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Tuesday, September 7, 2010  
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Petroleum 

Petroleum News

8-31-10

Below is an article off of the CHS website.  It's a great example of the Total Protection Plan working for a Cenex oil customer.

Kansas farm receives big coverage on used tractor
 
The latest farm to receive a big check from the Cenex® Total Protection Plan™ warranty program is Michael Farms of McCune, Kan. Jim Michael and his father, John, received the oversized check (along with an actual check for deposit) from Mike Smith, bulk fuels and agronomy manager, Producers Cooperative Association, Girard, Kan., and Morris Lewis, CHS district manager.
 
The warranty covered recent repairs to one of their Case IH tractors even though the problem was not lubricant- or fuel-related. When the Michaels bought the used tractor, it already had Cenex warranty protection, which was transferred to them.
 
“We’ve been putting our equipment on the Cenex warranty program for at least 25 years. We’ve used Cenex Maxtron® oil to extend our oil intervals since it first came out, and we’ve used Ruby Fieldmaster® diesel for as long as I can remember. They’re great products,” says Jim Michael.
 
“We use only Cenex energy products on our farm. We like the convenience of the bulk engine oil and hydraulic fluids. And it’s great that you can get such a good warranty, even on a used piece of equipment. This is the first claim that we’ve ever had, and the repair cost was covered with no questions asked,” he adds.
 
“Our cooperative runs Cenex lubricants and fuels in all our own equipment because we believe they are superior products. Our equipment definitely shows less wear,” says Smith. “And we found we can cover 7-10 percent more acres with our liquid application machine by using Ruby Fieldmaster® premium diesel fuel. We highly recommend upgrading to Ruby Fieldmaster if you’re running new equipment, in order to avoid problems caused by the higher pressure in the fuel system and the higher operating temperatures.”




8-26-10

Crude
Over the past 3 months or more crude oil has been pretty rangebound.  It seems to stay anywhere from about $70 a barrel to $82 a barrel.  Once it reaches one of these levels it has been turning around and going back to the other one.  Eventually this is going to break, and then it could really break up or break down.  It seems like lately the energy market has been based on the U.S. economy.  When there is good news out there crude seems to bounce up and it seems to go down when there is bad news.  The economy doesn't seem to be doing much of anything, so we could potentially see more of the same trends with crude in the coming months.

Colder weather coming
The fall and winter months are soon to be here, even though the recents few weeks of scorching temperatures tell us differently.  It would be a good idea to make sure your propane tank if filled going into these winter months.  We are currently making the rounds starting to get "keep full" customers filled with propane.  If you are a "call in" customer and would like to get filled please let us know so we can schedule you in one of our routes in the next few weeks.

Propane prices have been slowly going up over the past few weeks, even with crude on the bottome end of it's range.  This could be an indicator that we might see some higher prices in propane in the coming months.

 
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