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Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--Motor club AAA finds the national retail price for gasoline is holding steady as the hurricane threat subsides, adding that record-setting U.S. crude oil production is helping to moderate levels at the consumer level.
The price at the pump this time last year was $3.83 per gallon. The travel club on Friday listed the national retail average at $3.45 for a gallon of regular unleaded, a price that's held steady for the better part of the week.
"With Tropical Storm Debby drifting up the I-95 corridor to visit the Mid-Atlantic and Northeast, the threat to Gulf Coast oil production and refining is over," Andrew Gross, a spokesperson for AAA, said.
Debby pounded Florida and southern Georgia with heavy rain and winds after making landfall as a hurricane early Monday morning with sustained winds of 80 miles per hour (mph).
Chevron Corporation (NYSE:CVX) (San Ramon, California) on Sunday pulled non-essential staff off the Blind Faith and Petronius platforms in the Gulf of Mexico, but said later there was no impact to production. Subscribers to Industrial Info's Global Market Intelligence (GMI) Production Plant Database can read detailed profiles of the Blind Faith and Petronius facilities.
Industrial Info tracked 17 operational plants in the areas of Florida and southern Georgia that faced winds of at least 75 mph. Neither state suffered any dramatic damage. For gasoline, Florida has no refineries of its own, instead relying on piped products from its neighbors.
Meanwhile, refined petroleum product production is supported by record-setting domestic crude oil output. Federal data show domestic production reached 13.4 million barrels per day (BBL/d) on average last week, an all-time high.
Gasoline production responded in kind, climbing to 10 million BBL/d. Production may be limited somewhat by loss of refineries in the Midwest, such as Exxon Mobil Corporation's (NYSE:XOM) (Spring, Texas) facility in Joliet, Illinois, which lost power during a derecho last month. Subscribers to IIR's Refining Plant Database can click here for the plant profile. Chicago-area prices were flirting with $4.50 per gallon shortly after Joliet went down, but prices had moderated to around $4.25 on Friday.
With the price of crude oil accounting for about half of what consumers see at the pump, those markets too are supportive of lower gasoline prices.
West Texas Intermediate, the U.S. benchmark for the price of oil, was trading around $75.60 per barrel on Friday, after reaching a high point near $84 per barrel in July. Prices have declined due to concerns about weakening in the U.S. and Chinese economies, the largest in the world.
"But tensions in the Middle East and some overseas economic uncertainty may mitigate any drop in oil prices," added AAA's Grossman.
Maritime risk consultant Dryad Global early this week warned that an attack from Iran may be imminent following the assassination of the political leader of Hamas in Tehran. Dryad said that any vessel linked to Israel should avoid traveling the waters of the Middle East out of fear of an attack.
So far, Iran has not responded, though attacks continue from the Houthi rebel group in Yemen, which enjoys military support from Tehran.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
The price at the pump this time last year was $3.83 per gallon. The travel club on Friday listed the national retail average at $3.45 for a gallon of regular unleaded, a price that's held steady for the better part of the week.
"With Tropical Storm Debby drifting up the I-95 corridor to visit the Mid-Atlantic and Northeast, the threat to Gulf Coast oil production and refining is over," Andrew Gross, a spokesperson for AAA, said.
Debby pounded Florida and southern Georgia with heavy rain and winds after making landfall as a hurricane early Monday morning with sustained winds of 80 miles per hour (mph).
Chevron Corporation (NYSE:CVX) (San Ramon, California) on Sunday pulled non-essential staff off the Blind Faith and Petronius platforms in the Gulf of Mexico, but said later there was no impact to production. Subscribers to Industrial Info's Global Market Intelligence (GMI) Production Plant Database can read detailed profiles of the Blind Faith and Petronius facilities.
Industrial Info tracked 17 operational plants in the areas of Florida and southern Georgia that faced winds of at least 75 mph. Neither state suffered any dramatic damage. For gasoline, Florida has no refineries of its own, instead relying on piped products from its neighbors.
Meanwhile, refined petroleum product production is supported by record-setting domestic crude oil output. Federal data show domestic production reached 13.4 million barrels per day (BBL/d) on average last week, an all-time high.
Gasoline production responded in kind, climbing to 10 million BBL/d. Production may be limited somewhat by loss of refineries in the Midwest, such as Exxon Mobil Corporation's (NYSE:XOM) (Spring, Texas) facility in Joliet, Illinois, which lost power during a derecho last month. Subscribers to IIR's Refining Plant Database can click here for the plant profile. Chicago-area prices were flirting with $4.50 per gallon shortly after Joliet went down, but prices had moderated to around $4.25 on Friday.
With the price of crude oil accounting for about half of what consumers see at the pump, those markets too are supportive of lower gasoline prices.
West Texas Intermediate, the U.S. benchmark for the price of oil, was trading around $75.60 per barrel on Friday, after reaching a high point near $84 per barrel in July. Prices have declined due to concerns about weakening in the U.S. and Chinese economies, the largest in the world.
"But tensions in the Middle East and some overseas economic uncertainty may mitigate any drop in oil prices," added AAA's Grossman.
Maritime risk consultant Dryad Global early this week warned that an attack from Iran may be imminent following the assassination of the political leader of Hamas in Tehran. Dryad said that any vessel linked to Israel should avoid traveling the waters of the Middle East out of fear of an attack.
So far, Iran has not responded, though attacks continue from the Houthi rebel group in Yemen, which enjoys military support from Tehran.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
