Storm shakes up oil pricing

Posted on Aug 27, 2012 in Business | 0 comments

Crude oil prices climbed above $97 per barrel while tropical storm Isaac threatened Gulf Coast supplies.

The storm, barreling across Florida and presumably New Orleans-bound, is headed toward the region that is responsible for 23 percent of the nation’s oil production and includes 44 percent of the country’s refining capacity.

Supply glitches also include a strike by Norwegian oil industry service workers and the continuing international embargo designed to put pressure on Iran to resolve a dispute over its alleged nuclear weapons program.

On the New York Mercantile Exchange, West Texas Intermediate crude oil for October delivery added $1.26 to reach $97.41 per barrel. Natural gas added 3.8 cents to $2.74 per million British thermal units.

Home heating oil added 4.63 cents to $3.165 per gallon.

Reformulated blendstock gasoline added 7.92 cents to $2.9897 a gallon.

At the pump, the average price for a gallon of regular unleaded gasoline was $3.5 per gallon Monday, up from Sunday’s $3.748, AAA reported.

Copyright 2012 by United Press International