$5/gallon Gas?

It looks like Hurricane Rita might spike gas prices higher than we ever imagined with Katrina. This article is saying that gas prices this time next week might go up to $5/gallon! Experts are predicting that almost 3 million barrels of oil (per day) will be taken out of the supply when Rita hits because a majority of the refineries that were not hit by Katrina will be hit this time around. Take a look at the map provided and notice all of the oil production that occurs in the area that Rita is expected to hit:

Talk about a oil crunch! Another problem is that a majority of the repair crews are now working hard to fix the facilities damaged by Katrina. When Rita hits, there will be few available to repair the facilities in the Rita area. Another problem that might show up during the winter is prices on natural gas. Most of the nation's supply comes from the Texas coast; gas can mostly be imported but it would be much more difficult to import natural gas. Looks like we might have to go back to choppin' and haulin' of lumber for our fire places (if you have a wood stove)! How much more can this nation take? With gas prices this high, our way of life would most likely come to a stand still. People can't afford to pay so much just to get around! All we can do is pray that the least damage is done to the Texas coast! I know that I will not move my car an inch if gas prices go that high!

filed under: weather, business

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