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Post by badbrad on Jul 17, 2019 12:55:38 GMT -6
I called L&L Propane. They have 7 plants around WI, none near us to use as leverage. But it did get one supplier in Grantsburg to come down into the 80's for gas. I am working on my guy to sharpen his pencil. How does l and l be so cheap mo. Any idea ?
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Propane
Jul 17, 2019 13:56:42 GMT -6
Post by sd51555 on Jul 17, 2019 13:56:42 GMT -6
I called L&L Propane. They have 7 plants around WI, none near us to use as leverage. But it did get one supplier in Grantsburg to come down into the 80's for gas. I am working on my guy to sharpen his pencil. How does l and l be so cheap mo. Any idea ? Tank rent most likely. If they can get $150-$200/year in tank rent, they could give the gas away at cost and make excellent money. We used to charge 29 cents net margin and a modest tank rent. We couldn't keep the trucks on the road for less than 800,000 gallons per route per year. When the average homeowner uses around 500 gallons a year, it only generates $145 margin + $50 in tank rent, that's $195/customer. However, if you charge everyone $150-$200 for the tank rent, and give them gas for free, you make the same amount of money in the warm winters, and your smallest customers still pay $150-$200/year (pure profit) whether they use 2000 gallons, or 10 gallons per year for their grill.
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Propane
Jul 17, 2019 14:20:45 GMT -6
Post by benmnwi on Jul 17, 2019 14:20:45 GMT -6
My cash price in SE MN is $0.99/gallon today on the tank that I own. I'm happy with a price that's under a buck, but your $0.64 price sounds much better.
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Post by badbrad on Jul 17, 2019 14:56:43 GMT -6
How does l and l be so cheap mo. Any idea ? Tank rent most likely. If they can get $150-$200/year in tank rent, they could give the gas away at cost and make excellent money. We used to charge 29 cents net margin and a modest tank rent. We couldn't keep the trucks on the road for less than 800,000 gallons per route per year. When the average homeowner uses around 500 gallons a year, it only generates $145 margin + $50 in tank rent, that's $195/customer. However, if you charge everyone $150-$200 for the tank rent, and give them gas for free, you make the same amount of money in the warm winters, and your smallest customers still pay $150-$200/year (pure profit) whether they use 2000 gallons, or 10 gallons per year for their grill. Nope Price is the same if you rent or own.
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Propane
Jul 17, 2019 15:40:21 GMT -6
Post by MoBuckChaser on Jul 17, 2019 15:40:21 GMT -6
I called L&L Propane. They have 7 plants around WI, none near us to use as leverage. But it did get one supplier in Grantsburg to come down into the 80's for gas. I am working on my guy to sharpen his pencil. How does l and l be so cheap mo. Any idea ? Propane reserves are at a 5 year high right now. Transport price is .30/gal now. Lots of propane outfits are stuck with .60 gas and are pushing to sell as much as they can before they are forced to discount it. Once again, supply and demand.
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Post by Sandbur on Jul 17, 2019 16:52:50 GMT -6
My cash price in SE MN is $0.99/gallon today on the tank that I own. I'm happy with a price that's under a buck, but your $0.64 price sounds much better. Just what I paid.
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Post by daydreamer on Aug 6, 2019 20:03:01 GMT -6
WTF do I feel like I’m getting bent over here?? I just ordered recently to fill the tank and they matched a competitor price of $1.129 after they were going to originally fill for $1.19. Now I get this pre-buy for $1.39?!?!? Aren’t they essentially pre-buying as well for the winter? Shouldn’t the price be a lot lower? What am I missing here?
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Post by MoBuckChaser on Aug 8, 2019 8:45:35 GMT -6
WTF do I feel like I’m getting bent over here?? I just ordered recently to fill the tank and they matched a competitor price of $1.129 after they were going to originally fill for $1.19. Now I get this pre-buy for $1.39?!?!? Aren’t they essentially pre-buying as well for the winter? Shouldn’t the price be a lot lower? What am I missing here? Tell them you will give them a buck a gallon for prebuy or you will switch providers.
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Propane
Jan 20, 2020 10:54:56 GMT -6
Post by badbrad on Jan 20, 2020 10:54:56 GMT -6
Checking current prices. My supplier is at $1.04/gallon right now. Not bad for almost Feb. Thinking about getting my winter fill to last me till August.
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Propane
Apr 27, 2020 19:35:40 GMT -6
via mobile
Post by Sandbur on Apr 27, 2020 19:35:40 GMT -6
Has anybody checked prices lately?
Will it go down after the oil dropped or go up because not much oil is being produced? I am assuming it is made from natural gas???
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Post by sd51555 on Apr 28, 2020 0:11:28 GMT -6
Has anybody checked prices lately? Will it go down after the oil dropped or go up because not much oil is being produced? I am assuming it is made from natural gas??? We used to push home owners to fill anytime from May through July. Some years, winter prices hung on through May and the bottom would hit around early June. Once the driveway firms up, I plan to see about getting mine topped off. Where the market spot price is at, I'd expect to see about $1-$1.20/gallon up by me. Probably 65-80 cents/gallon in the real competitive markets. Lots of quirky stuff can skew that from company to company depending on gimmicks to pick up or keep customers and how much contracting went south for the hauler. I can run 2 years on a full tank (250) at camp, but at a buck a gallon or less, I'd have them top it off anytime they go by in the next few months. They don't make special trips for users like me.
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Propane
Apr 28, 2020 2:15:46 GMT -6
via mobile
Post by Sandbur on Apr 28, 2020 2:15:46 GMT -6
Has anybody checked prices lately? Will it go down after the oil dropped or go up because not much oil is being produced? I am assuming it is made from natural gas??? We used to push home owners to fill anytime from May through July. Some years, winter prices hung on through May and the bottom would hit around early June. Once the driveway firms up, I plan to see about getting mine topped off. Where the market spot price is at, I'd expect to see about $1-$1.20/gallon up by me. Probably 65-80 cents/gallon in the real competitive markets. Lots of quirky stuff can skew that from company to company depending on gimmicks to pick up or keep customers and how much contracting went south for the hauler. I can run 2 years on a full tank (250) at camp, but at a buck a gallon or less, I'd have them top it off anytime they go by in the next few months. They don't make special trips for users like me. I often used to view early August as cheapest gas, but there were lots of variables. This was on the edge of farm country and was always higher than where you grew up.
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Post by badbrad on Apr 28, 2020 6:21:36 GMT -6
Has anybody checked prices lately? Will it go down after the oil dropped or go up because not much oil is being produced? I am assuming it is made from natural gas??? Just called. 0.84 300-600 gallons. 0.79 600+ gallons.
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Propane
Jul 29, 2020 9:51:25 GMT -6
Post by badbrad on Jul 29, 2020 9:51:25 GMT -6
Getting close to filling season. Just called 300-600 gallons is 0.84/gal and 600+ gallons is 0.79/gallon. Thinking about pulling the trigger soon.
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Propane
Jul 29, 2020 12:28:32 GMT -6
Post by sd51555 on Jul 29, 2020 12:28:32 GMT -6
Getting close to filling season. Just called 300-600 gallons is 0.84/gal and 600+ gallons is 0.79/gallon. Thinking about pulling the trigger soon. I'm glad you brought this up. Reminded me I need to line up a new supplier. My old supplier is probably at $4.50/gallon. I called the local Cenex and they'll come fill mine at $1.29. I could probably make it through a season, but I don't want to be low on gas in the spring when it's time to open things up and road restrictions are on. Done deal.
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