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Re: buying gasoline

To: Larry Young <cartravel@pobox.com>, vintage.racer@comcast.net
Subject: Re: buying gasoline
From: tom strange <tstrange@sbcglobal.net>
Date: Mon, 4 Apr 2005 19:43:21 -0700 (PDT)
Larry,
  Being such a limited production item, would market share have anything to do 
with the price?  I always thought the increased expense due to the limited 
volume overshadowed everything else..
 


Larry Young <cartravel@pobox.com> wrote:
I was involved more with production than refining, but I'd guess there 
could be one or two factors at work. Either the mark up on race fuel is 
huge and they've absorbed some of the increased cost or the cost to make 
it is so large that the raw material cost is not so significant. 

vintage.racer@comcast.net wrote:

> Larry:
> 
> With your background, perhaps you can answer a question for me 
> regarding the refining process as it relates to lower and higher 
> octane gasoline. Over the past year, while we have seen normal pump 
> gas escalate in price, I have noticed that 110 race gas from Union 76 
> and Sunoco has hardly changed. Is this due to the demand for race gas 
> being fairly constant so refiners can forecast their production and 
> costs more accurately which keeps the cost to us relatively level?
> 
> At our race last weekend at Infineon, I bought 110 race gas at $4.50 
> per gallon which is the LEAST I have paid for this type of gas in a 
> couple of years. Is this just an anomaly? Will we begin to see ever 
> increasing prices associated with race gas in the near future? Thanks.
> 
> Gary


Tom

 http://www.fot-racing.com/spit/caption/tom_strange.htm  

#4 white spitfire

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