RFA-RIN-5.png' alt='Oil Price Crack Spread' title='Oil Price Crack Spread' />Why gas prices arent falling with oil prices. A. general view of Tesoros Los Angeles refinery. REUTERSLucy Nicholson. Gasoline, a product thats derived from refining oil, is also. View the latest oil gas industry statistics including oil prices, rig counts, production report oil imports. Todays Outright Spot Naphtha Prices mt Market Low High Mean Change CFR JAPAN 489. CFR KOREA Daesanbasis 490. U. S. oil production increases and the noise out of OPEC, it is clear that theres going to be a glut of oil on the market as we enter the summer driving. Buy Natures Way Organic Extra Virgin Coconut Oil, 32 Ounce on Amazon. FREE SHIPPING on qualified orders. DEFINITION of Crack A crack spread, or crack, is a term used in the energy markets to represent the differences between crude oil and wholesale petroleum product. But the pace of decline is not near what. While there is a time lag between when oil is drilled and pumped. The savings are falling through the crack. Crude oil prices are diving to levels we havent seen in years. Gasoline, a product thats derived from. Crack spread refers to the overall pricing difference between a barrel of crude oil and the petroleum products refined from it. The crack being referred to is. In one year, gas prices have dropped 2. EIA. During that time, oil prices have. Refining is an intensive, costly process. One of the biggest reasons for this discrepancy is what refiners. In order to be suitable for a car, crude oil has to go through a. Occasionally these refineries break down or. According to. weekly refinery research from Blake Fernandez and Leonard. Raymond at energy investment firm Scotia Howard Weil, however. Their research shows that refinery utilization in the US is above. Also, refineries in four out of the five regions designated by. EIA are operating above their five year averages. So, like crude oil, it seems that refined petroleum is. The difference is that while oil producers are getting squeezed. Refiners are cashing in on the crack spread. For oil producers, or the upstream businesses, low oil prices. But for refiners, or the downstream. So, if crude oil prices are. This is all capture in something called the crack spread, which. This spread, or refining margin, is hitting multiyear highs. According to Fernandez and Raymonds report, crack spreads per. East Coast, Gulf Coast, and West Coast refiners are. The Chicago crack spread, while. To date downstream margins have been supported by declining. Coast crack spread is measured using the cost of six barrels of. Brent crude oil and subtracting the price of three barrels of. Scotia. The West Coast refining margin has jumped from 1. The East Coast spread has gone from 8. Q of 2. 01. 4 to 1. Q of 2. 01. 5. Chicagos spread has jumped from 2. Q of 2. 01. 4 to 2. Fernandez and Raymond explain that part of this. The EIA reported. June that for the first quarter of this year, integrated. Program Laporan Keuangan Sederhana Restoran. Profits in the downstream sector, however, were the. EIA. Refinery stocks are going bonkers. Independent refiners are doing very well these days. Valero, an. independent US refiner. The 1. 1 billion increase in refining segment operating income. Brent crude oil, partially offset by lower. Brent crude oil, said. Another refiner, Holly. Frontier. posted operating profits of 5. SEC filing. The gain was. The company was able to do this in part due to the drop in cost. This accounted for approximately half of the. Overall gross refining margins per produced product sold. June 3. 0, 2. 01. So, while the S P 5. Check out this chart of refining giants. Valero, Tesoro, and Holly Frontier. So while the refiners are saving from the lower price of oil, a.