free market economics.

I know a couple of people that started making their own biodiesel and bought
oil company stock several years ago; they are quite happy.

"Ken Finney" wrote in
:


"ktbr" wrote in message
...
Robert M. Gary wrote:
Ross Richardson wrote:

Kingfish wrote:
That is what this newscast said this morning - the market
"overpriced" itself. Nor sure what that meant. But, if we were
gouged then the oil companies need to refund our money. I know - fat
chance.


A responsible oil company should charge you as much as you are
willing to pay. Oil is provided by for-profit companies. Oil prices
are held down by competition. "gouging" implies that either the
companies illegally got together and fixed prices or you don't
understand free market enterprise. If you think the oil companies
are making too much money, switch sides, buy some oil stock and
share the profits.

-Robert


A very well written response Robert. Its refreshing to know at least
some people actually understand free market economics.

I know a couple of people that started making their own biodiesel and
bought oil company stock several years ago; they are quite happy.





That's just the thing, (the free market economy) prices rise, the oil
companies get happy, they want to get happier so they produce more, get
more efficient, open capped wells, etc.; Other companies want to be
happy too, so they either get into the oil business, get into the
oilfield business, or come up with some gadget that makes getting the
oil out of the ground cheaper, quicker, and more efficient...

But wait! There are people who have been working on things to "replace"
oil for years, but oil was just too cheap to compete with... But NOW
they can sell the hybrid cars, and the cheap little Chinese cars that
get 40mpg, work on that magic bio-diesel or hydrogen fuel cell project.

Oh, and forgot to mention that people don't drive/fly as much with gas
almost triple the price of 5 years ago....

All of the above ends with an oversupply of the product and falling
prices. Event the price-fixing antics of OPEC cannot keep the price
artificially high forever.

All in all, I agree with $2/gal mogas (or lower) by christmas... when
the cycle will start all over again. But the problem is, the cat is out
of the bag. The oil companies know we will pay $3+ for gas, so the
first sign of an excuse like Katrina and her sisters and watch out!

--
-- ET :-)

"A common mistake people make when trying to design something
completely foolproof is to underestimate the ingenuity of complete
fools."---- Douglas Adams