Term which refers to a futures or derivatives program where the buyer locks in a price ceiling, but also a price floor. A trucking company which caps its autumn price at 60cts/gal but only shares in downward moves to 50cts/gal has utilized a “collar” program from its supplier.
An oil refining unit in which heavy feed such as flasher bottoms, cycle oil from a fluid catalytic cracker, or thermal cracked gas oil is subjected to high temperatures. This causes the feed to crack, creating light oils. Coke – solid, densely packed carbons – builds up in the reactors of the unit and periodically needs to be removed.
A form of intermodal movement of freight.
Term which applies to a member or a member firm of the NYMEX who has met the capital requirements to become a member of the clearing house and can accept and manage trades executed on the floor. All trades have to eventually go through a clearing member, and it is the member’s ultimate responsibility to guarantee performance.
VIII Trucks – Classification by Gross Vehicle Weight:
- I: 6,000 lbs. or less
- II: 6,001-10,000 lbs.
- III: 10,001-14,000 lbs.
- IV: 14,001-16,000 lbs.
- V: 16,001-19,500 lbs.
- VI: 19,501-26,000 lbs.
- VII: 26,001-33,000 lbs.
- VIII: 33,001 lbs. or more
The input (feed) capacity of the refinery processing facilities.
An independent marketer who retails gasoline through a chain of private branded gasoline or motor fuel outlets that are staffed with their own workers (company-ops).
A measure of the ignition quality of a diesel fuel. Regular diesel generally has a cetane number of 40-45 while most premium cetanes have numbers between 45-50.
High volume (25,000 to 300,000 bbl) contractual agreements between oil companies dictating delivery of petroleum products or crude oil in the near future for an established sales price. Since this market reacts quickly, and is an alternative to wholesale sales, it provides a good indication of the direction of wholesale price trends.
Conventional gasoline blendstock intended for blending with oxygenates downstream of the refinery where it was produced. CBOB must become conventional gasoline after blending with oxygenates. Motor gasoline blending components that require blending other than with oxygenates to become finished conventional gasoline are reported as All Other Motor Gasoline Blending Components. Excludes reformulated blendstock for oxygenate blending (RBOB).