US gasoline prices spike as Colonial begins bypass around damaged line - Business News - News Summed Up

US gasoline prices spike as Colonial begins bypass around damaged line - Business News


NEW YORK: Retail gasoline prices surged due to continuing problems with Colonial Pipeline Co's gasoline line that carries fuel to the U.S. East Coast, as the company started to construct a bypass line around the leak.Colonial said on Saturday evening that it would construct a bypass that circumvents the leak, which occurred more than a week ago in Shelby County, Alabama. Prices were up 4 cents in North Carolina to $2.136 and 4 cents in South Carolina to $2.011.Local media reports have shown gasoline lines forming across the U.S. Southeast due to the shutdown and analysts believe that retail prices could be affected for more than two weeks. The damaged Line 1 can carry 1.2 million barrels of gasoline per day and runs from Houston to Greensboro, North Carolina.Several states in the Southeast have issued emergency orders waiving certain rules that restrict transport of fuel by road in order to keep filling stations stocked with fuel. It is unclear how quickly the pipeline will be fixed. He also said consumers' tendencies to top off their tanks when this type of news hits is not necessarily cause for alarm, either.


Source: The Star September 18, 2016 22:30 UTC



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