"Ted Mittelstaedt" wrote: "I don't believe this is the case across the
nation. Here in Oregon gasoline prices have remained flat for the last
month or two. I strongly suspect that the oil companies don't like to pay a
lot of money to ship gasoline all over the place
and that a lot more of it is refined and sold locally than most people would
believe, and that the oil companies will admit. I also strongly suspect,
going on what I know about how business is conducted in LA, that a lot of
the oil companies down there are giving wildly exaggerated estimates of how
short the fuel supplies are going to be over the next weeks and months,
simply in an effort to keep fuel prices high to they can profiteer. Given
that the oil companies own the current President, you won't see any tangible
effort to stop the price gouging from the White House either, I am sorry to
Of course, I also know that saying all this is like rubbing salt in the
wound to the people in that area that are reading this. But you should know
that the media is lying to you, gas prices in the rest of the country
haven't spiked like a Super Bowl football on a touchdown. (at least, not
here) I just bought gas at a 76 station on Friday at $2.66 a gallon and it
was within 7 cents a gallon
of that a month ago.
Consider also that summer is over and people are mostly pretty much finished
with their summer vacation driving, and gasoline sales during this period go
And you don't believe 9 less refineries producing gasoline will affect the
price? Most of the gasoline refined in Louisiana does not supply your area
in Oregon. The pipelines from this area supplies mostly the Northeast and
immediate area. Gasoline supplied to the West Coast is supplied by plants
in California 21 (refineries 2,017,401 barrels a day) and Washington (5
refineries 616,150 barrels a day). Louisiana refine 2,772,723 barrels a
day, which is greater then both California and Washington together. So tell
me how the supply of gasoline is not going to be reduced?
The last new refinery built was in 1976 in Garyville, LA. It is owned by
Marathon Oil. We need more refineries to reduce the cost of gasoline or we
need to reduce our need. Gasoline cannot be stored long term like crude
oil. Several of your major oil companies have announced a price freeze to
its jobbers on the cost of gasoline in the affected states of Louisiana,
Mississippi and Alabama.
Texas 27 refineries and 4,627,611 barrels per day cannot increase production
of gasoline they are all running at capacity.
Mississippi 4 refineries at 364,800 barrels per day cannot increase
production. Their biggest refinery in Pascagoula @ 325,000 BCD is shutdown
due to damage.
There are other states that refine oil. Texas, Louisiana and California are
the largest. The US gasoline consumption is about 9.0 million bbl/d. Lost
of production from 8 to 9 refineries has to hurt the supply.
Before the Hurricane I paid 2.49 for a gallon of gasoline regular.
Yesterday I filled up my truck and paid 2.54 a gallon. The biggest problem
is finding stations that have fuel since the entire area of Jefferson
Parish, Orleans Parish, and St Tammany Parish have no electricity. The
people that live in theses areas are now trying to get home to see what's
left or living with friends or relatives in the metro area. My household
has increased by 2 and my sisters by 4 and my parents by 6 since our
relatives have no place to go home or no electricity where they live at. My
mother's home looks like a used car lot with 8 extra cars in her driveway.