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High Diesel.com -> Oil Supply and Refinery considerations...

Welcome to the High Diesel.com website, where we'll discuss some very disturbing issues surrounding the supply of Diesel fuel in the United States. The main purpose of this site is to entertain what the problems and possible solutions are in regard to Diesel fuel usage. It is hopefull that the information contained and discussed here will foster a positive change. It's hopefull that the information be used by those with the ability to make change possible for the better of people in general and for the "Diesel community".

Not A Trucker Site

It also has to be said that this site is not purposed to speak the word for Truck Drivers moving commercial freight. Truckers are not the victum of high diesel fuel prices, they are simply the consumer that passes those costs onto the end buyer. Common consumers that purchase products are the true victum and ultimatly the "economy" suffers. This site is not to protect the rights and conserve the jobs for truckers, as many are just drivers for larger companies that will simply pay what is asked despite any consequences for the consumers.

Fuel Supply

Diesel fuel currently is being treated like a "premium" fuel over gasoline and other fuels primarily due to:

  • Refinery capacity shortages to refine an abundance of crude oil
  • Refinery cracking methods yielding alamingly low percentages of Diesel
  • Incredibly high and increased exportation of raw Diesel fuel to other countries (Europe)
  • The refining of Diesel fuel to Ultra Low Sulfer Fuel, enabled the export market

  • Solutions to the above mentioned problems?

  • Increase amount of refineries, build new equipment (Government Stimulus).
  • Allow building of refineries by limiting the EPA's involvement in such an undertaking
  • Only allow building of refineries that use cracking methods that yield larger %'s of Diesel.
  • Allow new refineries to be owned by new businesses!
  • Greatly reduce or remove exportation of distillates to other countries.

  • Domestic Oil Production Ramp Up!

  • Domestic Oil production needs to be increased
  • Domestic oil produced in the USA should under no circumstances be expored!

  • Oil Market

    Currently Crude oil is traded on the commodities market and fluctuations in supply world-wide affect the price of the commodity. Domestic USA Oil production as well as off-shore foreign oil are both traded at the same price. There is a World price for a barrel of oil regardless where it comes from.

    Recently US President Barack Obama stated that he wanted to make bold moves to ramp up Domestic Oil production and reduce our dependence on foreign oil on this Yahoo article. Obama's idea is to reduce the impact on the price of oil because of political issues in oil countries. There is certainly one big problem with that. All the oil is traded on the commodities market so even more production here wouldn't affect the price per barrel. This needs to be FIXED!

    The only way this will work is that we need bold moves on Oil for the stability of this country!

  • Create a Domestic (USA) Oil Commodity Trade (all grades of crude).
  • Ban the Exportation of Domestic Crude Oil, "Pumped here used here!"
  • Ban the Exportation of Fuel Distillates created from Domestic Oil.
  • Or, Ban the Export of all Fuel Distillates refined in the USA (help refining shortage now).

  • And.. As a result:

  • Foreign Oil prices could be "blended" into refined price of distillates.
  • This would create a method of competition in the oil market (US vs. Foreign)
  • Prices of oil would be based of Domestic production numbers
  • Actual usage of Crude oil would be measured (how much does the USA really use?), alot is exported too!
  • An actual supply vs. demand scenario would exist for the USA.
  • Cost of oil would be more closely tied of what it costs to produce instead of some dreamed up number based on speculation
  • The USA Economy would be stronger and more isolated from issues occuring world-wide (a Hell of a good idea)
  • Costs of acquiring oil would be less. Don't have to transport Domestic across the globe.

  • How much can be done?

    Take action, write your state representatives and congressmen. Spread the word of this website to those that can make a difference.


    High Diesel Team