a coefficient representing the ratio of the solubility of a compound in octanol (a non-polar solvent) to its solubility in water (a polar solvent). The higher the Kow, the more non-polar the compound. Log Kow is generally used as a relative indicator of the tendency of an organic compound to adsorb to soil. Log Kow values are generally inversely related to aqueous solubility and directly proportional to molecular weight.
Organization of Petroleum Exporting Countries, oil producing and exporting countries that have organized for the purpose of negotiating with oil companies on matters of oil production, prices, and future concession rights. Current members are Algeria, Gabon, Indonesia, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, United Arab Emirates, and Venezuela.
An individual (who may own several properties that retail gasoline products) owns and operates the building/facility/property (as opposed to a lessee dealer who does not own the property). The typical open dealer operates between 1 and 10 locations. A major or regional oil company, or a large local wholesaler supplies the facility directly. Open dealers can evolve into a distributor if they achieve a large enough volume.
Typically involves the review of previous uses of the subject property and of other properties in the immediate vicinity, a site inspection and report on findings by a qualified engineering/environmental firm. This report includes recommendations for further testing, if deemed necessary.
Required if the Phase I review uncovers potential environmental problems. Among others, procedures typically included at this stage are subsurface soil and water sample tests.
The Petroleum Marketing Practices Act (PMPA) The Petroleum Marketing Practices Act (PMPA) may be found at 15 U.S.C. §2801-2806. The full text of the act as codified follows this narrative. First, we present the amendments to the PMPA, and then present an overview of each section. You may use the hypertext in the description to get where you want to go in the PMPA, or leisurely scroll your way on down through the PMPA. Click here for a link to the Department of Energy's notice required for termination pursuant to the PMPA as published in the Federal Register at 61 F.R.32786 on June 25, 1996. This link is to the Federal Register at the website maintained by the United States Government Printing Office. Soon we hope to be adding links to the premier digest of cases for the PMPA: the Digest of Decisions Under the Petroleum Marketing Practices Act. Thank you for visiting our site. The 1994 Amendments The 1994 amendments to the PMPA: - Re-defined "Failure" by adding §2801(13)(C) which removes from the definition of failure any "failure" based on any illegal or unenforceable law of any State; - Added §2802(b)(3)(A) which addresses the issue of converting a leased facility from a dealer-operated facility to a company-operated facility; - Amended §2802(c)(4) so that a franchisor company must offer to assign to the franchisee any underlying lease of the facility, allowing certain conditions to be met prior to the assignment; - Added §2806(a)(2) which prohibits any state from legislating payment of goodwill upon termination or nonrenewal; - Added §2806(b)(2), which clarifies the right of a State to legislate the terms and conditions under which a franchise may make provision for succession upon death; and, - Inserted §2805(f)(1) and (2) making it clear that waiver of rights under PMPA, other federal law or applicable state law is not allowed, and that the only allowed applicable state law is the law of the principal place of business of the franchise. The Petroleum Marketing Practices Act 15 USC §2801-2806 (Summary) Section 2801. This section sets out the definitions of key terms that are used throughout the PMPA.
Section 2802. This section is the meat of the termination and nonrenewal of franchises. §2802(a) essentially prohibits termination of nonrenewal except as provided for in the PMPA. §2802(b) sets forth in detail the cookbook for proper termination or nonrenewal of a franchise. §2802(c) is a definition for the "relevant events" as referred to in 2802(b).
Section 2803. Here you will find the provisions relating to trial franchises. § 2803(a) removes applicability of §2802 in relation to trial franchises. The definitions for §2803 are in §2803(b). The conditions for nonrenewal of a trial franchise are set forth in §2803(c).
Section 2804. This section of the PMPA sets out the requirements for the timing, manner and form of the notification of termination and nonrenewal. §2804(a) sets forth the general requirements of notification. In §2804(b) attention is given to particular situations that allow for special notification requirments. The form notice and its content are spelled out in §2804(c). The special notice from the Department of Energy is called for in §2804(d).
