Hope everyone is having a fabulous weekend.
Thought I would e-mail everyone and let them know the latest with gas
prices. I just checked the NHC latest forecast for soon-to-be
Hurricane Ernesto, and it doesn’t look good at all. It appears that
Tropical Storm Ernesto has sucessfully fought off a lot of windshear
(and still has some fighting to do!) and is continuing to gain
strength in the very warm Gulf water.
I have made an image of Gulf Oil drilling wells that would be
effected. Rigs are orange dots, refineries are black dots. You can
see the current forecast isn’t very good. The only thing we can hope
is that windshear will force Ernesto to lose some of its strength or
not let it be as strong as it could be.
You should see an image below of the aforementioned rigs/refineries.
Now, at this point, it is looking like we could see a major price
hike early in the week. The wholesale market opens for electronic
trading Sunday night, and I will be watching to see what happens, and
will update you.
Right now, Ernesto’s estimated strength is what will determine
prices, as it appears it will be heading for the gut of oil
production and refining. Worse case scenaro is that we see over $3