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Published - Thursday, July 12, 2007

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Gasoline prices on the rise; fuel shortage due to flooded refinery


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The price of a gallon of regular unleaded gasoline at most La Crosse gas stations jumped 20 cents from Sunday to Wednesday, as flooding at a southeast Kansas refinery and problems at two other refineries have reduced fuel supplies and sent wholesale prices soaring.

The price at most La Crosse stations rose from $3.059 Sunday to $3.259 Wednesday afternoon. That’s still short of the record average La Crosse price of $3.362 set May 25, according to the AAA Daily Fuel Gauge Report.
Pam Moen, spokeswoman for AAA Wisconsin, said she received reports Wednesday morning of prices as high as $3.49 per gallon of regular unleaded gasoline in Milwaukee and Madison.

With prices that high in Milwaukee and Madison, she said, “I think it would be a pretty safe bet to say your prices (in La Crosse) are likely to move higher before they get better. How much higher, there’s no way to know.”

After the average La Crosse price hit the all-time high of $3.362 on May 25, it gradually declined to $3.0076 on June 24 before starting to rise again June 26, Moen said.

Moen said state gasoline prices have soared this week because of problems at the Coffeyville Resources refinery

in Kansas and at a crude oil unit at a BP refinery in Whiting, Ind.

By the end of the week, prices could reach $3.25 to $3.50 a gallon in the Midwest, said Tom Kloza, publisher and chief oil analyst at the Oil Price Information Service. He said Tuesday that the prices consumers pay in the next 10 days could be the highest of the year.

Before last week’s flooding, the Coffeyville Resources refinery in Kansas produced 108,000 barrels per day of gasoline, diesel and other fuel oils, representing about one-seventh of the refining capacity for the Great Plains, Kloza said.

“Coffeyville lit the fuse,” Kloza said, adding problems at a Valero refinery in Ardmore, Okla., and the BP refinery in Whiting near Chicago also are contributing to high wholesale prices. “Ardmore was a basic hiccup for a U.S. refinery. But having a hiccup on the backside of kind of a major organ disappearing is pretty serious.”

He said distributors are paying about 40 cents to 50 cents more a gallon now than at the end of June.

“It looked like we were on a relatively smooth path for about a month,” Kloza said. “But having some operational problems on the heels of a refinery being under water and lost for a considerable amount of time has sent the market into kind of paroxysm.”
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to : Chris B wrote on Jul 17, 2007 3:48 AM:

" In Iran they just raised the price to .25 American a gallon and the people rioted and burnt gas stations around the country. And Iran has no refineries they buy finshed product elseware... "

Right Now wrote on Jul 17, 2007 3:37 AM:

" A study was done and Right now if Gas was at $1.50 a gallon the oil companies would make 18 billion dollars a month profit. They want to see how far they can push the consumer before the consumer says enough is enough. Then they will drop the prices to around $2.50 a gallon and everone will be like that is much better. No matter what way you look at it George Bush and company allow this to happen because they are big oil and big oil runs America right now. Cheney didn't want anyone to see the energy plan and now you know why. The fleecing of America. "

Re: KB wrote on Jul 13, 2007 2:53 PM:

" There is a difference between educated and indoctrinated. Perhaps you should "educate" yourself as to how much money Big Oil spends on building refineries in Communist China or India. "

Re: KB wrote on Jul 13, 2007 2:53 PM:

" There is a difference between educated and indoctinated. Perhaps you should "educate" yourself as to how much money Big Oil spends on building refineries in Communist China or India. "

to KB wrote on Jul 13, 2007 2:42 PM:

" Of course Big Oil spends big money to maintain their refineries, otherwise they'd have nothing to sell at these prices. But judging by their record profits while everyone else is being pinched more and more it is not the maintenance that bothers people, it's the gouging. And there is no pipeline from Alaska to Japan either, so they could ship that down to N.A. customers just as easily. "

KB wrote on Jul 13, 2007 7:24 AM:

" It's sad how uneducated most of you are to the different number of subjects discussed, such as the fact that there are no pipelines to bring Alaskan oil to the continental US and the fact that "Big Oil" spends more money on refinery upgrades/maintainance every year than you can possibly imagine. "

To steve wrote on Jul 13, 2007 7:19 AM:

" Correction, to STEAL more oil! "

X wrote on Jul 12, 2007 10:16 PM:

