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    Diesel Shortages are Now “Widespread”

    Mac Slavo
    May 11th, 2022
    Comments (26)

    Diesel shortages have become apparent to those who utilize the fuel and many are calling those shortages “widespread.” This is going to have an effect on everything, from the food supply to the cost of goods and services going forward.

    In the United States, refiners currently receive roughly an average of more than $150 per barrel from the sale of gasoline and diesel at wholesale prices, while paying only around $100 to purchase crude. The indicative 3-2-1 margin of $50 per barrel is based on the assumption a refinery produces two barrels of gasoline and one barrel of diesel from refining three barrels of crude. –ZeroHedge

    Global stocks of refined petroleum products have fallen to critically low levels as refineries prove unable to keep up with surging demand, especially for the diesel-like fuels used in manufacturing and freight transportation. The result has been a surge in prices refiners receive for selling fuels compared with the prices they pay for buying crude and other feedstocks, boosting their profitability significantly.

    Because of the shortage, diesel prices have hit new record highs.

    “Diesel supply is short all over the world due to sanctions against Russian oil and much higher post-pandemic demand as supply restocking takes place,” says Peter Meyer with S&P Global Commodity Insights.

    “Certain areas of the country have seen shortages already and we expect that to continue. Supplies at New York Harbor–a hub for diesel distribution–are at a 30-year low,” says Meyer according to AgWeb. “As such, the East Coast of the U.S. has been hit especially hard, resulting in diesel prices above $6.00 per gallon in that area, well over the equivalent of $250 per barrel.  Exports of U.S. gasoline, diesel, and jet fuel to Latin America is also very high, adding to the tightness.”


    There’s a higher demand around the globe for products like diesel, heating oil, and jet fuel, which are known as “middle distillates” since they are made from the middle of the boiling range when oil is turned into products. The U.S. currently exports more than 1-million barrels of distillates every day to countries such as Mexico, Brazil, and Chile.



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      Author: Mac Slavo
      Date: May 11th, 2022

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      1. Darth Skippy says:

        “And the barrel of meal wasted not, neither did the cruse of oil fail, according to the word of the LORD, which he spake by Elijah.”
        — 1 Kings 17:16

        It would be illegal and noncompetitive.

      2. Anonymous says:

        Maybe those smelly, noisy, coal rollers will go out of style now.

      3. Woogie says:

        Disaster will happen and effect everything if this is not fixed to where those refineries go back to producing Diesel instead of Biofuels right now.

        They are saying we have 10 days before diesel becomes scarce before everything shuts down including the power grid using coal and natural gas.

        It won’t take much to destroy the financial markets being so sensitive and the banks with our money. 10 days they say.

      4. Texas Sweet Tea says:

        Hey y’all,
        Looking for some tips I might not have thought of yet…..
        I’m very well stocked up on long term food preps and pantry preps. Water and alternative cooking I have covered too.
        I have a tri-fuel generator with a natural gas hookup to use which would be easiest but if gas to the home is shut down, that leaves me with regular gas or propane. The problem is storing gas in a Texas garage is iffy due to the heat. Should I buy an extra propane tank?
        Any other ideas?
        We have three vehicles which we keep on a full tank of gas as I figure it’s our safest way of storing gasoline.
        Thanks y’all ~

        • Ditch says:

          You can only store a bit at residential, your idea of storing it in vehicles is perfect.

          Do you have anyone your close to with property nearby. Stick a large tank on their land.
          But if it stops that will only hold you for a while. A good electric bike with carry basket?

        • Nobody says:

          An spare tank of propane is a good idea. You need not worry about the heat or the propane going bad, only downside is cost. A new 20 lb tank (empty) was bout $20 a few years ago. They’re 3x that cost now. I have a propane genny and plenty of propane stored because propane doesn’t go bad and it’s gonna be easier getting propane than gasoline.

        • If you’re in Texas you should have a collection of propane tanks !!!
          I’m in an apartment and have 3 and considering getting a few more

        • Genius says:

          If you have to ask those questions, you ain’t gonna make it.

        • JayJay says:

          I started in 2008 storing foods and supplies. I still get an urge to buy more of something or something I don’t have.
          It never ends and I just emailed a North Carolina contact and asked again…what have I forgotten and need more of??
          Last week, Dermasil lotion, band aids, and more toothpaste, at the $1.25 store.
          I am extremely glad I did store stuff. The chicken breasts in the frozen pkg, were $4.50 here for many years–it was just a given that’s what I would pay….Feb, I paid $6 for them and last week, I noticed they were $9.

          I still have those @ $4.50 and added the $6 –thank the Lord I have plenty.
          I stocked up on kielbasa, german sausage, smoked sausage. With a steamed vegetable I can make a meal, chopped sausage, add half bag of frozen corn, a sliced zucchini, broccoli, whatever.

      5. cf249sp says:

        Go with the propane. Couple of 100lb cylinders feathered out over time will go a long way and they can be easily taken with you if you need to change locations. Propane stores forever. Gas – not so much.

      6. Kevin2 says:

        Significant oil refineries shut down with the lack of demand due to COVID 19 and they don’t restart easily or quickly. Specifically skilled people were laid off or retired early and need to be rehired. Equipment that sat idle, especially over winter(s) is highly problematic and parts may be quite difficult to come by.

        • Genius says:

          Looks like yer going to have to come out of retirement Kev! Take one for the team! 🙂

          • Kevin2 says:


            I’m an old time power engineer who used steam to spin magnets (generate electricity). I did my first decade working with 1920s-1940s technology (and miss that). I’m saving myself to help reboot civilization with 1900 or thereabouts industrial revolution stuff. I can make that steam locomotive, reciprocating steam engine or turbine and associated steam generation get going; essentially I’m an industrial dinosaur. I worked in an oil refinery but in the power department however I have working knowledge of refining.

            • Kevin2 says:


              It’s good to see your still posting as most of the
              old timers” from a decade ago disappeared when the “beer virus panic” hit. Interestingly too much of what was discussed back then as possible has either occurred or become highly probable. The “tin foil hat” of old is now becoming a fashion accessory.

      7. Bapwhappa says:

        This would be a great opportunity for that completely unhinged Marcy to stumble in here and toss a Fuck G*d grenade.

        I dont know who I miss more, Marcy or Andrea. Marcy contains that raw unbridled anger that stinks of a cow in heat. And Andrea, my I miss her delusional rambles. Did she get booted or did the aliens snatch her up and spirit her away to Neblon6?

      8. Anonymous says:

        FWIW, Biden is now cancelling oil and gas leases in Alaska and the Gulf.

        Surely, this will help alleviate the shortage.

      9. splat says:

        this article implies it is happening in the US. so why are there european license plates on the cars?

      10. Anonymous says:

        Esso was a gas station in Italy during my stay.

      11. Spider25 says:

        What we need is a permanent shortage elites Stat!

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