F.A.Q.

Though there are some regulatory hurdles to overcome, at Reid we’re experts at enhancing retail businesses with gasoline sales.  We can guide you along every step of the way.  Plus, we will purchase all of the tanks, dispensers, canopy, signs and computer systems to get you started.  And best of all, you’ll enjoy a guaranteed monthly commission on every gallon!  Call us now for details.

 

The vast majority of crude oil consumed in the United States comes from North and South America. Indeed, less than a quarter of the crude oil used in the United States comes from outside of the Americas. What’s more, with the energy boom in full swing, we are importing less and less crude oil every year.

In short… gasoline is a miracle fuel. Each gallon of gasoline stores a huge amount of energy making the space reserved for fuel storage in your car quite small and the range of your car quite generous. Plus, gasoline remains a liquid down to -40° F. and doesn’t boil until well over 100° F. – there are no worries about it freezing in the winter or boiling off in the summer. It burns easily and with modern technology, it burns exceedingly cleanly. And although the price for gasoline has risen in recent years, it is still a fantastically affordable energy source the world over.

 

The taxes collected in each gallon of gasoline vary by state.  See the chart below for details:

 

Standard gasoline contains up to 10% ethanol. In reality, most gasoline sold in NY, PA, and OH contains roughly 6% ethanol. And since ethanol contains approximately 33% less energy per gallon, with standard E10 gasoline your car will return slightly lower fuel economy – around 2-3% lower. For a car averaging 30 mpg, ethanol fuel will reduce your fuel economy approximately 1 mpg.

Octane measures the resistance of gasoline to pre-ignition combustion. The octane rating of gasoline tells you how much the fuel can be compressed before it spontaneously ignites. The higher the octane rating, the higher the compression ratio the gas will withstand before igniting. One way to extract more power out of an engine is to increase the compression ratio. The same engine with a higher compression ratio, (now requiring a higher octane fuel) will produce more power and better efficiency for the same weight.

Over time, gasoline can indeed lose its punch. The lighter compounds in gasoline can evaporate and there’s always the problem of water finding its way into the gasoline. In either case gasoline eventually shows a reduction in octane rating and can end up coating parts of your engine and fuel system. Plus with excessive water, the gasoline can even begin to freeze. The best rule of thumb is to keep gasoline no longer than 6 months. To lengthen the shelf life of gasoline, use a stabilizer before the gas sits for any length. Also, it’s always good advice to store gasoline in an air-tight container.

How much crude oil remains is a hotly contested question. Estimates range from 50-100 years’ of oil remains , but in reality we’ll never ‘run-out’ of oil. Instead, the cost if conventional oil will rise to the point where other energy sources are more economical and the economy will simply switch gears. Over the past decade we’ve discovered vast new resources of oil made recoverable by new advances in technology. Right now and for the foreseeable future, oil is the most plentiful and most affordable energy source.

Diesel fuel contains more energy per gallon than does gasoline. It’s because of this high energy density that diesel engines often provide a 25-30% increase in fuel economy over their gasoline counterparts. And modern diesel cars and trucks suffer few if any of the downsides of yesteryear’s diesels. Modern diesel power plants are quiet, clean, efficient, and nearly odorless.

The costs of producing and delivering fuel are the primary basis for the price. Costs include the price of crude oil, refinery costs, distribution costs and taxes. Seasonal variations in mandated fuel formulas and basic supply and demand fluctuations are the main reason the price changes. When crude oil is in short supply or the demand for fuel increases, the price of a gallon will also rise.

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When purchasing fuel directly at the pump, you may notice a pre-authorization or hold amount, based on the type of card you are using. This amount is dictated by, and then sent to your financial institution to verify that your card is valid and that there are funds available for use. Your financial institution may choose to hold that pre-authorized amount until the transaction posts to your account, which could take anywhere from 24 hours to 5 business days (or in some cases, more). These holds may show as a pending transaction to your account and hold available funds until the actual amount of your purchase is posted. To avoid this hold and any complications it may cause you, we encourage you to process your payment inside the store when possible – we always look forward to seeing you! If you have any additional questions about your financial institutions hold policy, please call the number on the back of your debit/credit card.

Reid Service Technicians are certified to install and repair: Wayne dispensers, VeriFone point of sale systems, INCON and Veeder Root automatic tank monitors, underground storage tanks and piping (including tightness testing and cathodic protection testing), plus many others.

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A Petroleum Marketer purchases fuel from refiners (including brands like ExxonMobil, Sunoco, Gulf, Shell, etc.) and distributes it to smaller distributors or sells it directly to retail outlets and commercial accounts.

All fuel sold in the U.S. is required to meet minimum standards for octane rating, detergents, and emissions.  Major branded fuel goes above and beyond the minimum with each brand including its own proprietary additive package designed to protect your car’s engine and keep it clean.

E85 is a blend of up to 85% ethanol and 15% gasoline.  Ethanol is denatured alcohol and comes primarily from refining corn.  With lower emissions and a higher octane rating than traditional gasoline, E85 is good alternative for those with Flex Fuel vehicles.

90 non-ethanol based conventional gasoline provides better gas mileage and is the right choice for water craft, small engine machinery and older (20th century) vehicles.

Reid’s guaranteed commission program is a great way to lock in gasoline profits for your store!  You can read more about it here or just contact Scott Sterry, Reid’s Retail Marketing Manager, at 1-800-348-8400 or ssterry@reidpetroleum.com for further details.

Of course we can help!  We work with many different vendors and manufactures and feature highly competitive prices on equipment.  And in some cases, we may be able to customize a supply contract that provides you with FREE equipment!  Call today for details!

Cathodic protection prevents the corrosion of metal surfaces. Cathodic protection systems are most commonly used to protect steel as used in water and fuel pipelines, storage tanks, steel pier piles, and so on.

Send us your resume or complete an online application.  You may also contact Bonnie Pusateri, Reid’s Human Resource Manager, at 1-800-348-8400.

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