Hurricane Harvey : Petrol shortage hits America, fuel prices go up

Gene J. Puskar	

	Gassing up is a little more costly thanks to Hurricane Harvey and the flooding it caused in Texas

Gas prices that have been rising in the Triangle all week are poised to go higher after the pipeline that supplies most of the fuel to North Carolina was shut down Thursday because of damage to oil refineries on the Gulf Coast. Colonial is the second major fuel pipeline to close down in recent days.

"Once Colonial is able to ensure that its facilities are safe to operate and refiners in Lake Charles and points west have the ability to move product to Colonial, our system will resume operations", the statement reads.

"We now estimate that we will be able to return to service from Houston on Sunday, following an evaluation of our infrastructure and successful execution of our start up plan", a Colonial release states. It resulted not only in surging prices, but in lines at gas stations in Tennessee, where some stations' tanks ran dry.

In Dallas, lines of cars a block long were common for the few gas stations that had gasoline to sell Thursday. And according to Patrick DeHaan, of Gas Buddy, it's not over yet.

Harvey, the strongest storm to hit the US since 2004, is throwing the energy market into disarray, leading to multiple refinery shutdowns in the Port Arthur, Beaumont and Houston areas, as plants further west restart. Today's average gasoline price in the Washington metro area is ten cents higher than it was a week ago.

Mexico's state-run oil company Pemex remained a key buyer, booking several more cargoes in Europe and Asia. "There's a logistics issue".

The closures rattled global fuel markets, and European and Asian traders diverted millions of barrels of gasoline and diesel to the Americas to help fill that gap. "We've seen this happen before with problems with Katrina".

Filling fuel tanks is becoming increasingly hard in parts of Texas where some stations were out of gas and pump costs have risen steeply. Sitton encouraged them to take note of any suspected hikes.

The website GeorgiaGasPrices.com allows users to report prices at stations throughout the city. "If you price gouge anybody, you could be subject to penalties of up to $25,000 per incident".

Refineries serving Chicago have not yet hinted about fuel shortages, said Mario Orlandi, an operations manager at Olson Service Co, which supplies diesel and gasoline to the area.

Tulsa-based QuikTrip Corporation (QT), which serves all of North Texas, is working to stay ahead of the curve and keep select locations stocked with gas.

Russia's exports of ULSD from the Baltic Sea port of Primorsk are expected to fall sharply in September by 35.8 percent on a daily basis to 770,000 tonnes from 1.240 million tonnes planned for August due to large seasonal refineries' maintenance, trading sources familiar with the loading schedule said on Friday. "That's the big unknown".

"The speed at which our system is running is lower but the system is running and supply is making it to the market, just at a slower pace", said Buster Brown, Colonial's director of scheduling and shipper relations.

The U.S. disruptions have hit wholesalers.

Related:

  • Browns Give Up On Brock Osweiler Experiment

    Browns Give Up On Brock Osweiler Experiment

    The 30-year-old had a promising start to his career but could never reach that early level after a serious knee injury in 2014. A year ago, the Texans thought so much of him that they gave him $72 million-and they weren't bidding against themselves.
    Los Angeles battles 'largest wildfire in city history'

    Los Angeles battles 'largest wildfire in city history'

    The 210 Freeway was closed on Friday and was expected to remain shut into the holiday weekend for at least part of Saturday. Terrazas said around 100 California firefighters are now helping with hurricane relief after Harvey hit Texas last week.
    SC to hear plea challenging deportation of Rohingya Muslims on Sept 4

    SC to hear plea challenging deportation of Rohingya Muslims on Sept 4

    Refugees arriving in Bangladesh accuse the military in Myanmar of raiding villages and burning down houses. Tens of thousands of Rohingya refugees are believed to be stuck at the border to Bangladesh.
  • What Got Mark Hamill to Return to the Star Wars Galaxy?

    What Got Mark Hamill to Return to the Star Wars Galaxy?

    While Luke will probably have a key role to play in the new movies, it’s certain the new actors will dominate the storyline. He felt he needed to know what all those years have done to Luke even if the material doesn’t get told in the actual movie.
    Sharapova hits back at Wozniacki in brutal fashion

    Sharapova hits back at Wozniacki in brutal fashion

    Two-time Wimbledon Champion Petra Kvitova advanced 6-0, 6-4 over 18th-seeded Caroline Garcia . The USTA didn't immediately respond to CNN's request for an explanation of the U.S.
    Demonitisation, pre-GST destocking reasons for drop in Q1 GDP

    Demonitisation, pre-GST destocking reasons for drop in Q1 GDP

    In the first quarter of the year 2017-18, the rate of gross domestic product (GDP) has dropped significantly. India's economy grew at a slower than expected 5.7% during the last quarter, its lowest rate for three years.
  • Gators lose season opener for first time since 1989

    Gators lose season opener for first time since 1989

    The offense stalled again, and Nordin converted the turnover into another three points, this time on a 50-yard field goal. Florida managed just 192 yards total offense, its lowest output since the 2015 SEC championship game against Alabama.
    Alex Oxlade-Chamberlain Completes £40m Liverpool Move

    Alex Oxlade-Chamberlain Completes £40m Liverpool Move

    His performance against Liverpool in Arsenal's 4-0 hiding drew flak from fans with his future up in the air. Liverpool moved for Oxlade-Chamberlain this week after the player turned down the chance to join Chelsea .
    Trump Personally Decided to Close Russian Embassy in San Francisco

    Trump Personally Decided to Close Russian Embassy in San Francisco

    Tillerson and Lavrov are due to meet in September on the sidelines of the United Nations General Assembly in New York City. The White House did not immediately respond to a request for comment on the decision.
  • Tim Howard Rips US Fans After Disappointing Loss

    Tim Howard Rips US Fans After Disappointing Loss

    The United States is now sitting in third with eight points after two wins, two draws and two losses after six games played. In the 81st minute, Geoff Cameron lofted a ball over the top to Altidore, but Navas again came up big to stone the striker.
    Republicans' newest charge against James Comey is a cheap stunt

    Republicans' newest charge against James Comey is a cheap stunt

    McGahn had reportedly managed to successfully block the president from sending the letter to Comey. They said Comey's handling of Hillary Clinton's email investigation wasn't satisfactory.
    UEFA Open Financial Fair Play Investigation into PSG After Massive Summer Spending

    UEFA Open Financial Fair Play Investigation into PSG After Massive Summer Spending

    Brendan Rodgers, who manages Celtic - drawn in the same group as PSG in the Champions League, was more emphatic. Kylian Mbappe expresses his excitement about joining PSG and admits he has a lot to learn at the club .

Comments

Other news