www.sltrib.com BY REBECCA GOMEZ THE ASSOCIATED PRESS

    NEW YORK -- A powerful explosion at an ExxonMobil Corp. oil storage facility sent shock waves through an energy market already roiled by fears of war, pushing crude oil prices up more than a dollar in trading Friday. Heating oil and gasoline futures also surged.     The explosion occurred midmorning when a barge stocked with 100,000 barrels of unleaded gasoline was being unloaded at the Port Mobil terminal, a storage facility that holds 2 million barrels of oil products, on the tip of Staten Island. The cause was under investigation.     Prices eased somewhat after analysts and traders realized the loss of gas supplies on the barge and thousands of barrels of heating oil at the terminal in Staten Island would pose only a short-term problem for the Northeast.     "This is two million barrels and that's an important size for Staten Island and the region," said Ed Silliere, vice president of risk management at Energy Merchant LLC in New York. "Heating oil is extremely tight right now in the East. We can't be losing this quantity at this time."     Even though the barge was carrying gas only, the fire damage makes it nearly impossible to retrieve the heating oil from the facility, hurting regional supplies.     "It could have an effect for a couple of weeks, a little more tightness in heating oil," said Tom Kloza, chief oil analyst with the oil price information service. "Much more significant is whether it's cold in the Northeast in the next few weeks."     The national oil market is not likely to suffer as a result of the fire, analysts said.     Still, crude oil for April delivery rose $1.15 to $35.95 a barrel on the New York Mercantile Exchange, after news reports of the fire. It finished the day at $35.58 a barrel, up 84 cents for the day. Earlier, in London trading, Brent crude from the North Sea finished at $32.27, up 71 cents.     The fire broke out as U.S. crude supplies are already at their lowest level since 1975 and crude, gasoline and heating oil inventories are all below what the industry considers essential for smooth operation, the government reported last week.     The United States has not been getting the enormous supplies of imported crude oil from Venezuela because of political turmoil and a nationwide strike there that began in December.     Prices also have been sensitive to worries about a war with Iraq and Mideast oil supplies.     As a result, analysts said, any news about the oil markets will cause rumbles, regardless of the long-term impact.     "There's this heightened effect on the market," Silliere said. "Everybody is ready to jump on the latest news.     Elsewhere on the Nymex, the March heating oil contract rose 4.98 cents, or 5 percent, to $1.10 a gallon, while the March unleaded gasoline gained 4.7 cents, or about 5 percent, to trade at $1.01 a gallon. Natural gas for March delivery surged nearly 7 percent, or 44.4 cents, to $6.606 per 1,000 cubic feet.     "The market shot up when they thought it was a refinery fire and perhaps there was some other concerns that it could have been terrorist related," said Kloza.     A fire at an oil refinery, rather than a storage facility, would have had a far greater impact, analysts said. Refineries contain much more oil than terminal facilities, such as the Port Mobil, and they house expensive manufacturing equipment.     One person was killed in the explosion, another was critically injured and a third was missing, officials said.     The destruction of the facility quickly affected wholesale oil prices in local New York markets. In Albany, independent heating oil distributors increased their prices by 7 cents to $1.20 a gallon, said Silliere, who tracks the spot market. Small businesses getting supplies of heating oil Friday morning would have seen a quick pop in prices.     The Port Mobil facility is a vital link to oil supplies for the Northeast. It stores oil products taken off the Colonial pipeline, which brings supplies to the region from refinery centers in Louisiana and Texas.     The Port Mobil stores the oil product in tanks, then it is loaded into barges that ferry the gas and heating oil to regional distributors.     The fire knocked the Port Mobil out of commission. "Oil products are trapped there for some time because the only way out is barge and barging capabilities are destroyed," Silliere said.

www.dailypress.com Published February 22 2003 Pernell Watson Feb 18, 2003   Q: Where does the crude oil imported to the United States come from? - D.G., Newport News A: According to the Energy Information Administration, these were the chief sources of crude oil imported to the United States in barrels per day in 2001: (1) Saudi Arabia, 1.611 million; (2) Mexico, 1.394 million; (3) Canada, 1.335 million; (4) Venezuela, 1.291 million; and (5) Iraq, 795,000. The United States imports nearly 53 percent of its crude oil from abroad. Of the crude oil the United States imports, an estimated 21 percent comes from the Middle East. To avoid putting the United States at the mercy of the Middle East, the government has begun negotiating with African countries in an attempt to increase oil production on the continent. Canada is the top petroleum supplier to the United States and has been the top supplier to the U.S. of refined petroleum products which includes gasoline and jet fuel.

www.news-star.com By JENNIFER PITTS SNS Staff Writer

Over the last couple of months, each fill-up at the gas station has pulled a little more hard-earned cash out of nearly every American consumers' pocket.

