Sept 18 Retail gasoline prices surged on
Saturday due to the ongoing 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 Saturday evening that it would construct a
bypass that circumvents the leak that occurred more than a week
ago in Shelby County, Alabama. It is unclear when construction
will be completed, but the company has previously said it
anticipates a reopening of the line later this week.
The average price of a gallon of regular gasoline in Georgia
rose to $2.26 as of Sunday morning, according motorists'
advocacy group AAA, up more than six cents overnight and more
than 15 cents in a week. 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 long 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. New York gasoline futures are up 9 percent in the
last week, and are anticipated to rise when trading overseas
begins on Sunday evening.
Colonial shut its main gasoline and distillate lines that
run from the Gulf Coast to the East Coast on Sept. 9 after the
leak was discovered. The damaged Line 1 can carry 1.2 million
barrels of gasoline per day and runs from Houston to Greensboro,
On Friday, Colonial increased its estimate of the volume of
the spill to a range of 6,000-8,000 barrels from a previous
estimate of 6,000 barrels.
(Reporting By David Gaffen)