" This is no accident. Welcome to the North American Union of Globalization/New World Order. Need further proof that the corporations who OWN the government have sold each and every one of us out (at 2cents/hr)?? Watch how this corporate industry law firm holds seminars teaching HOW NOT TO HIRE QUALIFIED AMERICAN JOB SEEKERS, HOW TO DEFRAUD AMERICANS OUT OF JOBS, AND HOW TO SECURE A GREEN CARD FOR GUEST WORKERS INSTEAD: http://www.youtube.com/watch?v=TCbFEgFajGU "

steve wrote on Jul 12, 2007 9:52 PM:

" What a joke, "The war on terrorism! Lets think about it we have a president who is a wealthy oil man, terrorism is something that is been going on for long time. To go to war with Iraq because our world trade centers were destroyed, was just a good excuse to go get more oil! "

To 6:16pm poster wrote on Jul 12, 2007 9:22 PM:

" Short on oil is correct in his post. And maybe we should stop selling oil that we do have to other countries, like Japan.They would no doubt get it from someone else though anyway... "

To 5:15 pm poster wrote on Jul 12, 2007 9:19 PM:

" Nice "spin" yourself. Carter didn't cause these increases did he?Nixon said we were going to experience shortages and higher prices in the early 1970's.Carter was as much a victim of Nixon and Ford's disaster's as the rest of the American people.Don't forget that.I didn't, I was there.Bush followed eight year's of peace and prosperity and look what he's gotten us into.I guess if you want to fight wars and have high energy prices, keep voting for republicans. "

Anybody wrote on Jul 12, 2007 8:06 PM:

" ever work for a company that the more equipment and other problems you have brings you record profits. If I owned a refinery I think I would hand out baseball bats to my employees and tell them to do the most damage they could.The more problems we have the more money we make. What a deal. "

Re: Short on Oil wrote on Jul 12, 2007 6:16 PM:

" Forget Alaska. When first drilled, the claim was that all oil would go to the US. Imagine my shock about 7 years later I read a tiny article buried in the depths of the paper, that Congress had OK'ed the overseas sale of Alaskan oil. 99% of all Alaskan oil is now shipped to Japan and has been for over 20 years. Maybe we need to drill up there again to solve our oil problems...again? "

to 2:10 pm poster... wrote on Jul 12, 2007 5:15 PM:

" nice try at spin, i like the way you started the date at 1981, that's after Jimmy carter left office. under carter the price of gas quuadrupled. if you going to spin something, at least kind of get some facts right. "

Adapt wrote on Jul 12, 2007 5:12 PM:

" Bush was elected with only 50%? 30% of you must have stayed home on election day, judging by the majority of posts, it should have been the 80/20 rule for Bush with 80% of you driving your guzzlers and ATVs around whilst your IQs continue waning. My 2 children learned about finite resources in the 3rd grade. They learned about fractions the following school year (the impact of a one day boycott is less than 1/365 or 1/4 of one percent) duh, CONSUME LESS or die off- this planet can't support 6 billion consumers much longer.. "

Short on Oil wrote on Jul 12, 2007 2:16 PM:

" Building more refineries will not make a difference if there isn't enough oil to go around. Demand for oil from China and India has soared as demand for gasoline in the US continues to increase. Meanwhile, production from major oil fields such as Mexico, Alaska and the North Sea have dropped off sharply. There have been no major discoveries for over 40 year now, and the major oil fields are getting old. Another factor contributing to gasoline shortage is that oil is becoming increasingly heavy, especially from sources like Saudi Arabia. Heavier oil contains less gasoline per barrel. Oil companies are also less willing to invest in building more refineries especially if ethanol production is expected to replace 20% gasoline. Better start planning for alternatives such as plug-in hybrids and solar power. Unfortunately, high gasoline prices and shortages are here to stay. "

Coincidence?? I think not. wrote on Jul 12, 2007 2:10 PM:

" Gas prices have more than doubled since Bush took office. No other president has ever seen such an increase. Gas prices have risen more in the last six years than from 1981 to 1999. "

The Full Monty wrote on Jul 12, 2007 12:24 PM:

" What is going on here seems like we need an overthrow of the whole government as they are all pocketing money from oil company record profits. aaaaWhy not give the whole state of texas to mexico where it belongs. Someone is going to really go off the deep end soon i can not wait to see it or some radical group like the kkk will make a move with a lot of support. "

Global War on Sovereignty wrote on Jul 12, 2007 12:15 PM:

