Virgil arranged for Dan to buy as much heroin as he wanted from the two guys. They made the buy in the desert at these two guys crappy rundown looking trailer/camper. The guys ask for a ride back into town. Virgil says no. Dan says okay. While going down the road, one of the guys prepares to shoot up and is obviously "dying for a fix". He notices that Dan is staring at him in the mirror and that Virgil is looking back at him in a nervous way....thus making him nervous/paranoid. So he offers the first fix to Dan....and Virgil makes a joke of Dan not needing to get high while driving. So the guy starts to shoot up again....he hesitates, obviously not comfortable with Virgil or Dan....keeps noticing how uncomfortable Virgil is and how Dan constantly keeps eyeballing him in the mirror....he starts asking Dan who he knows in Cleveland and what street he lives on. Dan tells him **** you. The guy loses all trust, freaks out, and it seems to me that he is thinking he might be busted or is possibly going to get his ass waxed by Dan(and Dan take off with the heroin AND the money)....so he tries to attack Dan with the needle full of heroin. This is how I understood the scene....hope it helps.
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