Peak Energy: Gaoline Shortages Ahead In The US ? - 0 views
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Energy Net on 16 Sep 08Hurricane IKE seems to be a spent force now and the impact it has had on Texas oil refineries is staring to become apparent. Jim Brown at Right Side Advisers reports that there may be some petrol shortages as a result - Hurricane Hangover, Shortages Ahead. Ike's sudden left turn just before it made landfall meant that the 13 refineries in Houston escaped the brunt of the hurricane's force. All are reporting they sustained no material damage and will begin the restart process as soon as power is restored. That could be a week to ten days before power is stable and another 2-3 days to restart. This suggests there could be a serious problem for refined products like gasoline and diesel. ... Drivers across the southwest were already facing long lines and prices higher by as much as 25 cents a gallon in some states. Federal officials are preparing for a prolonged disruption in fuel supplies. According to EIA data gasoline inventories the week Gustav hit were at the lowest level since 2000 at 187.9 million barrels or 21 days of supply. Much of that inventory is required just to keep the pipeline full and cannot be used. pipelines only run when they are full. There are thousands of pumps along the way that require product in order to run. If allowed to run dry the pipeline would cease to function and require a lengthy restart period. Basically product only flows out when new product is pushed in thousands of miles away.