" Meanwhile YOUR TAXES are being spent on building refineries in FOREIGN COUNTRIES. ****************************************** When corporations take over government by whatever means, by buying up politicians or getting their hands on the wheels of power, they are merging corporate power and government--that's Fascism. ************************************ It's a dictatorship; it's a loss of freedom; it's condoning torture: it's controlling mass media; it's fraudulent elections. Sound familiar? Where did Habeas Corpus go? Who's violating the Geneva Conventions? Who's surveilling American citizens without warrants? What is Guantanamo Bay? A concentration camp? Harboring enemy combatants at the moment, but being prepared for naughty, dissident American citizens one day, maybe? "

AlanfromBigEasy wrote on Jul 12, 2007 11:00 AM:

" My plan to reduce US Oil Use by 10% (likely more) in ten to twelve years with overlooked mature technology. http://www.aspo-usa.com/index.php?option=com_content&task=view&id=168&Itemid=91 Planning trips to the grocery store ? Why ? It is a 2.5 block walk away. I spent July 4th without driving (as I do several days/week) as my symbolic gesture against US Dependence. It is all in the choices made on where one lives. I burn 5 or 6 gallons/month driving and $12/gallon (which is coming) will be no big deal to me directly. It will devastate the economy of the nation I live in though. Best Hopes, Alan "

To: It's Time!! To Stand UNITED in the United States wrote on Jul 12, 2007 10:47 AM:

" Not driving for one day will not make a difference it would be impossible to achieve. I think that if everyone boycotted a particular oil company then things may change. After a few months they would have to agree to start building new refineries. "

Electric Bikes wrote on Jul 12, 2007 10:39 AM:

" For some people travelling to and from work or school during temperate weather, you might want to consider an electric bicycle. I've ridden mine to and from work every non-rainy day this summer. It costs just pennies a day to charge the batteries. If you already have a quality 26" bicycle you can install a front hub motor kit with the batteries and accessories for about $350. If you have a little mechanical knowledge you could install it yourself. There are other sources of electric bikes on the Internet and I'd be happy to share some thoughts with you about them. As long as the weather is okay and you follow the traffic laws and ride defensively, it is a healthy, green way to go! tuu@charter.net "

chris b. wrote on Jul 12, 2007 10:36 AM:

" In Europe pay we're at 6-7 dollars a gallon. What's that like? You'll know for yourselves by 2011 ;-) "

AZICIT wrote on Jul 12, 2007 10:11 AM:

" Where's my bike? "

Nice Planning... wrote on Jul 12, 2007 9:42 AM:

" This is when our energy policy really starts to shine - good thing we failed to invest in alternatives and renewables 10-20 years ago... Just think of all of the profits that big oil wouldnt be making... It'd be terrible if we could run our cars on a alternative technology thats had a few years to refine itself - instead of starting now and putting up with these gas prices for the next 10-20... "

Jimmy Carter wrote on Jul 12, 2007 9:20 AM:

" I never thought Ya'll would want Me back.GWB's inflation is hard on Me too "

Sad and Resigned.. wrote on Jul 12, 2007 9:13 AM:

" It is very easy to point fingers and find something to blame the rising prices on again. Bush is the sorriest excuse we have ever had for a president in this company. His policies have led us to this. We need to listen to Gore and all take actions, even small ones, to save energy and the earth. Talk to friends at work to see if you can ride together, Plan your trips to the grocery store and other places all in one direction. Shop closer to home and don't make special trips for one item. We can ALL make a difference. Just DO it. Spend some of the energy that is used for finger pointing and complaining to make a difference. "

re:..stand UNITED.. wrote on Jul 12, 2007 9:10 AM:

" That should read "stand UNTIED". A boycott would do absolutely nothing, except possibly lower the daily bottom line for a miniscule amount of a convenience store's profit sheet. Next day everybody would fill 'er up. Where did your "surveys" come from, la la land? "

WAR on terror wrote on Jul 12, 2007 9:04 AM:

" Wait until the new report on terror effects the prices again. Terrorists groups are near the same level they were prior to the war on terror. That helped G.W.! "

Why stop at $3.50 when we are burning it as fast as we can. wrote on Jul 12, 2007 8:51 AM:

" It's too bad we didn't implement the dollar per gallon tax, at least some of this wasted energy would be going back to the public. Now it's only fat cats that benefit. "

Grandma is killing me !!! wrote on Jul 12, 2007 8:48 AM:

