12 refineries accounting for 18% of capacity remained shut in USA after Hurricanes Rita and Katrina, translating into a daily loss of more than 1.3 million barrels of gasoline. Strikers have blockaded France's Mediterranean energy hub and closed oil major Total's biggest refinery in the country, a major fuel supplier to Europe and the United States. As hurricane-wrecked refineries stayed shut in the United States and strikes threatened to cut supplies at French plants, the fear of winter fuel shortages seems to be taking over, pushing oil prices up. U.S. crude oil moved up to US$66.33 a barrel and London Brent crude gained rose to US$63.63 a barrel.
Concern is growing that damage caused by Hurricanes Katrina and Rita will hurt refineries' efforts to gear up for the winter, the peak season for production of distillate stocks- fuels that include heating oil, jet fuel, kerosene and diesel.Much depends on how quickly oil and gas production facilities can come back online in the aftermath of the hurricanes. But recovery remains slow, with 98% of the area's crude production still shut in and natural gas output down 79%.
04-Oct-05 
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