Refinery blasts, OPEC production cutbacks mean higher prices at the pump : LUSENET : Grassroots Information Coordination Center (GICC) : One Thread

SAN FRANCISCO (AP)--Gas prices
surged in California following last month's
deadly explosion at a Tosco refinery, and
analysts say a fire at a Chevron plant may well
send them higher.

. . .

Various refinery shutdowns in California mean
about 250,000 to 300,000 gallons a day are cut
out of the state's normal daily supply of 2 million
gallons, according to Chevron spokesman Jack
Coffey. Tosco's Avon plant alone usually
produces 160,000 gallons a day.

"The problem is one in a continuing series of
problems," McKeeman said. "California is a huge
petroleum consumer entity, (buying) 13 billion
gallons of gasoline a year. It needs a lot of
refining capacity a year to meet that demand.
Anytime there's a glitch in the system you get a

. . .

Just how much supply could be affected is an open
question, McKeeman said. The refineries experiencing
various problems--which also include an Arco facility
in the Los Angeles area and the Exxon site in Benicia--
account for as much as half of the state's fuel production.

"If it's true that close to half of the refining
capacity in the state is at risk, yeah, there's a
very definite problem of supply shortages," McKeeman


-- spider (, May 29, 2000

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