AOPA Turbine Pilot Magazine - April 2022 - 87
of avgas sold frees up enough alkylate to
upgrade three gallons of conventional
gasoline to higher-value reformulated
gasoline, which is required in larger,
smoggier markets in the United States.
So out the refinery gate, avgas cost has
to compete with the upgrade difference
between conventional and reformulated
mogas (motor gasoline, used in automobiles),
times three. The components of
avgas also have an octane premium. In
the United States, the mogas pump at
your neighborhood gas station is labeled
with the AKI (anti knock index) or pump
octane. This number comes from different
octane scales than aviation octane.
100LL would be about 105 AKI if sold at
the gas station. Since there's a differential
in price between 87 AKI regular mogas,
and 92 or 93 AKI premium mogas, octane
index has a value. The 12- to 18-octane
point advantage of each gallon of avgas
over mogas could instead be used by the
refiner to upgrade three gallons of regular
to premium, so that too represents an
opportunity cost of making avgas.
So, that's the refiners' disincentive
for making avgas (plus liability,
the cost of the specially coated tanks
required for storing avgas to avoid rust
contamination, the cost of segregated
avgas handling facilities, and more).
The upside for the refiner is that avgas
sells at the refinery gate at about 80
cents per gallon more than mogas. This
is a nice margin, compared to the usual
4 cents per gallon mogas margin at the
refinery gate.
How have wholesale avgas prices
varied over time? The biggest driver is
the price of crude oil. That affects the
cost, and market valuation, of every
constituent being manufactured in the
refinery. Over the past five decades,
marker crude oil prices have ranged
from 5 cents per gallon to over $2.50
per gallon, back and forth. If you look at
the Energy Information Administration
website, you'll see that petroleum
products follow that cost curve fairly
linearly-there's no non-linear multiplier
effect. It's simply the cost of crude,
plus cost of refining, plus margins that
vary with scarcity or oversupply of
product in the marketplace. This is at
AOPA PILOT / April 2022
87
http://cappilots.com
AOPA Turbine Pilot Magazine - April 2022
Table of Contents for the Digital Edition of AOPA Turbine Pilot Magazine - April 2022
Contents
AOPA Turbine Pilot Magazine - April 2022 - Intro
AOPA Turbine Pilot Magazine - April 2022 - Cover1
AOPA Turbine Pilot Magazine - April 2022 - Cover2
AOPA Turbine Pilot Magazine - April 2022 - Contents
AOPA Turbine Pilot Magazine - April 2022 - 2
AOPA Turbine Pilot Magazine - April 2022 - 3
AOPA Turbine Pilot Magazine - April 2022 - 4
AOPA Turbine Pilot Magazine - April 2022 - 5
AOPA Turbine Pilot Magazine - April 2022 - 6
AOPA Turbine Pilot Magazine - April 2022 - 7
AOPA Turbine Pilot Magazine - April 2022 - 8
AOPA Turbine Pilot Magazine - April 2022 - 9
AOPA Turbine Pilot Magazine - April 2022 - 10
AOPA Turbine Pilot Magazine - April 2022 - 11
AOPA Turbine Pilot Magazine - April 2022 - 12
AOPA Turbine Pilot Magazine - April 2022 - 13
AOPA Turbine Pilot Magazine - April 2022 - 14
AOPA Turbine Pilot Magazine - April 2022 - 15
AOPA Turbine Pilot Magazine - April 2022 - 16
AOPA Turbine Pilot Magazine - April 2022 - 17
AOPA Turbine Pilot Magazine - April 2022 - 18
AOPA Turbine Pilot Magazine - April 2022 - 19
AOPA Turbine Pilot Magazine - April 2022 - 20
AOPA Turbine Pilot Magazine - April 2022 - 21
AOPA Turbine Pilot Magazine - April 2022 - 22
AOPA Turbine Pilot Magazine - April 2022 - 23
AOPA Turbine Pilot Magazine - April 2022 - 24
AOPA Turbine Pilot Magazine - April 2022 - 25
AOPA Turbine Pilot Magazine - April 2022 - 26
AOPA Turbine Pilot Magazine - April 2022 - 27
AOPA Turbine Pilot Magazine - April 2022 - 28
AOPA Turbine Pilot Magazine - April 2022 - 29
AOPA Turbine Pilot Magazine - April 2022 - 30
AOPA Turbine Pilot Magazine - April 2022 - 31
AOPA Turbine Pilot Magazine - April 2022 - 32
AOPA Turbine Pilot Magazine - April 2022 - 33
AOPA Turbine Pilot Magazine - April 2022 - 34
AOPA Turbine Pilot Magazine - April 2022 - 35
AOPA Turbine Pilot Magazine - April 2022 - 36
AOPA Turbine Pilot Magazine - April 2022 - 37
AOPA Turbine Pilot Magazine - April 2022 - 38
AOPA Turbine Pilot Magazine - April 2022 - 39
AOPA Turbine Pilot Magazine - April 2022 - 40
AOPA Turbine Pilot Magazine - April 2022 - 41
AOPA Turbine Pilot Magazine - April 2022 - 42
AOPA Turbine Pilot Magazine - April 2022 - 43
AOPA Turbine Pilot Magazine - April 2022 - 44
AOPA Turbine Pilot Magazine - April 2022 - 45
AOPA Turbine Pilot Magazine - April 2022 - 46
AOPA Turbine Pilot Magazine - April 2022 - 47
AOPA Turbine Pilot Magazine - April 2022 - 48
AOPA Turbine Pilot Magazine - April 2022 - T-1
AOPA Turbine Pilot Magazine - April 2022 - T-2
AOPA Turbine Pilot Magazine - April 2022 - T-3
AOPA Turbine Pilot Magazine - April 2022 - T-4
AOPA Turbine Pilot Magazine - April 2022 - T-5
AOPA Turbine Pilot Magazine - April 2022 - T-6
AOPA Turbine Pilot Magazine - April 2022 - T-7
AOPA Turbine Pilot Magazine - April 2022 - T-8
AOPA Turbine Pilot Magazine - April 2022 - T-9
AOPA Turbine Pilot Magazine - April 2022 - T-10
AOPA Turbine Pilot Magazine - April 2022 - T-11
AOPA Turbine Pilot Magazine - April 2022 - T-12
AOPA Turbine Pilot Magazine - April 2022 - T-13
AOPA Turbine Pilot Magazine - April 2022 - T-14
AOPA Turbine Pilot Magazine - April 2022 - T-15
AOPA Turbine Pilot Magazine - April 2022 - T-16
AOPA Turbine Pilot Magazine - April 2022 - 49
AOPA Turbine Pilot Magazine - April 2022 - 50
AOPA Turbine Pilot Magazine - April 2022 - 51
AOPA Turbine Pilot Magazine - April 2022 - 52
AOPA Turbine Pilot Magazine - April 2022 - 53
AOPA Turbine Pilot Magazine - April 2022 - 54
AOPA Turbine Pilot Magazine - April 2022 - 55
AOPA Turbine Pilot Magazine - April 2022 - 56
AOPA Turbine Pilot Magazine - April 2022 - 57
AOPA Turbine Pilot Magazine - April 2022 - 58
AOPA Turbine Pilot Magazine - April 2022 - 59
AOPA Turbine Pilot Magazine - April 2022 - 60
AOPA Turbine Pilot Magazine - April 2022 - 61
AOPA Turbine Pilot Magazine - April 2022 - 62
AOPA Turbine Pilot Magazine - April 2022 - 63
