Saturday, August 4, 2012

It's Them, Not Me: The "Reason" For Our Most Recent Gas Gouge

Since last week, gas in Fox Lake, Illinois, went up sixty-one cents a gallon!!  It was $3.56 on July 27th.  Yesterday, it was $4.17!!  That is a remarkable rise in prices to say the least.  About 36 cents came in one minute's time.

Inquiring minds wanted to know, and I read in the August 3rd Chicago Tribune what "happened."  The article was "Spike At the Pump: Area's 'cluster of bad luck': Pipeline, production issues" by Gregory Karp and Cheryl V. Jackson.

It would seem that the Enbridge pipeline burst July27th near Grand Marsh, Wisconsin, and 1,000 barrels of crude oil spilled before the pipeline was shut down.  It is a major supplier of oil to the region.  Of course, we had a spike in gas pump prices immediately.

"The blame also lies with several Midwestern oil refineries that ratcheted back production because of temporary and unrelated problems at those plants, experts say."

This last part really makes me pause to wonder.  "Unrelated" my foot.  The BP refinery in Whiting, Indiana, reduced capacity July 27th as well.  The Citgo refinery in Lemont, Il.,  reduced capacity July 30th as did the ConocoPhillips Wood River refinery in Roxana, Il., near St. Louis.

Methinks way too much of a coincidence.  And, after all, we know Big Oil would never lie to us if there is a chance to make a big profit.

And, of course, to drop down 61 cents will take months.

Minutes Going Up, Months Coming Down.  --RoadDog

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