# You want $1.30 a gallon???

**URL:** <https://boards.straightdope.com/t/you-want-1-30-a-gallon/354433>\
**Category:** The BBQ Pit\
**Created:** [April 27, 2006, 11:12am UTC](https://boards.straightdope.com/t/you-want-1-30-a-gallon/354433 "2006-04-27T11:12:56Z")\
**Posts on this page:** 3\
**Page:** 7

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**Author:** ![elfkin477](https://avatars.discourse-cdn.com/v4/letter/e/a9a28c/32.png) [@elfkin477](https://boards.straightdope.com/u/elfkin477)\
**Post date:** [April 29, 2006, 12:27am UTC](https://boards.straightdope.com/t/you-want-1-30-a-gallon/354433/121 "2006-04-29T00:27:28Z")

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> [@duffer](#):
>
> [Link](http://msnbc.msn.com/id/12519975/).
> 
> > [@](#):
> >
> > WASHINGTON - Thursday, Exxon Mobil announced it had earned $8 billion in profits in the first three months of this year. For outraged consumers, the staggering profit numbers boil down to this: Exxon earned \*\*9.5 cents on every $1 \*\* of gasoline and oil sold, cashing in on skyrocketing prices at every stage of the process.
> 
> So even if we somehow force Big Oil to abandon all profit, gas drops about 10 cents a gallon. That would sure help out.

bolding mine. 9.5 cents a _dollar_ is significantly less than 10 cents a gallon at current prices. At current prices they’d make close to 30 cents a gallon profit. But I don’t blame the oil companies entirely for our current prices, I blame fuel inefficent SUVs driving up demand to keep the things running.

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**Author:** ![Gorsnak](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/gorsnak/32/7587_2.png) [@Gorsnak](https://boards.straightdope.com/u/Gorsnak)\
**Post date:** [April 29, 2006, 1:07am UTC](https://boards.straightdope.com/t/you-want-1-30-a-gallon/354433/122 "2006-04-29T01:07:20Z")

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But Exxon/Mobil doesn’t make all of its profits at gas stations. I’d venture to guess that most of its profits come from crude production and refinery operations. The _total_ profit for Exxon from a gallon of gas from all phases of production, from pumping the crude out of the ground to pumping the gas into your tank, is 27 cents/gallon. The gas station’s cut of that is much lower.

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**Author:** ![Smeghead](https://avatars.discourse-cdn.com/v4/letter/s/f1d935/32.png) [@Smeghead](https://boards.straightdope.com/u/Smeghead)\
**Post date:** [April 29, 2006, 1:57am UTC](https://boards.straightdope.com/t/you-want-1-30-a-gallon/354433/123 "2006-04-29T01:57:47Z")

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> [@duffer](#):
>
> So even if we somehow force Big Oil to abandon all profit, gas drops about 10 cents a gallon. That would sure help out.

I wasn’t talking about the profit the oil companies made, I was talking about the profit the individual franchisee gas station owner makes - the local small business owner. Those are the guys making less than 10 cents per gallon, based on that interview I heard.

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