On Dec. 23, Loves Country Store on Kickapoo was selling unleaded gasoline for $1.29 per gallon, said Loves Public Relations Director Jenny Love Meyer. Two months later, that price has jumped more than 25 cents a gallon to the current price of $1.55.

In the world of trade, the speculation of war seems to be playing out on Wall Street where it's being traded as a commodity, said Meyer.

"Speculation has driven prices," she said. "World event happenings can drive the price up or down."

Tecumseh Phillips 66 owner Dwight Wise also said the increase has something do with speculation.

Gas prices have escalated 25 cents a gallon in the last two months.   "We're paying high prices for speculation," he said. "I think all of this price increase is baloney. It's price gouging. Some increase I understand, but not this."

As he understands it, Wise said gasoline used to be sold according to supply and demand, rather than as a commodity where speculation can become a factor.

Phil Hall, owner of MacArthur 66 Auto Repair and Service, said speculation is why he quit selling gasoline two years ago on Sept. 11.

"Every gas station around here jacked their prices up and they didn't know why they just jacked them up," he said.

One gas station along Interstate 40 was selling unleaded gasoline for $3.50 a gallon, he said.

"That's when we decided we were going to quit selling," Hall said.

Meyer said speculation is only one factor involved in rising prices.

"There's a lot of different things that go into the price of gas," she said.

Of the $1.55 per gallon price at the pump, 49 percent is the cost of crude oil, 29 percent is taxes, and 12 percent is refining costs, Meyer said. The remaining 10 percent is made up of transportation costs and retailer markup.

The oil strike in Venezuela has inflated the world price of crude oil, she said. The strike began months ago and is currently being resolved, she said.

"Venezuela is not a huge producer of oil, but it was enough to increase the world price," Meyer said.

A hard winter in the eastern portion of the United States also has contributed to the price increase, she said.

"They use heating oil that comes from crude oil," she said explaining it has contributed to a higher demand for the product this year. "This has not been a good winter for the cost of fuel."

If the United States engages in war with Iraq, she said she believes the price will continue to increase, depending on a few other variables.

She said it depends on if and when a declaration of war is made.

"Timing is part of it," she said explaining there are typical times of year when less gasoline is being produced. "In spring, there is a time when refineries shut down for a transition from winter fuel to summer fuel. There is less product out in the market during that time."

Less product means higher prices, she said.

"Unfortunately, I think the price will go up if we go to war with Iraq," Meyer said.

When asked if the price of gasoline could top $2 per gallon, Meyer said, "I hope not."

www.detnews.com By Rebecca Gomez / AP Business Writer

NEW YORK -- A massive explosion at an ExxonMobil Corp. oil storage facility sent shock waves through an energy market already roiled by fears of war, pushing crude oil prices up more than a dollar in trading Friday. Heating oil and gasoline futures also surged. The explosion occurred midmorning when a barge stocked with 100,000 barrels of unleaded gasoline was being unloaded at the Port Mobil terminal, a storage facility that holds 2 million barrels of oil products, on the tip of Staten Island. The cause was under investigation. Prices eased somewhat after analysts and traders realized the loss of gas supplies on the barge and thousands of barrels of heating oil at the terminal in Staten Island would pose only a short-term problem for the Northeast. "This is two million barrels and that's an important size for Staten Island and the region," said Ed Silliere, vice president of risk management at Energy Merchant LLC in New York. "Heating oil is extremely tight right now in the East. We can't be losing this quantity at this time." Even though the barge was carrying gas only, the fire damage makes it nearly impossible to retrieve the heating oil from the facility, hurting regional supplies. "It could have an effect for a couple of weeks, a little more tightness in heating oil," said Tom Kloza, chief oil analyst with the oil price information service. "Much more significant is whether it's cold in the Northeast in the next few weeks." The national oil market is not likely to suffer as a result of the fire, analysts said. Still, crude oil for April delivery rose $1.15 to $35.95 a barrel on the New York Mercantile Exchange, after news reports of the fire. It finished the day at $35.58 a barrel, up 84 cents for the day. Earlier, in London trading, Brent crude from the North Sea finished at $32.27, up 71 cents. The fire broke out as U.S. crude supplies are already at their lowest level since 1975 and crude, gasoline and heating oil inventories are all below what the industry considers essential for smooth operation, the government reported last week. The United States has not been getting the massive supplies of imported crude oil from Venezuela because of political turmoil and a nationwide strike there that began in December. Prices also have been sensitive to worries about a war with Iraq and Middle East oil supplies. As a result, analysts said, any news about the oil markets will cause rumbles, regardless of the long-term impact. "There's this heightened effect on the market," Silliere said. "Everybody is ready to jump on the latest news. Elsewhere on the Nymex, March heating oil contract rose 4.98 cents, or 5 percent, to $1.10 a gallon, while the March unleaded gasoline gained 4.7 cents, or about 5 percent, to trade at $1.01 a gallon. Natural gas for March delivery surged nearly 7 percent, or 44.4 cents, to $6.606 per 1,000 cubic feet. "The market shot up when they thought it was a refinery fire and perhaps there was some other concerns that it could have been terrorist related," said Kloza. A fire at an oil refinery, rather than a storage facility, would have had a far greater impact, analysts said. Refineries contain much more oil than terminal facilities, such as the Port Mobil, and they house expensive manufacturing equipment. One person was killed in the explosion, another was critically injured and a third was missing, officials said. The destruction of the facility quickly affected wholesale oil prices in local New York markets. In Albany, independent heating oil distributors increased their prices by 7 cents to $1.20 a gallon, said Silliere, who tracks the spot market. Small businesses getting supplies of heating oil Friday morning would have seen a quick pop in prices. The Port Mobil facility is a vital link to oil supplies for the Northeast. It stores oil products taken off the Colonial pipeline, which brings supplies to the region from refinery centers in Louisiana and Texas. The Port Mobil stores the oil product in tanks, then it is loaded into barges that ferry the gas and heating oil to regional distributors. The fire knocked the Port Mobil out of commission. "Oil products are trapped there for some time because the only way out is barge and barging capabilities are destroyed," Silliere said.

