Oil rises, gasoline jumps 13 pct as USA refineries reel

"I think you're going to see widespread increases of prices, albeit, I don't think our prices will increase as much as the Gulf Coast area and surrounding areas", Watson said. One reason is that there are ample stockpiles of gas, which helps compensate for the loss of Gulf Coast refineries.

In Texas, the average rose to $2.173 a gallon, up from $2.136 a week ago.

Price Futures Group analyst Phil Flynn, typically a bull on energy prices, wrote in his daily note that the release of SPR and temporary waiver on gasoline specifications "should take away some (of the) upward price pressure".

The transportation issue was underlined Thursday, when the U.S. Energy Department announced that it would release a total of 1 million barrels of crude to Phillips 66's Lake Charles, La., refinery in an effort to ease gasoline supply shortages. At least 12 other refineries, including Exxon Mobil's refinery in Baytown, the second-largest in the United States, are also offline. Prices continue to decline as us crude inventories continued to increase at a rate of about 1.4 million bpd.

"We could see rising United States crude inventories in the next couple of weeks until demand from refineries recovers".

And we're already feeling those effects in West Springfield.While 22News was at this gas station, the price for regular gas increased from $2.53 to $2.68 per gallon.

"The market has turned in reverse pretty sharply", said Gene McGillian, anager of market research at Tradition Energy.

As of Wednesday evening, up to 4 million barrels per day, or 22 percent of total USA refining capacity, is offline following Harvey, S&P Global Platts reported.

With nearly a quarter of U.S. refineries shut down due to Hurricane Harvey, U.S. West Texas Intermediate and international-benchmark Brent crude oil prices retreated again on Wednesday while U.S. gasoline prices rose to $2.00 per gallon for the first time since 2015.

Retail gas prices in the USA climbed another 4 cents Thursday, and 10 cents in the past week to a national average of $2.449 per gallon, according to AAA.

Gasoline futures, which reflect wholesale prices to gas stations, jumped 3 percent on Monday.

At least two East Coast refineries have run out of gasoline for immediate delivery as they scrambled to fill barges for markets normally supplied by the Gulf Coast, two refinery sources said.

Almost half the country's refineries are in the Gulf region, which produces 17 percent of the nation's gasoline, according to the Oil Price Information Service.

Others may remain shut longer, so motorists nationwide may not have seen the full impact of Harvey yet.

Harvey shut down about a quarter of the country's refining output after it lashed Houston with record floods before it spread to the Louisiana coast, another refining hub.

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