And you thought your gas prices were high?

[kyman_33]

Well, I read the thread on gas prices and from what I observed you guys have it easy. So I made this thread to let you all know how high the gas prices are here.

Ours started out $2.59. Then they jumped to $2.99 because of all the happenings. So as of last night it was $2.99.

I wake up and go to school only to hear everyone tell me gas now jumped to:

$3.59



I don't go by a gas station because I live so close to school, but I was like WHAT????????? Everyone is like "yeah gas is $3.59".

How bad is this going to get? If it keeps up they're going to have to raise the minimum wage. I mean if they don't half of the U.S. is going to be in poverty from these gas prices.

Our economy is so dependent on gas for everything. I mean gas affects us in more ways than we know. Prices are going to start jumping on everything if this gas doesn't settle down.

The only good thing about this is that it will make us start turning to alternative fuel sources more, or at least think about them. Which will in turn be good for our environment.

I don't even know, there is just so much to say about gas prices.

-Kyle

[VoidRaven]

I work for an organization that concentrates on retention of industrial businesses. The stories and concerns I'm starting to hear from companies is getting scary. There is going to come a point where our economy is going to nose-dive again due to these gas prices and companies going out of business...especially transportation/intermodal companies. Having a background in economics, I am very interested to see what happens over the next 6 to 12 months and beyond.

[TheBimbo]

Somebody has to be able to step in and regulate something... Atleast you would think so... I paid 2.59 today, and it's up to a 3.00 as of a little while ago...


TheBimbo

[VoidRaven]

Nope...welcome to living with a "product" that is truly part of the "world economy".

[Minuteman]

I'll be riding my Harley for the next little while...

[jordan2871]

The markets are controlling oil and gas right now. Demand, IMO, has not driven the prices sky high. Exxon has not dug a new holw in long time. The supply is there. Albeit stressed. Prices these days trade on fear. Hedge fund companies buying up oil futures contracts. Price hikes at the pump due to a pipeline that cracked yesterday...come on. Who's kidding who. What, all of sudden it wholesale gas prices shot up...overnight. ...whew my rant for the night.

[kyman_33]

Originally posted by VoidRaven
Nope...welcome to living with a "product" that is truly part of the "world economy".

That's is so true. I mean how would all those middle eastern countries have so much money if there wasn't oil? They sure aren't going to get rich selling sand.

I just started driving this summer so now I really notice the gas prices. Funny how when you start paying for things you notice prices more.

-Kyle

[dinoman]

Its crazy, I have no clue what it is here but my dad was talking to somebody that said they were going to run and get gas as it was supposed to jump 40¢ by tomorrow morning .

[VoidRaven]

What's amazing, Kyman, is when you actually see the break-out of where all of our oil actually comes from. The bulk of it does not come out of the middle east, though a good portion does. One of the main problems is that the world allows/supports the perpetuation of OPEC to exist and exert control over prices....this, combined with fear-based futures trading is what are the primary contributors to the gas price issue.

The other problem is that we have been used to low prices for so long. Places like England and other European countries are used to high prices and their economies have adjusted accordingly. We, on the other hand, are hitting one heck of a pothole in the economy road if you will.

[dinoman]

BTW, maybe I should hurry up and just order my dogsled? It has to be shipped by freight, maybe if I order now I won't have to pay for the $900 worth of gas to get it here .

[VoidRaven]

Actually, Dino, that is a seriously good idea. Either that or learn how to make your own. Shipping prices are going to skyrocket soon.

[Menards]

But I think you should all know this:


hurricane has shut down the petroleum infrastructure. This means we will not have any gas in 4 months! How do I know, because we got a confidential memo on it today from the industry. Most of the oil to be refined comes in along the gulf and is pumped via pipe line to the refineries, again mostly along the gulf. So this means we have no crude to move through the pipelines as the pipelines are gone along the gulf, this means we cannot get crude even to the interior refineries. It is only a day or so after the hurricane and we are already out of some grades of fuel. Minnesota will be able to run bio diesel, so we should be able to keep power going, but gas prices will go through the roof. We are in a state of emergency for the nation right now. None of you are supposed to know this, but we are in serious threat of running out of gas and diesel fuel. The existing refineries cannot produce enough to keep up going. So hopefully there was minor damage to the gulf ones. This hurricane did more to the country than anyone quite comprehends right now except for a few key industries. Change your consumption habits now. Tomorrow I am going to buy a wood pellet stove before they go up in price. My house will be warm this winter, will yours?

[VoidRaven]

First off, that's complete bumpkiss. The pipelines are fine and as soon as the electricity can be restored things will start to get back together. Gas doesn't just suddenly, magically, disappear. Prices would increase 10x or more if this was about to happen.

Second off, yes my house will be warm because I have two wood stoves that I use to heat my home...my furnace is only for added support if need be and to run my AC in the summer.

If this is true, post undeniable proof. Otherwise, this statement sounds like it's right out of those conspiracy-theory websites.

[Menards]

Call up the department of transportation that just issued a state of emergency and revocation of hours of service requirements for fuel tankers. Just that simple.

