GasBuddy: Midwest Refinery Issues Could Have Drivers Paying More at the Pump
GasBuddy petroleum analysts are warning drivers in the Midwest that price hikes at the pump could be on the way.
The price tracking website says the hikes are related to issues at four Midwest refineries.
"A refinery in El Dorado, Kansas operated by HollyFrontier has operational issues, and a fire has knocked out the key Coffeyville Refining plant in Coffeyville, Kansas. Further north, BP's huge refinery in Whiting, Indiana is operating at reduced rates thanks to maintenance that is ongoing with a crude unit, and ExxonMobil has shut off part of its Joliet, Illinois refinery for work on a desulfurization unit," GasBuddy explained in a news release Thursday.
According to GasBuddy, those four refineries account for nearly 900,000 barrels per day of U.S. refined production, and while the problems at the facilities restricts less than half of that production, the issues still pushed wholesale gasoline prices up by about 14 cents per gallon in many Midwest states.
Luckily for Midwest drivers these likely price increases aren't expected to stick around.
"We may see sub-$3 gal prices disappear in some states where they popped up recently, but those numbers will be back in autumn," said GasBuddy Chief Oil Analyst Tom Kloza.