Thanks to internal combustion engines and petroleum products, the United States has been leading the oil and gas industry over the last century. The U.S. oil industry powers a vast majority of vehicles. Large oil companies such as Shell, ExxonMobil, and British Petroleum garner billions in revenue annually. This vast growth has spread across the globe and increased production of oil and gas products. These companies are also responsible for the spread of automobile use to some of the most far-flung regions of the world.
Although most Americans use gasoline every day, many people are unfamiliar with the characteristics of fuel. The following are five facts that everyone who uses gasoline should know.
The tax you pay per gallon
The tax you pay for each gallon of gasoline can vary widely across the United States. The U.S. Energy Information Administration (EIA) offers a great cost breakdown to explain where your money is going when you fill up your tank. About 12 percent of the overall price you pay at the tank is taxation. This number includes federal and state taxes.
Your state will have its own rate of taxation per gallon of gasoline. California and New York typically have higher taxes. The exact tax rate boils down to several economic factors. Legislators may use taxation to encourage people to choose public transportation and ease roadway congestion.
Where does gasoline come from?
It is extremely difficult to track down the source of the gasoline you use at a local refueling station. The EIA does not collect information regarding the source of gasoline sold at local retailers, so the origin of the gasoline cannot be determined easily.
The fuel you are purchasing may have been developed at multiple refineries, owned by different companies. Gasoline producers typically receive crude oil, which is then refined into gasoline through different sources, both foreign and domestic. After the fuel leaves the refinery, it is usually blended with products from other refineries and sold to gas stations in bulk.
How much fuel is found in a barrel of oil
A single barrel of oil contains up to 42 gallons of oil. This 42 gallons of crude oil can be used to generate about 19 gallons of gasoline. The EIA says those number can vary, as producers respond to market trends. If a barrel of crude oil yields about 19 gallons of gasoline, the typical consumer vehicle with a capacity of 10 gallons can fill up about twice. If you have a large pickup, van, or SUV, you can picture a single barrel of oil totaling about one tank of gasoline.
How much CO2 does gasoline produce?
The chief concern for many people when it comes to gasoline is carbon dioxide production. Studies have shown that the burning of fossil fuels is a major contributor toward the increase of greenhouse gas and vehicles contribute greatly to emissions. Burning a gallon of gas without ethanol added produces about 19 pounds of carbon dioxide. A mere gallon of diesel fuel produces about 22 pounds of carbon dioxide, according to the EIA. Added biofuel content causes these numbers to drop, depending on the blend.
Kendrick Oil provides top-quality wholesale fuel
If you would like to learn more about gasoline, contact the experienced staff at Kendrick Oil Company today. We provide bulk fuel products and fuel related services. You can call us at (800) 299-3991 or Contact Us by email for more information. We proudly operate in the states of Oklahoma, Texas, New Mexico, and Kansas.