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Au contraire, marginal cost of taking out 1 ppm of sulfur increases dramatically the lower the end spec. It was okay until 500 ppm diesel but getting it to 50 ppm and lower is much much harder. Add to this another complexity - this product has to be sent through existing pipelines which have been used for high sulfur stuff for decades. These products pick up sulfur along the way and what started off as 50 ppm at the refinery can be well above that level at the back end. So to compensate, either build new pristine pipes (expensive), clean up the existing pipes (too much opportunity cost of an idles pipeline) or produce lower than required spec product (see first sentence).

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And I assumed that, and was being sarcastic. Thus, my sarcastic smiley. :lol:

 

:lol:

 

The pipeline point's a good one, though...hadn't thought of that. Are the mandated sulfur requirements mandated at the refinery, or at the pump? That is, does the gas have to measure 50 ppm as it comes out of the refining process, or as it goes into my gas tank?

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And I assumed that, and was being sarcastic.  Thus, my sarcastic smiley.    :lol:

 

:lol:

 

The pipeline point's a good one, though...hadn't thought of that.  Are the mandated sulfur requirements mandated at the refinery, or at the pump?  That is, does the gas have to measure 50 ppm as it comes out of the refining process, or as it goes into my gas tank?

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At the pump.

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