Section 2805. This section sets forth the procedural matters in the event that an action is commenced to enforce franchise rights under the PMPA. §2805(a) specifies where and how a franchisee may sue a franchisor. The equitable relief available through the PMPA is set out in §2805(b). The burden of proof and of going forward are set out in §2805(c). The damages available under the PMPA are set out in §2805(d). The power of the court to continue a franchise is set out in §2805(e). Section 2806. This section is about preemption. The prohibition of termination legislation is found in §2806(a). Transfer, assignment and succession rights are addressed in §2806(b). Summary of Title 1 of the Petroleum Marketing Practices Act (3128-01) Office of the Secretary SUMMARY OF TITLE I OF THE PETROLEUM MARKETING PRACTICES ACT AGENCY: Department of Energy ACTION: Notice SUMMARY: This notice contains a summary of title I of the Petroleum Marketing Practices Act, a new Federal law enacted on June 19, 1978. The law is intended to protect franchised distributors and retailers of gasoline and diesel motor fuel against arbitrary or discriminatory termination or nonrenewal of franchises. The summary describes the reasons for which a franchise may be terminated or not renewed under the new law, the responsibilities of franchisors, and the remedies and relief available to franchisees. Franchisors must give franchisees copies of the summary contained in this notice whenever notification of termination or nonrenewal of a franchise is given. FOR FURTHER INFORMATION CONTACT: William C. Lane, Jr., Office of Competition, Department of Energy, 20 Massachusetts Avenue NW.,Room 712, Washington, D.C. 20845, 202-376-9495. Michael Paige or Judith H. Garfield, Office of General Counsel, Department of Energy, 12th and Pennsylvania Avenue NW., Room 5134, Washington. D.C., 20461, 202-566-9565 or 202-566-2085. SUPPLEMENTARY INFORMATION: Title I of the Petroleum Marketing Practices Act, Pub. L. 95-297 (the "Act"), enacted on June 19, 1978, provides for the protection of franchised distributors and retailers of motor fuel by establishing minimum Federal standards governing the termination of franchises and the nonrenewal of franchise relationships by the franchisor or distributor of such fuel. Section 104(d)(1) of the Act provides that the Secretary of Energy shall prepare and publish in the FEDERAL REGISTER, not later than 30 days after enactment of the act, a simple and concise summary of the provisions of title I, including a statement of the respective responsibilities of, and the remedies and relief available to, franchisors and franchisees under that title. As required by section 104(d)(1) of the Act, the following is a summary of the respective responsibilities of and the remedies and relief available to, franchisors and franchisees. Franchisors must give copies of this summary statement to their franchisees when entering an agreement to terminate the franchise or not to renew the franchise relationship, and when giving notification of termination or nonrenewal. In addition to the summary of the provisions of title I, a more detailed description of the provisions of the definition contained in the Act and of the legal remedies available to franchisees is also included in this notice, following the summary statement. SUMMARY OF LEGAL RIGHTS OF MOTOR FUEL FRANCHISEES This is a summary of the franchise protection provisions of the Federal Petroleum Marketing Practices Act. This summary must be given to you, as a person holding a franchise for the sale, consignment or distribution of gasoline or diesel motor fuel, in connection with any termination or nonrenewal of your franchise by your franchising company (referred to in this summary as your supplier). The franchise protection provisions of the Act apply to a variety of franchise arrangements. The term "franchise" is broadly defined as a license to use a motor fuel trademark which is owned or controlled by a refiner, and it includes secondary arrangements such as leases of real property and motor fuel supply arrangements which have existed continuously since May 15, 1973 regardless of a subsequent withdrawal of a trademark. Thus, if you have lost the use of a trademark previously granted by your supplier but have continued to receive motor fuel supplies through a continuation of a supply agreement with your supplier, you are protected under the Act. You should read this summary carefully, and refer to the Act if necessary, to determine whether a proposed termination or nonrenewal of your franchise is lawful, and what legal remedies are available to you if you think the proposed termination or failure to renew is not lawful. In addition, if you think your supplier has failed to comply with the Act, you may wish to consult an attorney in order to enforce your legal rights. The Act is intended to protect you, whether you are a distributor or a retailer, from arbitrary or discriminatory termination or nonrenewal of your franchise agreement. To accomplish this, the Act first lists the reasons for which termination or nonrenewal is permitted. Any notice of termination must state the precise reason, as listed in the Act, for which the particular termination or nonrenewal is being made. These reasons are described below under the headings "Reasons for Termination" and "Reasons for Nonrenewal." You should note that the Act does not restrict the reasons which may be given for the termination of a franchise agreement entered into before the June 19, 1978 effective date of the Act. However, any nonrenewal of such a terminated franchise must be based on one of the reasons for nonrenewal summarized below. The Act also requires your supplier to give you a written notice of termination