Gas Prices Could Surge Due to Shutdown in Indiana
Gas prices in the Midwest could surge from 30 cents to a dollar because of a key refinery shutdown in Indiana. BP's refinery in Whiting is having problems with its largest crude distillation unit, which handles more than half of the facility's capacity.
The refinery is the seventh largest in the U.S. and biggest in the Midwest. Its operable capacity is 413,500 barrels per calendar day.
Almost immediately, market gasoline prices shot up on the concerns of reduced gasoline supply from the BP refinery. They estimate a 15 to 30 cent increase. Other analysts said the increase could be up to a dollar per gallon in just a week.
Daniel Flynn, a trader analyst with Price Futures Group in Chicago, said he heard the refinery issues will last a month. This is going to be a shock in the market. Depending on how bad this is, we could see a dollar rise within two weeks. Here's more from the Lansing State Journal.