Gas Prices going upSeptember 11th, 2010 at 10:46 pm by Bill Steffen under Bill's Blog, News, Weather
Pipeline ruptures, Chicago spot price jumps 24 cents. The latest from Ed: Gasoline blendstock futures in Chicago posted massive one-day gains Friday afternoon, as traders, marketers and refiners scrambled to cover short positions and pending supply requirements on news that the crude oil supply from Canada to the United States was cut dramatically by a rupture in an Enbridge pipeline that feeds several Midwest refineries near Romeoville, IL. Canada is the largest oil exporter to the U.S. and Enbridge’s pipeline system is the main transit route for those exports. A second Enbridge line has been shut near Marshall, Michigan since a rupture was discovered in late July, and the pipeline carrier is waiting for approval to restart that line. The shutdown of the 670,000 bpd Enbridge pipeline is expected to impact deliveries into Citgo’s 167,000 bpd refinery in Lemont, Illinois, BP’s 435,000 bpd Whiting, Indiana plant and ExxonMobil’s 238,600 bpd Joliet, Illinois refinery. We could see a big jump in prices over the weekend or early next week. All spike lines are $2.90-$3.00. Expect most to stop at the magical $2.99. Time to fill up before the price moves.