Gasoline running short in Texas after hurricane Harvey

Gasoline running short in Texas after hurricane Harvey

Gasoline running short in Texas after hurricane Harvey

Patrick DeHaan, Petroleum Analyst, says, "East of the rockies is seeing a tremendous jump in gas prices".

Retail gas prices in the US climbed another 4 cents Thursday, and 10 cents in the past week to a national average of $2.449 per gallon, according to AAA. "We have seen a high amount of road travel over the summer and anticipate a busy Labor Day weekend".

In the Wichita area, major gas station retailers boosted per-gallon prices from $2.29 to $2.49 in many locations today.

More than 30 percent of the U.S. gasoline refinery capacity is shut down because of Harvey. The contract fell by as much as 3% to $1.7189 per gallon.

Gas prices have spiked yet again and are now up about 24 cents a gallon since Hurricane Harvey struck Texas.

Retail US gasoline prices surge as refineries warn of shortages after Harvey
The company did not immediately respond to requests for comment Monday on the impact of this closure on its output. While the refineries were shut off as a precaution for the storm, flood damage has occurred at some facilities.

Ten refineries along the Gulf Coast are still shut down, according to the Department of Energy, and several more are restarting or operating at reduced rates.

On Friday the average price of gas in Tennessee was $2.35 per gallon.

The impact of the shutdowns is a ten percent cut to the nations gas production, or around 2 million barrels a day.

He said he is anxious consumers will start buying up gas out of fear of supplies running dry.

However, the automobile organization expects prices to drop by late September, when refineries and pipelines should be back online and the cheaper winter blend of gasoline will be in service.

Fuel Costs Soar Nationally And Across Southeast In Harvey's Wake
Prices at pumps are rising by 8-10 cents per gallon to an average of $2.45, according to the American Automobile Association. Citgo Petroleum Corp said it was moving to restart its 157,500-barrel-per-day (bpd) refinery in Corpus Christi, Texas.

"I'm now scavenging for somewhere that has gas that isn't premium", Grace Beasley, a customer said.

Part of the pipeline that runs through Texas is shut down and inspections must be done before the entire system can be fully operational again, Colonial Pipeline spokesman Steve Baker said Thursday. "The high inventory levels have the potential to offset gas price surges similar to what we have seen with past hurricanes".

"I think the length of time it's going to take to get back is really what hits me the most".

"AAA does not expect Gulf refineries to be offline for months", he said.

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