or intention not to renew the franchise within certain time periods. These requirements are summarized below, under the heading "Notice Requirements for Termination or Nonrenewal." The Act allows trial and interim franchise agreements, which are described below under the heading "Trial and Interim Franchises." The Act gives you certain legal rights if your supplier terminates or does not renew your franchise in a way that is not permitted by the Act. These legal rights are described below under the heading "Your Legal Rights." This summary is intended as a simple and concise description of the general nature of your rights under the Act. For a more detailed description of these rights, you should read the text of the Petroleum Marketing Practices Act itself (Pub. L. 95-297, 92 Stat. 322, 15 U.S.C. 2801). I. REASONS FOR TERMINATION The following is a list of the only reasons for which your franchise is permitted to be terminated by the Act. One or more of these reasons must be specified if your franchise was entered into on or after June 19, 1978 and is being terminated. If your franchise was entered into before June 19, 1978, as discussed above, there is no statutory restriction on the reasons for which it may be terminated, however, the Act requires the supplier to renew the franchise relationship unless the one of the reasons listed under this heading or one of the additional reasons for nonrenewal described below under the heading "Reasons for Nonrenewal" exists. If your supplier attempts to terminate a franchise which you entered into on or after June 19, 1978 for a reason that is not listed under this heading, you can take the legal action against your supplier that is described below under the heading "Your Legal Rights." Noncompliance with franchise agreement. Your supplier may terminate your franchise is you do not comply with a reasonable and important requirement of the franchise relationship. In order to use this reason, your supplier must have learned of this non-compliance recently. The Act limits the time period within which your supplier must have learned of your non-compliance to various periods, the longest of which is 120 days, before you receive notification of the termination. Lack of good faith efforts. Your supplier may terminate your franchise if you have not made good faith efforts to carry out the requirements of the franchise, provided you are first notified in writing that you are not meeting a requirement of the franchise and you are given an opportunity to make a good faith effort to carry out the requirement. This reason con be used by your supplier only if you fail to make good faith efforts to carry out the requirements of the franchise for a period of 180 days before you receive the notice of termination. Mutual agreement to terminate the franchise. A franchise can be terminated by an agreement in writing between you and your supplier if the agreement is entered into not more than 180 days before the effective date of the termination and you receive a copy of this agreement, together with this summary statement of your rights under the Act. You may cancel within 7 days after you receive a copy of the agreement, by mailing (by certified mail) a written statement to this effect to your supplier. Withdrawal from the market area. Under certain conditions, the Act permits your supplier to terminate your franchise if your supplier is withdrawing from marketing activities in the entire geographic area in which you operate. You should read the act for a more detailed description of the conditions under which market withdrawal terminations are permitted. Other events permitting a termination. If your supplier learns within the time period specified in the Act (which in no case is more than 120 days prior to the termination notice) that one of the following events has occurred, your supplier may terminate your franchise agreement:
- Fraud or criminal misconduct by you that related to the operation of your marketing premises.
- You declare bankruptcy or a court determines that you are insolvent.
- You have a severe physical or mental disability lasting at least 3 months which makes you unable to provide for the continued proper operation of the marketing premises.
- Expiration of your supplier's underlying lease to the leased marketing premises, if you were given written notice before the beginning of the term of the franchise of the duration of the underlying lease and that the underlying lease might expire and not be renewed during the term of the franchise.
- Condemnation or other taking by the government, in whole or in part, of the marketing premises pursuant to the power of eminent domain. If the termination is based on a condemnation or other taking, your supplier must give you a fair share of any compensation which he receives for any loss of business opportunity or good will.
- Loss of your supplier's right to grant the use of the trademark that is the subject of the franchise, unless the loss was because of bad faith actions by your supplier relating to trademark abuse, violation of Federal or State law, or other fault or negligence.
- Destruction (other than by your supplier) of all or a substantial part of marketing premises. If the termination is based on the destruction of the marketing premises and if the premises are rebuilt or replaced by your franchise, your supplier must give you a right of first refusal to this new franchise.
- Your failure to make payments to your supplier of any sums to which your supplier is legally entitled.
- Your failure to operate the marketing premises for 7 consecutive days, or any shorter period of time which, taking into account facts and circumstances, amounts to an unreasonable period of time not to operate.