[marie]

Just to make you guys feel better, gas, in some parts of canada, is now at $1.19 a liter which translates to around $4.80 a gallon

[dinoman]

This thread is starting to scare me. Maybe I should hurry and put together my dosled team . Afterall they don't need gas . (and if you have enough of them you can keep the house warm!)

[Menards]

No, gas just does not magically disappear, we have a 4 month supply. However if you cannot ship the crude through the pipelines to the refineries then you have no gas. If you cannot ship the gas through the pipelines to the terminals to fill the tanker trucks, then you have no gas. Lets face it, most of the refineries are shut down along the gulf coast. How many are damaged we do not know, how many will be able to restart after power is restored we do not know. But until we have crude being pipelined to the refineries, we do not have gas! Our company is going to mobilize to pump the refined gas out at the pipeline junctions if it gets bad enough. You really need to know how the fuel moves through the country before you truly understand what type of situation we are in. Refineries along the gulf and some in Missouri, pump refined gas through the pipe line to terminals through out the USA. They follow one grade with another grade, and the mix point is siphoned off at the end terminal loaded into trucks and taken back to the refineries to be separated. We have a lot of fuel in the pipelines, but without fuel being produced to push it through the pipelines it just sits there. So we are all dispatched into terminals tomorrow to get the right fittings to hook on to the pipeline junctions just incase it gets to the point where we have to pump out the pipelines to keep it all going.

[Menards]

just for you VoidRaven::

http://www.fmcsa.dot.gov/about/news/...005/083105.htm


Declaration of Regional Emergency Print this page




Due to the national crisis brought upon by Hurricane Katrina, the U.S. Department of Transportation's Federal Motor Carrier Safety Administration (FMCSA) has temporarily eased hours-of-service regulations for certain carriers to allow vital fuel transportation services to continue to serve the Nation.

Hurricane Katrina has temporarily halted off-shore oil and gas production in the Gulf of Mexico, shut down most of the refineries and pipelines along the Gulf Coast, and damaged storage facilities and transportation infrastructure throughout the region. The disaster has nationwide effects.

Federal regulations (CFR 40 Part 390.23) allow the temporary lifting of restrictions that apply to any motor carrier providing relief during a regional emergency. This includes easing the hours-of-service regulations for truck drivers. This declaration of emergency is limited to the delivery of fuel and is in effect from 1 p.m. EDT, August 31, 2005, until 1 p.m. EDT, September 14, 2005. As always, FMCSA urges all truck drivers and motor carriers providing relief to exercise their best judgment regarding safety.

Drivers for motor carriers that operate under this declaration of emergency MUST have a copy of the declaration itself in their possession. To request a copy of the Declaration of Regional Emergency, contact your local FMCSA Division Office.

Related Links
CFR 40 Part 390.23
Field Offices
2005 News Releases

[thedude]

You know, I find all of this a little bit suspicious. We've had hurricanes in the gulf for decades. The whole area has been whacked with hurricanes many times over and I don't remember gas price increases in the past. At least not to this extent.

And you can't tell me that this is the only time things have been damaged. I'm thinking there is more to this than meets the eye. I think oil companies are seeing a chance for some fast cash.

[BTTRFLYGRL]

I don't know!!! I seriously think I need to trade the Expedition in on a moped or a good pair of walking shoes

[bulldog12]

I will say nothing so this thread can stay open.

[Misfit6669]

Our pipeline is fine up here and I still paid 2.79 for midgrade today.

[Habib]

$6.40 per gallon over here.

[ReeferMac]

I had to leave my dog at the pump!

- Mac

[VoidRaven]

OK, I read the link...thanks for that. But no where does it say we only have a 4-month supply. All it states is that: "temporarily eased hours-of-service regulations for certain carriers to allow vital fuel transportation services to continue to serve the Nation." So it's saying, if I'm reading correctly so please correct me if I'm wrong, that fuel truck drivers can drive longer adn more often or something to that effect to transport fuel to distressed areas.

"Hurricane Katrina has temporarily halted off-shore oil and gas production in the Gulf of Mexico, shut down most of the refineries and pipelines along the Gulf Coast, and damaged storage facilities and transportation infrastructure throughout the region." OK, we knew this already from the news coverage. Not much new there but always nice to have a confirmation.

"Federal regulations (CFR 40 Part 390.23) allow the temporary lifting of restrictions that apply to any motor carrier providing relief during a regional emergency. This includes easing the hours-of-service regulations for truck drivers. This declaration of emergency is limited to the delivery of fuel and is in effect from 1 p.m. EDT, August 31, 2005, until 1 p.m. EDT, September 14, 2005. As always, FMCSA urges all truck drivers and motor carriers providing relief to exercise their best judgment regarding safety."

So fuel truck drivers can drive longer hours and longer distances with this regulation. Still no mention of "gas will run out in...." anywhere. I don't know....I appreciate the link to the Federal site but I still don't buy into this whole 4-month supply bit.

And I do understand how the pipelines work. I spent a small amount of time interviewing with a small company you might know since you are in the industry: Marathon-Ashland Pipeline LLC. They monitor/control a section of pipeline up here in OH. I was fascinated to learn exactly how the pipelines work and the whole bit of mixing points and stuff as the different "products" are pushed through the system. It is impressive to say the least.