Tight Gasoline Supplies Send US Fuelmakers into Maximum Output Mode
Summer heat, high run rates elevate the risk of a refinery breakdown as the US wrestles with high gasoline prices.
An oil refinery in Texas City, Texas, US.
Photographer: Luke Sharrett/BloombergIt may not be quite throwing caution to the winds, but the prospect of hefty profits and supply that may not stretch to meet consumer demand is enticing US refiners to run at a 21-month high, testing equipment limits to sustain high rates without breakdowns.
Gasoline stockpiles remain the lowest seasonally in seven years. A major breakdown when supplies are constrained by several years of closures that wiped out more than a million barrels of capacity could be disastrous. Stockpiles would shrink further and already high pump prices could surge higher, causing some drivers to curtail or reduce travel plans.