Explorer Pipeline fuel line from Texas to Oklahoma running at reduced rates
NEW YORK (Reuters) — Explorer Pipeline’s fuel line from Houston to Glenpool, Oklahoma, is running at reduced rates due to temporary repairs made on Oct. 24, pushing up cash gasoline prices in Midwestern markets.
“We are working to increase rates ... until permanent repairs are made early next week,” a company spokesman said on Thursday.
Group Three V-grade gasoline differentials were seen firming by as much as 2 cents to trade 8 cents per gallon above benchmark futures for delivery in November on the New York Mercantile Exchange, traders and brokers said. Prices then eased to trade about 5 cents a gallon above benchmark futures.
The pipeline system, which has a capacity of 660,000 bpd, takes about 11 days to move a barrel of gasoline, diesel, fuel oil or jet fuel from the Gulf Coast region to the Chicago area.
The company did not disclose the reason for repairs.
Reporting by Devika Krishna Kumar in New York; Editing by Jonathan Oatis
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