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That's got zip to do with the price of oil. They sell those BP's anyway! That's pretty close to fixed price, particularly in the asphalt markets, and the "anes" markets (the spherical tanks you see at a refinery) which go to laboratory grade solvents and the like.
The real reason why profits are skyrocketing is that gasoline is a fixed proportional margin business. The price charged by the refineries to the commodities markets is based upon "competitive" bidding based upon a fixed percentage of margin above total cost, including overhead absorption.
So, when the price of crude goes up, the total cost of manufacture of finished gasoline, diesel, and fuel oil goes up. (The crude is >60% of total cost of mfr.) If the percentage of margin pursued is the same, then the actual dollars of profit go up, because if they get, for instance 15% on aa total cost of 80 cents, they get 12 cents on every gallon. But, if crude prices push total cost to $1, the get 15 cents on every gallon.
So, the oil companies certainly have no reason to complain about crude prices. I don't believe the by-product prices are that elastic, so those are likely fixed price. The change in oil price actually eats into that profit margin, but the absolute value of dollars would still be at budget.
IOW, they're aren't losing any money on either end, but making more on the fuel. The Professor
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