Fuel oil is a lighter type of oil, or a liquid byproduct of crude oil, which is used for energy, especially for heating. When petroleum is refined, there are two main categories under which it is classified: distillate oils, including diesel, and residual oils, which include things like kerosene. There are different types of fuel oils in each category. Tiba is a Petrochemical company in Dubai, Uae provides all types of petrochemical products. Fuel Oil is marketed by Tiba. For more details and inquiries visit http://www.tibapetro.com
Fuel oil is one of the typical options of homeowners for running home heating equipment, such as furnaces and boilers. The thermostat transmits an electrical signal to the furnace whenever the room temperature decreases. The furnace provides fuel to the burners, which burn fuel oil to produce a flame, and causes fuel ignition. The heat exchange, a metal component of the burners, becomes hotter, and heat is transferred to the surrounding air. The timer-operated blower then starts to move air through the furnace heating system. The distillate type is generally used for home heating.
Boilers also supply hot water besides heating the home. Some of the types of boilers that use fuel oil are hot water boiler systems and steam boiler systems.
While gasoline is also a byproduct of the petroleum refining process, it is far less stable than the fuel oil used to heat homes and commercial properties. Even so, the rise and fall of gas prices is generally a good indicator of the stability, or lack thereof, of other oil prices. Since the price of crude oil directly affects the price of oil used for fuel, consumers should be prepared to pay more to heat their homes as the worldwide demand for oil and gas continues to increase.
The costs of refining must also be figured in to the price, as must the costs of transporting and distributing it. When the price of crude oil rises, gas prices go up, so the price of transporting fuel oil does as well. This may be felt even more by families that live in rural locations, requiring longer trips to transport and distribute the oil.
Seasonal issues tend to play a role in the price of fuel oil as well. During periods when the demand for gasoline is high, refining companies process less oil for heating. This means that, when the demand for home heating oil increases, so will the price because the supply is limited. This fact often causes the price to rise quickly and sharply.
In the U.S., much of the oil that is consumed, including heating oil, comes from foreign sources. Some of the refining is done in the domestically, but the rest is refined in other countries such as Canada or Venezuela, which may also affect the price.