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Gulf Coast Gasoline Strengthens After Western Refinery Outage

July 27 (Bloomberg) -- Gulf Coast gasoline strengthened after Western Refining Inc.’s El Paso, Texas, refinery shut overnight because of a power outage.

Units at the 128,000-barrel-a-day plant were being prepared for restart, Gary Hanson, a company spokesman, said in an e-mail. Weather may also affect the region, as an area of thunderstorms and heavy rain in the Caribbean between Cuba and Mexico’s Yucatan Peninsula has a “near 100 percent chance” of becoming a tropical depression or storm, according to the National Hurricane Center.

The discount for conventional, 87-octane gasoline in the Gulf Coast narrowed 0.75 cent to 7.75 cents a gallon on the New York Mercantile Exchange at 1:58 p.m. New York time, according to data compiled by Bloomberg. Prompt delivery gained 0.81 cent to $3.0216 a gallon.

A tropical storm may form in the region and head for Texas.

“We believe this is evolving into a depression now and it is conceivable they could declare it a storm,” said Dan Kottlowski, expert senior meteorologist for AccuWeather Inc. in State College, Pennsylvania.

To contact the reporter on this story: Paul Burkhardt in New York at

To contact the editor responsible for this story: Dan Stets at

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