The price of crude oil has always been volatile, serious storms that threaten infrastructure, civil unrest in producing countries and even the mere announcement by the president of eliminating the ban on offshore drilling can significantly influence the price that crude fetches on the open market. So yes crude oil prices and the cost of its refined products have risen due to hurricanes striking oil rigs, pipelines and refineries. Even the threat of such an encounter can cause an upward bump in the price.Did the price of oil go up with some of the other large storms like Andrew in the past?
No. It has been a situation exacerbated by America's reliance on oil from the Gulf of Mexico, as its land based wells have dried up.
A big hurricane can threaten dozens of rigs in the gulf.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment