Gas shortage

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Aug 31, 2005 | 10:12 PM

#21

Wisdom

Racer

Joined: Sep 2004

Posts: 486

Likes: 1

From: Houston TX

Quote:

Originally Posted by DPG

didnt someone say not to put all ur cookies into the same jar or whatever that sayin is. Why would you put all your refineries in the same area. Common sense would say to spread them out just a tad so as to avoid this problem. But noooooo, just to save a few pennies they put em all in the same place

Refineries are spread out along the Gulf coast and even on the West and East coasts. But two major pipelines supplying the east coast from the Gulf area were shut down when power was lost due to the hurricane. Here is the link to that CNN story. There's more info out there that states that either 7 or 9 refineries were shut down for the storm. Although those refineries supply less than 10% of the fuel for the country, that's a sizable impact when it goes away and consumption exists. In fact, even though we are going to be able to get oil from the strategic reserves to help with the oil supply line, the fact that the refinery base was impacted means that gas prices will increase quickly and will slowly decrease over time. Standby... once the storm damage assessments are all in and reported, the markets will get very reactionary. I'm almost willing to bet on it.

- Wisdom

Last edited by Wisdom; Aug 31, 2005 at 10:15 PM.

Aug 31, 2005 | 10:33 PM

#22

exukboy

Burning Brakes

Joined: May 2004

Posts: 1,080

Likes: 2

When gas is in very short supply people will pay just about ANY price for a gallon. To simply be able to get the fuel is the problem so forget the price!

Aug 31, 2005 | 10:54 PM

#23

StingerZ16

Racer

Joined: May 2005

Posts: 433

Likes: 0

From: Vancouver Washington

Quote:

Originally Posted by exukboy

When gas is in very short supply people will pay just about ANY price for a gallon. To simply be able to get the fuel is the problem so forget the price!

Supply and demand can raise prices.
However, it is just wrong to take advantage of this disaster to make a quick buck. Just plain wrong.