Disruptions in Gulf oil production impacting gas prices in Kentucky

By  | 

RICHMOND, Ky. (WKYT) - As flood waters close major oil refineries in Texas, people across the nation are seeing an impact at the gas pump.

(Image Source: MGN)

Harvey's path cut through the heart of the U.S. oil industry, shutting down some of the country's biggest oil and gas refineries. Just ahead of Labor Day weekend, drivers are dealing with rising gas prices. According to AAA, the national average for a gallon of unleaded gas stood at $2.45 on Thursday. Prices in Lexington were just above that, sitting at $2.49 a gallon, but on Thursday afternoon spiked to $2.69.

Bob Riley at Riley Oil Company in Richmond said much of Kentucky's oil comes from other places.

"We are a border state. Kentucky only has two refineries I'm aware of; One in Somerset and the Marathon refinery. So everything else is brought in," Riley explained. "It comes in by pipeline and also by barge up the Mississippi River and the Ohio River. And so if there's a disruption on the Gulf Coast, a significant portion of motor fuel in Kentucky ultimately comes from the Gulf Coast."

Riley said the further we are from the point of disruption; the less those disaster should impact our gas prices. He's hoping the recent increase in prices is short-term.



 
Comments are posted from viewers like you and do not always reflect the views of this station. powered by Disqus