- Your intentional adulteration, mislabeling or misbranding of motor fuels or other trademark violations.
- Your failure to comply with Federal, State, or local laws or regulations of which you have knowledge and that relate to the operation of the marketing premises.
- Your conviction of any felony involving moral turpitude.
- Any event that affects the franchise relationship and as a result of which termination is reasonable. II. REASONS FOR NONRENEWAL If your supplier gives notice that he does not intend to renew any franchise agreement, the act requires that the reason for nonrenewal must be either one of the reasons for termination listed immediately above, or one of the reasons for nonrenewal listed below. Failure to agree on changes or additions to franchise. If you and your supplier fail to agree to changes in the franchise that your supplier in good faith has determined are required, and your supplier's insistence on the changes is not for the purpose of preventing renewal of the franchise, your supplier may decline to renew the franchise. Customer complaints. If your supplier has received numerous customer complaints relating to the condition of your marketing premises or to the conduct of any of your employees, and you have failed to take prompt corrective action after having been notified of these complaints, your supplier may decline to renew the franchise. Unsafe or unhealthful operations. If you have failed repeatedly to operate your marketing premises in a clean, safe and healthful manner after repeated notices from your supplier, your supplier may decline to renew the franchise. Operation of franchise is uneconomical. Under certain conditions specified in the Act, your supplier may decline to renew your franchise if he has determined that renewal of the franchise is likely to be uneconomical. Your supplier may also decline to renew your franchise if he has decided to convert your marketing premises to a use other than for the sale of motor fuel, to sell the premises, or to materially alter, add to, or replace the premises. III. NOTICE REQUIREMENTS FOR TERMINATION OR NONRENEWAL The following is a description of the requirements for the notice which your supplier must give you before he may terminate your franchise or decline to renew your franchise relationship. These notice requirements apply to all franchises entered into before June 19, 1978 and trial and interim franchises, as well as to all nonrenewals of franchise relationships. How much notice is required. In most cases, your supplier must give you notice of termination or nonrenewal at least 90 days before the termination or nonrenewal takes effect. In circumstances where it would not be reasonable for your supplier to five you 90 days notice, he must give you notice as soon as he can do so. In addition, if the franchise involves leased marketing premises, your supplier may not establish a new franchise relationship involving the same premises until 30 days after notice was given to you or the date of the termination or nonrenewal takes effect, whichever is later. If the franchise agreement permits, your supplier may repossess the premises and, in reasonable circumstances, operate them through his employees or agents. If the termination or nonrenewal is based upon a determination to withdraw from the marketing of motor fuel in the area, your supplier must give you notice at least 180 days before the termination or nonrenewal takes effect. Manner and contents of notice. To be valid, the notice must be in writing and must be sent by certified mail or personally delivered to you. It must contain:
- A statement of your supplier's intention to terminate the franchise or not to renew the franchise relationship, together with his reasons for this action;
- The date the termination or nonrenewal takes effect; and
- A copy of this summary. IV. TRIAL FRANCHISES AND INTERIM FRANCHISES The following is a description of the special requirements that apply to trial and interim franchises. Trial franchises. A trial franchise is a franchise, entered into on or after June 19, 1978, in which the franchisee has not previously been a party to a franchise with the franchisor and which has an initial term of 1 year or less. A trial franchise must be in writing and must make certain disclosures, including that it is a trial franchise, and that the franchisor has the right not to renew the franchise relationship at the end of the initial term by giving the franchisee proper notice. In exercising his right not to renew a trial franchise at the end of its initial term, your supplier must comply with the notice requirements described above under the heading "Notice Requirements for Termination or Nonrenewal." Interim franchises. An interim franchise is a franchise, entered into on or after June 19, 1978, the duration of which, when combined with the terms of all prior franchises between the franchisor and the franchisee, does not exceed 3 years, and which begins immediately after the expiration of a prior franchise involving the same marketing premises which was not renewed, based upon a lawful determination by the franchisor to withdraw from marketing activities in the geographic area in which the franchisee operates. An interim franchise must in writing and must make certain disclosures, including