www.kansascity.com Posted on Fri, Feb. 21, 2003 REBECCA GOMEZ Associated Press

NEW YORK - A massive explosion at an ExxonMobil Corp. oil storage facility sent shock waves through an energy market already roiled by fears of war, pushing crude oil prices up more than a dollar in trading Friday. Heating oil and gasoline futures also surged.

The explosion occurred midmorning when a barge stocked with 100,000 barrels of unleaded gasoline was being unloaded at the Port Mobil terminal, a storage facility that holds 2 million barrels of oil products, on the tip of Staten Island. The cause was under investigation.

Prices eased somewhat after analysts and traders realized the loss of gas supplies on the barge and thousands of barrels of heating oil at the terminal in Staten Island would pose only a short-term problem for the Northeast.

"This is two million barrels and that's an important size for Staten Island and the region," said Ed Silliere, vice president of risk management at Energy Merchant LLC in New York. "Heating oil is extremely tight right now in the East. We can't be losing this quantity at this time."

Even though the barge was carrying gas only, the fire damage makes it nearly impossible to retrieve the heating oil from the facility, hurting regional supplies.

"It could have an effect for a couple of weeks, a little more tightness in heating oil," said Tom Kloza, chief oil analyst with the oil price information service. "Much more significant is whether it's cold in the Northeast in the next few weeks."

The national oil market is not likely to suffer as a result of the fire, analysts said.

Still, crude oil for April delivery rose $1.15 to $35.95 a barrel on the New York Mercantile Exchange, after news reports of the fire. It finished the day at $35.58 a barrel, up 84 cents for the day. Earlier, in London trading, Brent crude from the North Sea finished at $32.27, up 71 cents.

The fire broke out as U.S. crude supplies are already at their lowest level since 1975 and crude, gasoline and heating oil inventories are all below what the industry considers essential for smooth operation, the government reported last week.

The United States has not been getting the massive supplies of imported crude oil from Venezuela because of political turmoil and a nationwide strike there that began in December.

Prices also have been sensitive to worries about a war with Iraq and Middle East oil supplies.

As a result, analysts said, any news about the oil markets will cause rumbles, regardless of the long-term impact.

"There's this heightened effect on the market," Silliere said. "Everybody is ready to jump on the latest news.

Elsewhere on the Nymex, March heating oil contract rose 4.98 cents, or 5 percent, to $1.10 a gallon, while the March unleaded gasoline gained 4.7 cents, or about 5 percent, to trade at $1.01 a gallon. Natural gas for March delivery surged nearly 7 percent, or 44.4 cents, to $6.606 per 1,000 cubic feet.

"The market shot up when they thought it was a refinery fire and perhaps there was some other concerns that it could have been terrorist related," said Kloza.

A fire at an oil refinery, rather than a storage facility, would have had a far greater impact, analysts said. Refineries contain much more oil than terminal facilities, such as the Port Mobil, and they house expensive manufacturing equipment.

One person was killed in the explosion, another was critically injured and a third was missing, officials said.

The destruction of the facility quickly affected wholesale oil prices in local New York markets. In Albany, independent heating oil distributors increased their prices by 7 cents to $1.20 a gallon, said Silliere, who tracks the spot market. Small businesses getting supplies of heating oil Friday morning would have seen a quick pop in prices.

The Port Mobil facility is a vital link to oil supplies for the Northeast. It stores oil products taken off the Colonial pipeline, which brings supplies to the region from refinery centers in Louisiana and Texas. The Port Mobil stores the oil product in tanks, then it is loaded into barges that ferry the gas and heating oil to regional distributors.

The fire knocked the Port Mobil out of commission. "Oil products are trapped there for some time because the only way out is barge and barging capabilities are destroyed," Silliere said.