TimfromMA
Minister of Fire
I thought the rule of thumb was 1 bag pellets = 2.33 gallons of oil.
So $7 pellets = $3 per gallon of oil.
$4.50 pellets = $1.92 per gallon of oil.
$6 pellets = $2.57 per gallon.
Lastly $3.36 oil = $7.83 per bag of pellets or $392 (if free delivery ).
If you paid $345 per ton of Okanagan you would break even at $2.96 /gal., which is hardly worth all the effort pellet burning requires, a whopping savings of $1 per bag for all the storage, handling, stacking, daily and weekly cleanings, plus cost of stove maintenance items. 6 tons of Okies (@ $345 ) would save you $300 ( @$3.36/gal ) per heating season if you got free delivery and had zero maintenance cost.
If you pay $220 per ton at BBS and use 6 tons you save $1,036, again if you had free delivery and zero maintenance costs.
You can slice this pie a thousand different ways. My heating costs dropped by $1000 per season, even with $7 per bag pellets. I don't care how or why but I have $1000 more in my account than I would have using oil. That's the only figure I care about.