Philly refinery to close, gas price to go up!

[KevinW]

http://news.nationalgeographic.com/news/energy/2012/04/120404-northeast-us-refinery-closures-gas-prices/?source=hp_dl2_news_refinery20120405

not looking good for the summer cruising season with Sunoco pulling out and that affecting gas prices this summer. :(

[BigAls87Z28]

before you lose your mind, American oil production is at an all time high. There is no supply issue at all.

[KevinW]

That is true, we have plenty of crude oil. The issue has been and still is refinery capacity. Crude oil is no good unless it is made into a product that can be consumed. With these refineries being shut down, NJ will have to get its gas from further away refineries which will add to the price (transport costs).

[Blackbirdws6]

News of the impending closing is not new. We have a couple guys at my office who took a lay-off package.

[BonzoHansen]

before you lose your mind, American oil production is at an all time high. There is no supply issue at all.

gasoline exports are at an all time high too.

[DaSkinnyGuy]

So your telling me one of those big money making oil companies doesn't have enough profit to buy this place?

[redsoxsstink]

will the closing of that refinery affect prices of hess gas or other brands?

[BigAls87Z28]

It will, but only because Americans in general don't understand how it works. Less refineries means less oil which means ZOMG NO MORE GAS!!!

[JL8Jeff]

And don't forget what happened a few years ago when the hurricanes shut down the gulf refineries and they had a fire out in CA or AZ. The supply disappears very fast which causes a quick run up in prices. We actually needed more refining capacity, not less. So this could have a long term affect for our area.

[8hnpSS]

im sick of gas as it is... probably trading in my yukon this week for a honda civic because of it :(

[BonzoHansen]

We actually needed more refining capacity, not less. So this could have a long term affect for our area.

false:

gasoline exports are at an all time high too.

It's all leaving our shores.

[Frosty]

It's all leaving our shores.

This. We export OUR oil and IMPORT oil from elsewhere which is why the drill baby drill crowd needs to get a clue. It's funny, the media wants to praise the government for having our drilling at the highest point in years yet gas prices are rising(and no that's NOT a shot at Obama so relax there nut-swingers).

I'm no expert nor do I claim to be but from my point of view until oil speculation stops and until it's taken off of the commodities market we're screwed. There is NO justifiable reason for gas to be this high..period...end of discussion. Our politicians on both sides throw out blame, they point the finger and claim the have the "fix", meanwhile we get screwed and they all make $$.

[WiMiMc]

Could people be pushing for the higher prices to herd people into buying Electric/green vehicles?

[NJ Torque]

Could people be pushing for the higher prices to herd people into buying Electric/green vehicles?


One reason...

[Frosty]

...and the risk of our entire economy? I doubt it...I mean anything is possible but that's quite a big risk.

[BigAls87Z28]

Could people be pushing for the higher prices to herd people into buying Electric/green vehicles?

Many people like the gradual increase of gas prices on both sides of the political spectrum. It is moving faster than it should be. I saw this video the other day that talks about how oil is actually under valued due to the dollar and when you compare the price of a barrel in terms of gold, it is below traditional value.

[sweetbmxrider]

Ride a bike.

[JL8Jeff]

It's supply and demand. And gas is something that can't really sit around until you're ready to use it. So even if we are at an all time oil production high(which doesn't say anything about gas production) if the demand is too high then the supply drops which causes the price to rise. Add in the increased exports and we need more refining capacity. Then if you have something that shuts down an existing refinery, the other areas can't make up the difference and it goes through the roof. Last year at this time they were predicting summer gas prices of $5 a gallon and that never happened. So if it does happen this year, then something in the equation changed. There was supposed to be a commitee formed by the gov't to prevent the speculation from driving up prices but obviously that was a waste of time and money. But if we end up with a drought this summer, we won't need to use gas to mow our lawns so that might help! :lol:

[WiMiMc]

^^ i was going to mention the speculation. if they even think something is going to go on in the middle east or somewhere, they say there is going to be a shortage when it may not even be the case

[chknhwk01]

:facepalm::bertstare: the onley shortish theres going to be is your,, pocketsssssssssss
:kneeslap::kneeslap: leave your ride home for 2weeksss and the prices,
well come,,downnnnnnnnnnnnnnn,playa,ss..:evil: ohhhh yeahh..

[Frosty]

^^ i was going to mention the speculation. if they even think something is going to go on in the middle east or somewhere, they say there is going to be a shortage when it may not even be the case

Here's another tidbit, we only get something like 15-17% of our oil from the Middle East...we get most of our oil from Cana-duh and Mexico...or so I've read.

[Featherburner]

Here's another tidbit, we only get something like 15-17% of our oil from the Middle East...we get most of our oil from Cana-duh and Mexico...or so I've read.Russia too.

[BigAls87Z28]

Even if we get our oil from under Smash's house, oil companies are still going to sell it to the highest bidder and where the demand is the greatest.

In the US, thanks to a general smartening up of the general public, our demand has gone down for oil.
But places like China or India aren't slowing down or stopping.

[Demonicbird00]

we have more then enough crude under our soil to last us a long time, we should refine our own.

side note...its funny how Sunoco is closing refineries claiming "loses" yet are able to sponsor alot of motorsports series

[JL8Jeff]

we have more then enough crude under our soil to last us a long time, we should refine our own.

Shhhhhh! We don't plan on using our own oil until we drain the rest of the world supply first. :wink:

[Demonicbird00]

yes i know :)