I didn't see where the company ever qualified the $10 barrel claim with large production volume so I can only assume that you are speculating. The negative margin claims aren't exactly bullshit, that's what the company has reported from inception to date. The problem with your claim of decreasing costs is that it fails to explain why revenue per gallon has come down just as fast.
As we have seen countless times before, the company doesn't provide enough information to jump to any conclusions except for what is reported. Remember the 80%+ fuel #2 claim that went up in smoke? Apparently that was more bullshit.