June 30, 2008

Eat Me, Shell Oil

I have long been an advocate for the oil companies. If you look at the profit margins, not the raw profit numbers, the companies are on the low end of profitability. The Government makes more money from a gallon of gas than Big Oil.

I am fed up with the pricing policies. Can anyone explain how gas can be $3.93/gal at 11:00 pm on a Thursday and $4.19/gal on Friday morning? Did the price per barrel go up that much overnight? I guess the local gas station has a direct pipeline to Arabia. Worse, every gas station in town, regardless of brand, charges the exact same price! This happens every week. I expect this week gas will take a huge leap on Wednesday, so they can take advantage of anyone traveling over the Holiday.

I am all for business. Profitability is good. But I have to admit the Standard Oil monopoly was broken up for a good reason. Is there collusion? I don't know, but something smells like day-old trout around here.

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