that it is an interim franchise and that the franchisor has the right not to renew the franchise at the end of the term based upon a lawful determination to withdraw from marketing activities in the geographical area in which the franchisee operates. In exercising his right not to renew a franchise relationship under an interim franchise at the end of its term, your supplier must comply with the notice requirements described above under the heading "Notice Requirements for Termination or Nonrenewal." V. YOUR LEGAL RIGHTS Under the enforcement provisions of the Act, you have the right to sue your supplier if he fails to comply with the requirements of the Act. The courts are authorized to grant whatever equitable relief is necessary to remedy the effects of your supplier's failure to comply with the requirements of the Act, including declaratory judgement, mandatory or prohibitive injunctive relief, and interim equitable relief. Actual damages, exemplary (punitive) damages under certain circumstances, and reasonable attorney and expert witness fees are also authorized. For a more detailed description of these legal remedies you should read the text of the Act. FURTHER DISCUSSION OF TITLE I -- DEFINITIONS AND LEGAL REMEDIES I. DEFINITIONS Section 101 of the Petroleum Marketing Practices Act sets forth definitions of the key terms used throughout the franchise protection provisions of the Act. The definitions from the Act which are listed below are of those terms which are most essential for purposes of the foregoing summary statement. (You should consult section 101 of the Act for additional definitions not included here.) Franchise. A franchise is any contract between a refiner and a distributor, between a refiner and a retailer, between a distributor and another distributor, or between a distributor and a retailer, under which a refiner or distributor (as the case may be) authorizes or permits a retailer or distributor to use, in connection with the sale, consignment, or distribution of motor fuel, a trademark which is owned or controlled by such refiner or by a refiner which supplies motor fuel to the distributor which authorizes or permits such use. The term "franchise" includes any contract under which a retailer or distributor (as the case may be) is authorized or permitted to occupy leased marketing premises, which premises are to be employed in connection with the sale, consignment, or distribution of motor fuel under a trademark which is owned or controlled by such refiner or by a refiner which supplies motor fuel to the distributor which authorizes or permits such occupancy. The term also includes any contract pertaining to the supply of motor fuel which is to be sold, consigned or distributed under a trademark owned or controlled by a refiner, or under a contract which has existed continuously since May 15, 1973, and pursuant to which, on May 15, 1973, motor fuel was sold, consigned or distributed under a trademark owned or controlled on such date by a refiner. The unexpired portion of a transferred franchise is also included in the definition of the term. Franchise relationship. The term "franchise relationship" refers to the respective motor fuel marketing or distribution obligations and responsibilities of a franchisor and a franchisee which result from the marketing of motor fuel under a franchise. Franchisee. A franchisee is a retailer or distributor who is authorized or permitted, under a franchise, to use a trademark in connection with the sale, consignment, or distribution of motor fuel. Franchisor. A franchisor is a refiner or distributor who authorizes or permits, under a franchise, a retailer or distributor to use a trademark in connection with the sale, consignment, or distribution of motor fuel. Marketing premises. Marketing premises are the premises which, under a franchise, are to be employed by the franchisee in connection with the sale, consignment, or distribution of motor fuel. Leased marketing premises. Leased marketing premises are marketing premises owned, leased, or in any way controlled by a franchisor and which the franchisee is authorized or permitted, under the franchise, to employ in connection with the sale, consignment, or distribution of motor fuel. Fail to renew and nonrenewal. The terms "fail to renew" and "nonrenewal" refer to a failure to reinstate, continue, or extend a franchise relationship (1) at the conclusion of the term, or on the expiration date, stated in the relevant franchise, (2) at any time, in the case of the relevant franchise which does not state a term of duration or an expiration date, or (3) following a termination (on or after June 19, 1978) of the relevant franchise which was entered into prior to June 19, 1978 and has not been renewed after such date. II. LEGAL REMEDIES AVAILABLE TO FRANCHISEE The following is a more detailed description of the remedies available to the franchisee if a franchise is terminated or not renewed in a way that fails to comply with the Act. Franchisee's right to sue. A franchisee may bring a civil action in United States District Court against a franchisor who does not comply with the requirements of the Act. The action must be brought within on year after the date of termination or nonrenewal or the date the franchisor fails to comply with the requirements