Posted on 05/04/2022 10:13:03 AM PDT by blam
We noted Tuesday evening, D (for Diesel)-Day quickly approaches, though it might already be here as U.S. East Coast distillate inventories plunge to a record low, according to new government data.
Weekly petroleum data from Energy Information Administration’s (EIA) Crude Oil Inventories show East Coast distillate inventories are at their lowest ever, dropping to just 22.4 million barrels.
Total U.S. distillate inventories have sunk to levels not seen since the last financial crisis.
One of the reasons for the drop is East Coast refinery capacity has plunged over the last decade, “leaving the region vulnerable to squeezes,” according to Bloomberg’s Javier Blas.
In the past 15 years, the number of refineries on the U.S. East coast has halved to just seven. The closures have reduced the region’s oil processing capacity to just 818,000 barrels per day, down from 1.64 million barrels per day in 2009. -Blas
Total U.S. refinery utilization capacity has plunged from 96% in February to 86% at the end of April. Also, the U.S. has halted energy imports from Russia.
There’s also the issue Gulf Coast refiners’ are prioritizing exports to Europe rather than increasing domestic supply, sending the price of diesel to a record high.
Diesel is used in trucks, tractors, freight trains, and power generation. Soaring prices will only exacerbate inflationary pressures.
Blas said: “The diesel shortfall is nearing crisis levels.”
Reality is starting to sink in about the worst inflation in four decades. Truckers have told the Dirty Jobs jobs guy Mike Rowe that it now costs $1,000 to fill up their fuel tanks.
Rowe said truckers aren’t buying the Biden administration’s narrative that Russia is responsible for soaring fuel prices.
With the U.S.’ busy travel season less than a month away and diesel inventories on the East Coast at record lows with refinery capacity in the region struggling, this could only suggest a fuel crisis could be nearing.
Northeastern winters will make electric cars bricks taking up garage space—a luxury for the virtue signaling wealthy urban folks.
Normal working folks won’t be using them.
More bad news. Prelude to a long, hot summer. Especially hot with trucker’s and farmer’s tempers flaring.
Whatever happened to Biodiesel?
I read an article that explained that bio-diesel is just puting food in your gas tank....like the ethanol corn.
Every container ship that crosses the ocean runs on diesel fuel.
Every vessel on the Great Lakes, Mississippi and St Lawrence Seaway runs on diesel fuel.
Home heating oil and diesel fuel are almost identical petroleum distillates.
Their prices mirror each other. If you have not already, fill your pantry. Your heating oil tank. Buy cord wood and wood pellets. They are all going to be more expensive.
Everything moved on a truck or vessel is going to be more expensive. Thanks Biden
You forgot to mention trains...diesel/electric.
The solar and EV aren't meant to save the world or any of that gibberish. They're meant to give me a hedge against the Dims bankrupting us our controlling us with their energy policies.
“the number of refineries on the U.S. East coast has halved to just seven.”
There is a large amount of fuel products coming into New England from Irving’s refinery in New Brunswick.
Irving has fuel stations all over eastern Canada, ME, NH ,VT and MA. They also sell heating oil through their distribution centers in South Portland, ME.
If it keeps on rainin’, levee’s goin’ to break
Correct, biden released a million barrels a day out of stockpiles and sent it all to Europe.
These days are reminding me of the Carter years.”
Who cares, were sticking it to the Russians!!?
“the number of refineries on the U.S. East coast has halved to just seven.”
There is a large amount of fuel products coming into New England from Irving’s refinery in New Brunswick.
Irving has fuel stations all over eastern Canada, ME, NH ,VT and MA. They also sell heating oil through their distribution centers in South Portland, ME.
Woody, you have convinced me now is the day to buy bulk, not the day after tomorrow. Will prepare.
What they are not trying to do is build a liberal utopian society because such a thing has never existed and cannot exist. Leftism always leads to totalitarianism, a poor economy, and misery for the common people. At the same time it leads to more power and opulence for those in power.
Carter just incompetent. Biden incompetent and malignant.
I wonder how much refining capacity was lost when Philly’s old Sunoco Refinery down by the airport caught fire? That had to have been a significant percentage of the loss of capacity on the east coast.
If you think we have a supply chain problem now ..
imagine what happens if diesel hits $6.00 + per gallon, and truckers refuse to drive their rigs at a loss.
Trains (diesel/electric) are the 'long haulers' like diesel tractor-trailer '18 wheelers', while box trucks are used for local warehouses distribution .
Distribution of products happen on the local level, and further backups will occur in the warehouses.
Want to get the Washington elites attention about diesel and gasoline availability (?),
begin to restrict their access to fuels for their gas/diesel fuel guzzler SUV's or aviation fuels.
The government fleet is based on polycarbon fuels (A/K/A: 'fossil fuels') with few, if any, vehicles electrified.
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