AOPA Turbine Pilot Magazine - April 2022 - 64
AOPA Turbine Pilot Magazine - April 2022 - 65
AOPA Turbine Pilot Magazine - April 2022 - 66
AOPA Turbine Pilot Magazine - April 2022 - 67
AOPA Turbine Pilot Magazine - April 2022 - 68
AOPA Turbine Pilot Magazine - April 2022 - 69
AOPA Turbine Pilot Magazine - April 2022 - 70
AOPA Turbine Pilot Magazine - April 2022 - 71
AOPA Turbine Pilot Magazine - April 2022 - 72
AOPA Turbine Pilot Magazine - April 2022 - 73
AOPA Turbine Pilot Magazine - April 2022 - 74
AOPA Turbine Pilot Magazine - April 2022 - 75
AOPA Turbine Pilot Magazine - April 2022 - 76
AOPA Turbine Pilot Magazine - April 2022 - 77
AOPA Turbine Pilot Magazine - April 2022 - 78
AOPA Turbine Pilot Magazine - April 2022 - 79
AOPA Turbine Pilot Magazine - April 2022 - 80
AOPA Turbine Pilot Magazine - April 2022 - 81
AOPA Turbine Pilot Magazine - April 2022 - 82
AOPA Turbine Pilot Magazine - April 2022 - 83
AOPA Turbine Pilot Magazine - April 2022 - 84
AOPA Turbine Pilot Magazine - April 2022 - 85
AOPA Turbine Pilot Magazine - April 2022 - 86
AOPA Turbine Pilot Magazine - April 2022 - 87
AOPA Turbine Pilot Magazine - April 2022 - 88
AOPA Turbine Pilot Magazine - April 2022 - 89
AOPA Turbine Pilot Magazine - April 2022 - 90
AOPA Turbine Pilot Magazine - April 2022 - 91
AOPA Turbine Pilot Magazine - April 2022 - 92
AOPA Turbine Pilot Magazine - April 2022 - 93
AOPA Turbine Pilot Magazine - April 2022 - 94
AOPA Turbine Pilot Magazine - April 2022 - 95
AOPA Turbine Pilot Magazine - April 2022 - 96
AOPA Turbine Pilot Magazine - April 2022 - 97
AOPA Turbine Pilot Magazine - April 2022 - 98
AOPA Turbine Pilot Magazine - April 2022 - 99
AOPA Turbine Pilot Magazine - April 2022 - 100
AOPA Turbine Pilot Magazine - April 2022 - 101
AOPA Turbine Pilot Magazine - April 2022 - 102
AOPA Turbine Pilot Magazine - April 2022 - 103
AOPA Turbine Pilot Magazine - April 2022 - 104
AOPA Turbine Pilot Magazine - April 2022 - 105
AOPA Turbine Pilot Magazine - April 2022 - 106
AOPA Turbine Pilot Magazine - April 2022 - 107
AOPA Turbine Pilot Magazine - April 2022 - 108
AOPA Turbine Pilot Magazine - April 2022 - 109
AOPA Turbine Pilot Magazine - April 2022 - 110
AOPA Turbine Pilot Magazine - April 2022 - 111
AOPA Turbine Pilot Magazine - April 2022 - 112
AOPA Turbine Pilot Magazine - April 2022 - Cover3
AOPA Turbine Pilot Magazine - April 2022 - Cover4
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202412
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202411
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202410
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202409
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202408
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202407
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202406
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202405
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202404
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202403
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202402
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202401
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202312
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202311
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202310
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202309
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202308
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202307
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202306
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202305
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202304
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202303
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202302
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202301
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202212
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202211
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202210
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202209
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202208
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202207
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202206
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202205
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202204
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202203
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202202
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202201
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202112
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202111
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202110
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202109
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202108
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202107
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202106
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202105
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202104
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202103
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202102
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202101
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202012
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202011
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202010
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202009
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202008
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202007
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202006
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202005
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202004
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202003
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202002
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_202001
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201912
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201911
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201910
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201909
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201908
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201907
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201906
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201905
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201904
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201903
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201902
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201901
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201812
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201811
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201810
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201809
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201808
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201807
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201806
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201805
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201804
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201803
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201802
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201801
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201712
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201711
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201710
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201709
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201708
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201707
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201706
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201705
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201704
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201703
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201702
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201701
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201612
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201611
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201610
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201609
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201608
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201607
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201606
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201605
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201604
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201603
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201602
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201601
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201512
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201511
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201510
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201509
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201508
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201507
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201506
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201505
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201504
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201503
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201502
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201501
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201412
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201411
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201410
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201409
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201408
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201407
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201406
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201405
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201404
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201403
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201402
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201401
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201312
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201311
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201310
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201309
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201308
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201307
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201306
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201305
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201304
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201303
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201302
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201301
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201212
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201211
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201210
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201209
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201208
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201207
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201206
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201205
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201204
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201203
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201202
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201201
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201112
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201111
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201110
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201109
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201108
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201107
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201106
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201105
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201104
https://www.nxtbook.com/nxtbooks/aopa/turbinepilot_201103
https://www.nxtbookmedia.com