YOUR FRIENDS' ACTIVITY

    Gas prices rise; officials wait to enter refinery

    SAN FRANCISCO (AP) — A fire at one of the nation's largest oil refineries helped push West Coast gas prices close to $4 a gallon Thursday, as the same federal team that investigated the Gulf Coast spill waited to inspect the unit that was knocked out by the blaze.

    The U.S. Chemical Safety Board team was standing by with state and company inspectors to do structural and environmental tests to see if it was safe to enter the unit and determine when production might resume after the Monday night blaze.

    In all, five separate investigations will be done.

    "This is an important accident in its own right, it was a large fire and has the potential to affect fuel supplies and prices," said Dr. Daniel Horowitz, a member of the chemical board.

    The average price of regular gasoline jumped in California from $3.86 a gallon on Tuesday to $3.94 on Thursday, according to the website GasBuddy.com.

    Some experts expect the disruption in production to last for weeks and push prices beyond $4 a gallon.

    "It'll depend on Chevron getting their facility repaired," said Patrick DeHaan of GasBuddy.com. "The increases will be felt in California, Oregon and Washington, with perhaps some residual issues in Arizona and other nearby states."

    The Richmond refinery produces 16 percent of the region's daily gasoline supply. The fire knocked out a unit that makes a specialized blend of cleaner burning gasoline that satisfies air quality laws in California, Oregon and Washington.

    Sean Comey, a spokesman for Chevron, said myriad factors were pushing gas prices higher, not just the loss of one unit at the refinery.

    "There are a variety of economic conditions like rising crude and ethanol costs, which also affect what consumers pay at the pump," he said.

    Comey said the refinery continues to produce gasoline, diesel and jet fuel but in reduced amounts.

    Experts said inventories of the cleaner burning gas already were low. With the refinery's output in question for what could be weeks, analysts say prices could reach $4 a gallon as soon as Friday.

    "California has the cleanest burning gas in the nation, so this is definitely a market disruption," said Rayola Dougher, a senior economic adviser with the American Petroleum Institute.

    California can't replace those supplies with imports from Washington state, Asia and the Gulf Coast, so it's more difficult to ease the impact of the lost production, Dougher said.

    Some analysts believe other refineries in California could make up for the shortfall, if Chevron's capacity remains limited by the fire.

    Tradition Energy analyst Addison Armstrong said California refineries have been producing about 6 million barrels a week, down from 7 million a week last month.

    "That should be enough capacity to make up for the loss of output from Richmond," he said.

    Comey said Chevron could not estimate when the damaged unit would be back online. The company also said it did not know when investigators would have access to the site.

    Still, government investigators expected testing to be completed Friday.

    Once the unit is open to inspectors, the process of determining the cause of the vapor leak that led to the towering fire can start. Then, after evidence is collected, Chevron can begin getting the unit back up and running.

    Horowitz said investigators will also be evaluating Chevron's emergency response system and other concerns raised by the community.

    Hundreds of people contacted attorneys and were expected to file claims against Chevron for breathing problems and other health issues stemming from the thick black smoke that spewed from the facility during the fire.

    The company has set up a compensation funds and distributed phone numbers that can be used to file claims. The initial phone lines were overwhelmed by callers, and the company said it was arranging help to meet the demand.

    The Bay Area Air Quality Management District originally said air samples taken during Monday's fire showed that toxic air contaminants were below levels considered unhealthy by federal officials.

    The district said Thursday that its "initial statement was incorrect." In one of eight samples taken throughout Richmond, levels of the toxic compound acrolein were above the federal health standard.

    Air district officials said the refinery fire generated smoke containing particulate matter that was the likely source of health complaints by Richmond residents.

    ___

    Associated Press Writers Sandy Shore in Denver and Terence Chea in San Francisco contributed to this report.

    Loading...
    • Tennis-Duesseldorf Cup men's singles final result

      May 25 (Infostrada Sports) - Result from the Duesseldorf Cup Men's Singles Final on Saturday 3-Juan Monaco (Argentina) beat 6-Jarkko Nieminen (Finland) 6-4 6-3

    • Missing University of Rhode Island Student Found in North Carolina

      Matthew Royer Did Not Show Up at His Pennsylvania Home or Summer Job

    • No Wonder Republican Criticism of Obama Isn’t Working

      Henny Youngman, the late borscht belt comedian, told hundreds of politically incorrect jokes. One of them was his response when asked, “How’s your wife?” “Compared to what?” he’d say.

    • Trayvon Martin texts, photos: Might they change Zimmerman trial?

      Ultimately, many of the photos and cellphone records of Trayvon Martin released online Thursday by George Zimmerman’s defense attorneys – indicating that the slain teenager smoked marijuana, got into fights at school, and had an interest in, and perhaps access to, guns – may be ruled inadmissible in court. But they are already making the rounds in the court of public opinion, which can influence everything from fundraising efforts to the mind-set of potential jurors in Mr. Zimmerman's murder trial.

    • 5 climbers missing on world's 3rd highest mountain

      KATMANDU, Nepal (AP) — A Nepalese official says five climbers are missing and feared dead on the world's third highest mountain.

    • Magnitude 5.7 quake strikes Northern California

      (Reuters) - A magnitude 5.7 earthquake struck Northern California on Thursday, according to the U.S. Geological Survey. The epicenter of the quake was 6 miles northwest of the town of Greenville, and near the smaller community of Canyondam, the USGS said. There were no immediate reports of injuries. Allen Shephard, a hunting and fishing guide at Quail Lodge at Lake Almanor in Canyondam, said the quake knocked him "right off the couch and onto the floor." The floor of the lodge was littered with broken dishware, and cabinets were in disarray, said Shephard, 62. ...

    • California reveals prices for health insurance under Obamacare

      By Sharon Bernstein LOS ANGELES (Reuters) - California unveiled prices on Thursday that consumers will pay for a selection of health plans offered through the state under the Affordable Care Act, providing a glimpse into how health care reform may look as it is rolled out across the nation. Under the federal health care reform law, Californians who do not get or cannot afford health insurance through their jobs can buy coverage through an exchange, at a group rate negotiated by state regulators. ...

    • 'Horrified' trucker watches I-5 bridge collapse

      A truck hauling an oversized load of drilling equipment hit an overhead bridge girder on the major route between Seattle and Canada, sending a section of the interstate into the river below as the driver ...

    Loading...

    Follow Yahoo! News