of the law, whichever is later. Equitable relief. Courts are authorized to grant whatever equitable relief is necessary to remedy the effects of a violation of the law's requirements. Courts are directed to grant a preliminary injunction if the franchisee shows that there are sufficiently serious questions, going to the merits of the case, to make them a fair ground for litigation, and if, on balance, the hardship which the franchisee would suffer if the preliminary injunction is not granted will be greater than the hardship which the franchisor would suffer is such relief is granted. Courts are not required to order continuation or renewal of the franchise relationship or renewal of the franchise relationship if the action was brought after the expiration of the period during which the franchisee was on notice concerning the franchisor's intention to terminate or not to renew the franchise agreement. Burden of proof. In an action under the Act, the franchisee has the burden of proving that the franchise was terminated or not renewed. The franchisor has the burden of proving, as an affirmative defense, that the termination or nonrenewal was permitted under the Act and, if applicable, that the franchisor complied with certain other requirements relating to terminations and nonrenewals based on condemnation or destruction of the marketing premises. Damages. A franchise who prevails in an action under the Act is entitled to actual damages and reasonable attorney and expert witness fees. If the action was based upon conduct of the franchisor which was in willful disregard of the law's requirements or the franchisee's rights under the law, exemplary (punitive) damages may be awarded where appropriate. The court, and not the jury, will decide whether to award exemplary damages and, if so, in what amount. On the other hand, if the court finds that the franchisee's action is frivolous, it may order the franchisee to pay reasonable attorney and expert witness fees. Franchisor's defense to permanent injunctive relief. Courts may not order a continuation or renewal of a franchise relationship if the franchisor shows that the basis of the nonrenewal of the franchise relationship was a determination made in good faith and in the normal course of business.
- To convert the leased marketing premises to a use other than the sale or distribution of motor fuel;
- To materially alter, add to, or replace such premises;
- To sell such premises;
- To withdraw from marketing activities in the geographical area in which such premises are located; or
- That renewal of the franchise relationship is likely to be uneconomical to the franchisor despite any reasonable changes or additions to the franchise provisions which may be acceptable to the franchisee. In making this defense, the franchisor also must show that he has complied with the notice requirements of the Act. This defense to permanent injunctive relief,however, does not affect the franchisee's right to recover actual damages and reasonable attorney and expert witness fees if the nonrenewal is otherwise prohibited under the Act. Issued in Washington, D.C. on August 23, 1978. John F. O'Leary Deputy Secretary. (FR Doc. 78-24429 Filed 8-28-78; 9:15 am)
Price at which the majors and independent refineries sell branded or unbranded gasoline to jobber/wholesalers. It is related to the commodity spot price, but adjusted for transportation, overhead, and profit.
A major or regional oil company owns the building/facility and business. The company pays a salary to the managers/proprietors and usually produces and supplies petroleum products to the location. Also known as company-operated and direct operating retail.
Sunoco (NYSE: SUN) is an American petroleum and petrochemical manufacturer headquartered in Philadelphia, Pennsylvania, formerly known as Sun Company Inc.. In Canada, Sunoco is operated by Suncor Energy, a separate Canadian entity. The integrated oil company now known as Sunoco began as The Peoples Natural Gas Company in Pittsburgh, Pennsylvania. In 1886, its partners—Joseph Newton Pew (see The Pew Charitable Trusts) and Edward O. Emerson—decided to expand their gas business with a stake in the new oil discoveries in Ohio and Pennsylvania. Four years later, the growing enterprise became the Sun Oil Company of Ohio. Sun Oil diversified quickly, active in production and distribution of oil as well as processing and marketing refined products. By 1901, the company was incorporated in New Jersey as Sun Company and turned its interest to the new Spindletop field in Texas. With a growing portfolio of oil fields and refineries in hand, Sun opened its first service station in Ardmore, Pennsylvania in 1920. The name changed back to Sun Oil Company in 1922 and, in 1925, Sun became a publicly traded company on the New York Stock Exchange. Following World War II, Sun expanded internationally. Its first Canadian refinery was built in 1953 in Sarnia, Ontario, home to a burgeoning new petrochemical industry. Sun established a facility at Venezuela's Lake Maracaibo in 1957, which produced over a billion barrels (160,000,000 m³) before the operation was nationalized in 1975. Sun is perhaps best known to consumers for its "custom blending" pumps, an innovation that, in 1956, allowed customers of Sunoco service stations to choose from several octane grades through a single pump. Sunoco stations offered as many as eight grades of "Custom Blended" gasolines from its "Dial A Grade" pumps ranging from subregular Sunoco 190 to Sunoco 260, the latter a super-premium grade of 102 octane that was advertised as the "highest octane pump gas" and very popular with the 400 horsepower (298 kW) musclecars of that era. In 1967, Sun established its Great Canadian Oil Sands Limited facility in northern Alberta, Canada, to help unlock the estimated 300 billion barrels (48 km³) of recoverable oil in the Athabasca oil sands. In 1968, Sun Oil merged with Tulsa, Okla.