Comments on: Gustav downgraded before landfall, oil slides, easing likelihood of hike http://www.thegasgame.com/2008/09/01/gustav-downgraded-before-landfall-oil-slides-easing-likelihood-of-hike/ Keep track of gasoline prices, oil prices, future gasoline prices, future oil prices, see predictions, get price prediction, find gasoline prices, see if you're getting gouged, find news about diesel prices, ethanol prices, and refinery maintenance and refinery shutdowns. Tue, 07 Feb 2012 16:59:14 +0000 hourly 1 http://wordpress.org/?v=3.3 By: Retailer http://www.thegasgame.com/2008/09/01/gustav-downgraded-before-landfall-oil-slides-easing-likelihood-of-hike/comment-page-1/#comment-1656 Retailer Tue, 02 Sep 2008 22:04:23 +0000 http://www.thegasgame.com/2008/09/01/gustav-downgraded-before-landfall-oil-slides-easing-likelihood-of-hike/#comment-1656 Wholesale prices went the "realistic" route and dropped 3 cents for brand and 5 for unbranded. Rack prices are now 28 cents higher then the futures market. Wholesale prices went the “realistic” route and dropped 3 cents for brand and 5 for unbranded. Rack prices are now 28 cents higher then the futures market.

]]> By: Retailer http://www.thegasgame.com/2008/09/01/gustav-downgraded-before-landfall-oil-slides-easing-likelihood-of-hike/comment-page-1/#comment-1655 Retailer Tue, 02 Sep 2008 15:31:54 +0000 http://www.thegasgame.com/2008/09/01/gustav-downgraded-before-landfall-oil-slides-easing-likelihood-of-hike/#comment-1655 Yeah, we really lucked out on this storm. When they said it was going to turn West and move along the Louisiana coast as a Category 4 or 5, I thought it was going to be a major problem. There are a lot of refineries (plus the LOOP) that would very likely be damaged. Now they have the problem that Hurricane Hanna is blocking the shipping lanes for the Gulf until Friday. So, if the LOOP survived Gustav, it probably won't be until Saturday - Monday (top speed is 18mph, but I have no idea where they are waiting out the storm) before they can get a Supertanker in to deliver. I wouldn't want to drive 1/4 mile long, 600,000 ton ship on a calm day; I couldn't imagine 50+mph wind and 20+ft waves. Unfortunately, as soon as Hanna moves out of the way, the next storm (Ike) will be rolling in. It looks like it will be at Cuba by Monday and should grow to hurricane strength before then. It seems unlikely that the rigs in the Gulf will be able to get restarted this week before they would need to start shutting back down and evacuating for Ike. The refineries might be able to fire up for a few days, but they would most likely run out of crude before long. And to make things even worse, TD 10 which is projected to become Tropical Storm Josephine today (and a Hurricane by the weekend) is a few days behind Ike. So, it could potentially be 2+ weeks before everything can be fired up and operational, assuming none of the storms cause any major damage. Damage or not, we will eventually run into a supply issue. Our Country has no way to compensate for the Gulf of Mexico being blocked off. We really could use 2 pipelines from the Carolinas going to both the Midwest refineries and down to the Gulf (or at least extend the pipeline from New York into the Midwest). That way we could at least get crude to refineries if the tankers can't get to the LOOP or Houston. It's easy for people in Michigan to forget that at least 75% of the gas we use in the State is either refined along the Gulf Coast or refined in the Midwest with crude that came up from there. Because of Monday being a Holiday, we didn’t have any wholesale price change yesterday. It looked like the market was down big yesterday, and it is down huge today. I have no idea what kind of change we will see tonight. It doesn’t really seem logical for the oil companies to follow the drops in the market if they know that their supply is quickly dropping without a way to catch up on them. Yeah, we really lucked out on this storm. When they said it was going to turn West and move along the Louisiana coast as a Category 4 or 5, I thought it was going to be a major problem. There are a lot of refineries (plus the LOOP) that would very likely be damaged.

Now they have the problem that Hurricane Hanna is blocking the shipping lanes for the Gulf until Friday. So, if the LOOP survived Gustav, it probably won’t be until Saturday – Monday (top speed is 18mph, but I have no idea where they are waiting out the storm) before they can get a Supertanker in to deliver. I wouldn’t want to drive 1/4 mile long, 600,000 ton ship on a calm day; I couldn’t imagine 50+mph wind and 20+ft waves.

Unfortunately, as soon as Hanna moves out of the way, the next storm (Ike) will be rolling in. It looks like it will be at Cuba by Monday and should grow to hurricane strength before then. It seems unlikely that the rigs in the Gulf will be able to get restarted this week before they would need to start shutting back down and evacuating for Ike. The refineries might be able to fire up for a few days, but they would most likely run out of crude before long.

And to make things even worse, TD 10 which is projected to become Tropical Storm Josephine today (and a Hurricane by the weekend) is a few days behind Ike. So, it could potentially be 2+ weeks before everything can be fired up and operational, assuming none of the storms cause any major damage.

Damage or not, we will eventually run into a supply issue. Our Country has no way to compensate for the Gulf of Mexico being blocked off. We really could use 2 pipelines from the Carolinas going to both the Midwest refineries and down to the Gulf (or at least extend the pipeline from New York into the Midwest). That way we could at least get crude to refineries if the tankers can’t get to the LOOP or Houston. It’s easy for people in Michigan to forget that at least 75% of the gas we use in the State is either refined along the Gulf Coast or refined in the Midwest with crude that came up from there.

Because of Monday being a Holiday, we didn’t have any wholesale price change yesterday. It looked like the market was down big yesterday, and it is down huge today. I have no idea what kind of change we will see tonight. It doesn’t really seem logical for the oil companies to follow the drops in the market if they know that their supply is quickly dropping without a way to catch up on them.

]]> By: bill brower http://www.thegasgame.com/2008/09/01/gustav-downgraded-before-landfall-oil-slides-easing-likelihood-of-hike/comment-page-1/#comment-1654 bill brower Tue, 02 Sep 2008 14:39:47 +0000 http://www.thegasgame.com/2008/09/01/gustav-downgraded-before-landfall-oil-slides-easing-likelihood-of-hike/#comment-1654 It was nice travelling to Ohio over the weekend. I filled up my tank in Toledo at $3.40 per gallon. I have come to believe that Michigan gas prices are a complete rip off. It was nice travelling to Ohio over the weekend. I filled up my tank in Toledo at $3.40 per gallon. I have come to believe that Michigan gas prices are a complete rip off.

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