" This just in.... a 70 year-old grandma of 11 from Dayton, OH went to her local pump and actually overfilled her gas tank and let at least 6 - 8 gallons of gas splash on the ground causing oil futures to rise to all time highs for fear that the elderly's carelessness at the pumps may cause a shortage in the US. Stay tuned as we find more ridiculous ways to keep you paying out the wazoo for gas. "

DJ wrote on Jul 12, 2007 8:03 AM:

" Oh, the rich get rich, and the poor get, you know what I mean. Its not only big oil, and apparently they aren't big enough if they don't have enough refinery capacity, its the government taxes we pay on the commodity that they have done absolutely nothing to earn. Wake up stupid. Or, you could vote for Doyle again. "

It's Time!! To Stand UNITED in the United States wrote on Jul 12, 2007 7:52 AM:

" People!! It's time to ban together! everyone is complaining on the price of gas, yet everyone keeps driving and driving.The oil companies have you right where they want you! They have you feel like "gas is like air" you need it to live! surveys have proven if everyone in the United States boycotted driving for just one day the price would bottom out! But I always hear the same reply "we need to drive" People!! Just 1 day!! take a holiday or a weekend and spend it at home with your family,watch tv, sleep,anything but drive, But I already know what your thinking, "It won't work" So shut up and quit complaining and just keep paying $3.36 and $4.36 and $5.36 and what ever they want you to pay!!! "

BUSH/CHENEY/RICE wrote on Jul 12, 2007 7:40 AM:

" All 3 Oil people and miserable failures "

Experts? wrote on Jul 12, 2007 7:23 AM:

" What happened to all of the talking heads that said none of the flooding would have any effect on the supply in the midwest? "

Highest wrote on Jul 12, 2007 7:08 AM:

" gas prices in the history of our country,two failed wars,the highest deficits in the history of our country.George W Bush is The Worst President Ever! "

To Iraq wrote on Jul 12, 2007 7:05 AM:

" Bush and Cheney said a lot of things that turned out to be untrue.When you say so many things like that, aren't they lying? Let's put impeachment BACK ON THE TABLE and take away the power they do have left so they don't start ANOTHER war! "

Its fun wrote on Jul 12, 2007 7:00 AM:

" to pay out this much in gas! Just think about it... we are making history!!! "

BJ wrote on Jul 12, 2007 6:45 AM:

" Wish I had ties like some of our leaders to BIG OIL COMPANIES that make billions of dollars of profit every year. Of course if I own any other business I'll just pass the extra cost on to my customers (you the average Joe and voter). Hopefully there is no shortage of vasoline to go with the price increases. Have a good day!! "

Iraq wrote on Jul 12, 2007 6:29 AM:

" Is also part of the problam Remember "Oil Revenues will pay for the war" "

Slider wrote on Jul 12, 2007 6:17 AM:

" But don't we get most of our gasoline around here from Canada? Kind of suspious that we have to pay for a companies problem, most businesses use their profits to upgrade their workplaces, do oil companies and refineries do this? Usually it is not passed on to the consumer at the rate the oil companies do, and by the way have they not been getting record profits by way of you and I? "

Cheney wrote on Jul 12, 2007 6:07 AM:

" Why wont anyone tell Who He had the energy confernce with to set the energy policy? Oh I think I figured out why "

one good thing wrote on Jul 12, 2007 6:02 AM:

" at least now we know when a couple hurricanes run through the gulf this fall, it shouldn't have any effect on our prices, apparently we get all our oil out of kansas now. what a joke. "

Here we go again.... wrote on Jul 12, 2007 5:07 AM:

" I think my next car is going to be a scooter. Sure wish the busses came to Holmen! Just when things were getting better. Gee, maybe the oil companies could offer a rebate to consumers from their record profits? Just an idea.... "

This wrote on Jul 12, 2007 5:05 AM:

" is BULL*&%#!! A couple of refineries flood and it makes the prices jump? As if they are the only ones supplying our fuel?? "

blog stalker wrote on Jul 12, 2007 3:42 AM:

" what a bunch of BS. "

Fuel shortage? wrote on Jul 12, 2007 12:58 AM:

" It sure is funny. I see all the gas stations closed because they are out of gas. I don't think I've seen one station out of gas, so how is this a fuel shortage? Just another scam to get my money. Sure glad I don't work. My Welfare just isn't going a far as it used to. "


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