IMPORTANT POST --- Places are Running out of GAS....blaming Katrina

[cthrumatrix]

Bush talked about how this could be a problem.

UPS in Orlando is closing down.

Gov in PA has discussed gas rationing

You know the other gas gouging.

Watch for gas stations closing down.

fact:
-------
* New Orleans only represents 10%-25% of the national distribution.


How can that affect all of the above????

We may have a "controlled economic collapse on our hands".


(I will also add there was a new CDC in New Orleans...there is another angle)

[elehhhhna]

1. it's a panic run--people trying to beat the prics as they spiral upwards

out of control.

[cthrumatrix]

4. the PA Gov talked on Wed/Thurs about ratioing...seems premature

seems like he knows something

[LostinVA]

14. Rationing is a good idea because it'll stop hoarding

and panic runs... but this has to go hand-in-hand with price caps.

[tocqueville]

5. Europe is sending part of its strategic resource

http://news.yahoo.com/s/nm/20050902/bs_nm/energy_katrina_europe_wrap_dc

"It's self-evident that we support the American bid," German Chancellor Gerhard Schroeder told a news conference in Berlin after Washington requested oil aid.

"Whatever the United States asks for they will be given," said EU foreign policy chief Javier Solana.

It is the first release by the OECD group of industrialized nations since 1991 when a U.S.-led coalition ejected Saddam Hussein's Iraqi troops from Kuwait.

[FSogol]

2. Remember the CA Energy Crisis?

We are being Eron-ed by the Oil Companies. They either really want to drill Alaska or they realize W is finished and they are grabbing the money while they can.

[lala_rawraw]

3. What? katrina hit maybe 1 tenth of the refineries... no?

[cthrumatrix]

6. distribution...oil comes in at the port... (7 refineries were down)

[tocqueville]

8. but the others are going at full capacity

so the strategic crude oil reserve cannot be directly used, only put on the market

25% of the import have been stopped

[CTD]

7. It's not just 25%

Because New Orleans actually represents a lot more than 25% of the national distribution (it's closer to 45%). But they don't want us to know exactly how precarious the situation really is. Supplies are VERY VERY low. Expect widespread shortages in the coming weeks until the Gulf region refineries can get back online.

It's yet another national security debacle by this administration. The oil companies had taken a number of refineries offline in the weeks and months prior to the hurricane in order to reduce supply and jack up oil company profits, not in anticipation of the hurricane. Now with the refineries that had not been taken offline KNOCKED offline by the hurricane, they are scrambling to bring the others back online. And it's a SLOW process.

Greed and incompetence come together and we've got a serious clusterf*ck.

[LostinVA]

16. No, it's profiteering and gouging, because

Prices are blasting through the roof in areas NOT serviced by this area. Enron Redux.

[stevedeshazer]

9. Montana's governor pointed this out

http://www.helenair.com/articles/2005/09/02/montana_top/a01090205_02.txt

<snip>

HELENA — Gov. Brian Schweitzer Thursday called on Montana oil refineries to stop "gouging'' gasoline consumers in the state, saying Hurricane Katrina should have no effect on prices for fuel refined and sold here.

"Even though their cost of production hasn't gone up one penny, they're raising the price 30, 40, even 50 cents,'' he said. "I think that's an outrage.

"That's not the way we treat neighbors. I'm asking them to hold the line. There is no reason to get a momentary spike to increase momentary profits.''

Hurricane Katrina caused major damage in oil-production facilities in the Gulf of Mexico and the South early this week. Since then, gasoline prices have increased as much as 50 cents a gallon in Montana, hitting $2.85 a gallon in some cities.

[supernova]

10. Gov Easly made a statement Wed night

for everyone to not engage in panic gas buying.

The power to the piplines that serve the east coast was cut. They only came back on line, partially, to day.

He said then they expected the gas supply to be skimpy for the next couple of weeks.

[woodsprite]

11. The gas lines they restored to the east coast are only at 25% n/t

[Eloriel]

12. Something else in NO was a govt payment office

Someone posted that it was where govt employees were paid out of, and (some? all?) govt contractors.

If there's no massive redundancy in those payment systems, we're in trouble.

PLUS: I don't seem to have bookmarked it, but a DUer posted earlier today (from TX I think) that her bank was Hq'd in NO (Hebrides? or similar) and she can't get money out of the ATM. How long ya think that'll last? And how many people will that affect. Imagine if you suddenly found yourself permanently cut off from YOUR bank.

[LostinVA]

13. The two gas stations in my area have closed

Central VA -- 20 minutes from other stations. They are OUT of everything. I'm filled to the brim with diesel, so I'm okay for 10-14 days, but other people are going bonkers. When asked why, the owner said the distributor said because of Katrine. BULLSHIT. This country is being Enronized AGAIN, and again with the full permission of the Regime.

I was gonna go to IKEA this weekend and buy almost $1,000 worth of stuff. Not now -- that's a 5 hour round trip. I'm staying home and doing yard work.

[northzax]

18. refined gas comes to Virginia via a pipeline from Louisiana

that pipeline is operating at 20% capacity. Local distributors keep only a week or so supply on hand, when that's gone, they're dependant on that pipeline.

said pipeline feeds everything from Georgia to New York, with everything from jet fuel to kerosene. Frankly, the fact that prices in this are haven't gone up in two days is remarkable (DC)

[alarimer]

15. I think because there is no margin of safety in the supply

There is never any surplus. Normally that works okay but a major disruption causes serious problems. And then I suppose there is some panic buying going on.

[LostinVA]

17. "Just in Time" needs to be changed and refineries need to be built

Screw the free market -- oil needs to be partly nationalized. This is craziness.

[northzax]

19. there has traditionally been some excess capacity

in the refining system, but not a lot in the transport system. There has never been an incentive for new refineries to open, they cost billions, and the more gas there is, the lower the prices are. so why build a new one?

[Mutley]

20. This whole thing seems too extreme for the situation.

Something is going on that we're not seeing...

[Skidmore]

21. Full frontal assault by the petroleum industry.

*'s revenge--have at 'em boys.

[Catherine Vincent]

22. I know one thing, the SUV makers are pissed.

[cthrumatrix]

23. didn't Chavez offer the US more oil????? Why the wait?