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Pipeline disruption ending, but effects could linger

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Posted by Jordan Blum

Click HERE to Read the Article by the Publisher.


A temporary fix is expected to begin operation this week to solve the Colonial Pipeline disruption that caused gasoline prices to surge throughout much of the Southeast.

But higher prices could last a while longer as the new gasoline supply takes a while to reach its markets in the Deep South and along the Eastern seaboard. The Department of Energy noted that pipeline shipments of gasoline only move at about 5 miles per hour, so supply shortfalls are expected to linger for a number of days.

The Colonial Pipeline runs from Houston to New York to bring gasoline produced in Texas and Louisiana to much of the rest of the nation. Because so much of the gasoline is produced in Texas, Houston-area prices at the pumped haven’t been affected by the pipeline leak. But local refineries are temporarily hurt because their product cannot ship out as easily.

A leak along the pipeline’s Alabama segment was detected earlier this month and a 500-foot bypass is coming online this week until the damage is fully repaired.

The federal government gave a plug to GasBuddy.com, a retail gasoline price comparison site, which recently launched a tracking tool to determine fuel availability at thousands of retail stations in the Southeast.


Tags: gasoline, energy, pipeline


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Posted by Jordan Blum

Click HERE to Read the Article by the Publisher.

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