-based Sunray DX Oil Company, which refined and marketed gasoline under the DX brand in several midwestern states, and included several refineries including one in Tulsa that is still operated by Sun to the present day. This move expanded Sun's marketing area into the mid-continent region. Sun Oil continued marketing its petroleum products under both the Sunoco and DX brands through the 1970s and into the 1980s. In the late 1980s, Sun began rebranding DX stations in the Midwest to the Sunoco brand and even introduced the high-octane Sunoco ULTRA 94 gasoline to stations in that region, but in the early 1990s pulled out virtually all areas west of the Mississippi, resulting in the closing and rebranding of service stations and jobbers to other brands in those areas, notably Sinclair in Oklahoma. With increased diversification, Sun Oil Company was renamed Sun Company in 1976. In 1980, Sun acquired the U.S. oil and gas properties of Texas Pacific Oil Company, Inc., a subsidiary of The Seagram Company, Ltd., for $2.3 billion -- the second largest acquisition in U.S. history to that date. Through the 1980s, Sun developed oil interests in the North Sea and offshore China and expanded its holdings in both oil and coal with additional U.S. business acquisitions. In 1983, consumers saw the arrival of Sunoco ULTRA 94, the market's highest octane unleaded gasoline. Then in 1988, Sun's undertook a major restructuring to segregate its domestic oil and gas exploration and production business and the focus the company on its refining and marketing business. This led to the acquisition of Atlantic Refining and Marketing (which, in effect acquired that company's convenience store chain, A-Plus), including its Philadelphia refinery which was later merged with the former Gulf Oil refinery right next door that Sunoco acquired from Chevron. By the 1990s, Sun had departed the international exploration business and was fully dedicated to its branded products and services. The "Sunoco" became central to the company in 1998 when Sun Company, Inc. became Sunoco, Inc. In 2004, Sunoco replaced ConocoPhillips' 76 brand as the official fuel of NASCAR. After ConocoPhillips abandoned Northeastern marketing of the Mobil brand name in the Washington area, Sunoco purchased these rights, and has since been converting Maryland and Virginia Mobil stations to the Sunoco brand, bringing the A-Plus convenience store with them (These stations before had convenience stores under the Circle K or On the Run brand). Most of the conversions done so far have been in Virginia.
Facts - Sunoco is the only major gasoline retailer to sell four grades of gasoline in the U.S.: regular (regular 87 octane), plus (89), Premium (93) and ULTRA 94 (Sun is currently in the process of removing 94 from the stations and making it ULTRA 93 instead). Sunoco also once sold Economy unleaded, an 86 octane slightly cheaper than regular, in all of its markets until the mid-1990s when it was withdrawn from Pennsylvania and a handful of other states, and was phased out altogether in 2003. - Sunoco is one of the few oil companies that currently uses ethanol systemwide, which is currently being phased in at other oil companies, to comply with federal laws. - In addition to their sponsorship deal with NASCAR, Sunoco also has exclusive deals as the gasoline supplier at the travel plazas along the Pennsylvania Turnpike & New Jersey Turnpike. Sunoco also served the Ohio Turnpike until 2007 when Valero took over operations. In addition, Sunoco also owns & operates a station with an A-Plus convenience store at Pittsburgh International Airport, as Sunoco has a very large market share in Pittsburgh. - http://www.sunocoinc.com/
A physical storage facility for petroleum products, typically supplied through a pipeline from a refinery, where jobbers/wholesalers purchase and obtain gasoline at the rack price.
A convenience store operator whose roots are in convenience retailing rather than petroleum products. Gasoline operations were either de-emphasized or non-existent when the company was founded.
While the 3 year oil company is typically treated as a long term lease, because of the provisions in the PMPA, if the oil company does not own the land, a buyer must look to who owns the land and what the terms of the underlying ground lease are. The oil company may have only 5 years left on their land and therefore, have no obligation to the dealer beyond that 5 years.
Sales of refined products to purchasers who are other than ultimate consumers, i.e. sales for resale. The Energy Information Administration blends rack, bulk, and DTW price to create wholesale price.
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