The raw material needed to make gasoline or other kinds of petrol is Crude oil. It is the remains of living organisms from the Permian period millions of years ago subjected under constant pressure and heat. Petroleum or crude oil consists of hydrocarbons with various molecular weights. Crude oil or petroleum are extracted through the very ardous task of underground drilling. Petroleum can also create other products such as plastics, lubricants, asphalt for roads or heating oil. These products are separated by petroleum refineries by heating the crude oil to 698 degrees fahrenheit or 370 degrees celcius. The vapors generated by heat rises into refinery towers and condenses as it cools. However, the lighter molecules of gasoline will keep rising until it cools and collected as fuel.
A barrel of crude oil is about 42 US gallons and can make 19 US gallons of gasoline, 10 US gallons of Diesel, 5.5 US gallons of jet fuel and another 6.8 gallons of other products such as plastics, propane and lubricants. Gasolines are tested in the lab for the proper mixture of octane and heptane preventing premature combustion which causes engine knocking. When the proper mixture is finalized, the gasoline will be distributed into the market. Gas prices are determined by the total demand relative to its current production or reserve rates as well as the commodity price of its raw material, crude oil.
Oil and gasoline companies
Chevron Corporation (NYSE: CVX ) USA
ConocoPhillips (NYSE: COP) USA
ExxonMobil (NYSE: XOM) USA
BP p.l.c (NYSE: BP / LSE: BP) UK
Sinopec (NYSE: SNP) China
Petrochina (NYSE: PTR / SSE: 601857) China
Nippon oil (TYO: 5001) Japan
Saudi Aramco (Government) Saudi Arabia
Anadarko Petroleum corp. (NYSE: APC) USA
Petrobras (NYSE: PBR / Bovespa: PETR3)