Alltop, all the top stories
February 6, 2013

Talks to Resume Over Iranian Nuclear Program


In a potentially promising move, talks are scheduled to continue on the subject of the Iranian nuclear program. If successful, negotiations could calm tensions over the contentious Strait of Hormuz – but it is too early to tell if any progress will be made. The Los Angeles Times suggests an air of distrust surrounding the talks:

“International concerns have been rising in recent months, amid signs that Tehran is edging closer to a nuclear capability. Diplomats acknowledge that if the two sides don’t make progress within the next few weeks there may be a long interruption in the talks because of the approach of presidential elections in Iran in June.

A senior U.S. official said the agreement was ‘positive’ but added that ‘we’ll be looking to see if they are prepared to engage seriously.’

But a senior Iranian official was quoted questioning Western motives in the negotiation, suggesting that some officials in Tehran may not be in a mood to make a deal.”

As of this moment, the relatively promising developments on this front – along with the success of the French mission in Mali – seem to be keeping oil prices from spiking even higher. Given that we are expecting price increases as the spring months already, the prospect of the talks in Iran falling through shortly before their Presidential election in June could be devastating.

Filed under:Fuel Cost Control,Hedging,Price Shocks | by Eyes on Energy @ 1:52 pm | 

January 30, 2013

Bank of America Reports Pop in Oil Prices


A Bank of America commodities memo from January 29 reports a jump in oil and gas prices, led primarily by RBOB Crude Oil.

“The oil complex, led by RBOB, ripped higher yesterday on news that Hess would be closing its Port Reading, NJ refinery by the end of February. RBOB prompt cracks rallied $2/bbl and Cal13 structure gained 5 cents/gallon when the news hit the wire. The closure takes 50-60k bbls/day of gasoline production out of Padd 1 going into the summer, with Girard Point already going into turnaround for 45 days on Wednesday. Though not a game changer, this exacerbates the already short supply situation in Padd 1, a region that typically cannot resupply itself during the summer. With demand performing decently well and production clearly on the seasonal down slope, the Padd 1 gasoline outlook is very strong. Heating was initially dragged higher on the news but was sold quickly, with cracks closing at previous lows and spreads nearly unchanged.

WTI and Brent followed RBOB as well, gaining 90c and 50c, respectively. However, crude too was unable to hold the gains, coming off $1.20-$1.30 from the highs as producers took advantage of the spike to sell flat price. Crude eventually rallied back to unchanged over the remainder of the session, settling up 56c in WTI and 20c in Brent. WTI Dec13/Dec14 continues to rally, widening by another 20c, its highest since September 2012.”

In doing so, the Bank of America highlights something that we at Pumps have been saying for a long time. Underlying supply issues in gas and oil markets continue to expose themselves whenever the smallest of price shocks occur. Even during what ought to be a cyclical period of relative decline, prices continue to shoot up at unpredictable intervals. What is predictable, however, is the need for protection against these events.

Filed under:Causes and Solutions,Fuel Cost Control,Fuel Price Hedging,Gas price,Hedging | by Eyes on Energy @ 9:48 pm | 

June 26, 2012

New Gas Promo


Listen up, Loyal Readers,

I am paying 20 cents less than you are at Shell stations in my (Chicago) area. Hard work and research, you may ask? No. This one slapped me in the face. A new promotion popped up at my local grocery store. For every $50 I spend, I save 5 cents/gallon at participating gas stations.

Who knows how long this will last, but you know what? If you have a fleet of cars, trucks or buses that you have to fill up with gas, AND your drivers don’t have a loyal shopper card for my grocery store, you have an opportunity any time you want to take it.

You can hedge your fuel prices by contacting

Think gas prices are heading down for the long term? Seriously?

Oh hey, let me know about any other great gas deals you come across. Thanks!

Filed under:Fuel cost,Fuel Price Hedging,Gas price,Hedging | by Pump Girl @ 6:34 pm | 

March 2, 2012

Truth or Dare


The price of oil spiked yesterday at the end of the day on rumors of a pipeline explosion in Saudi Arabia. Officials denied the report. Gosh, a little bad news sure sends oil prices up,up, up.

What about Iran’s nuclear program? I’m worried.

How about Israel and its new ballistic interceptor missile? Iran’s not gonna like that one. More worries.

“The Iran crisis has led to a sharp rise in the oil price since the beginning of the year,” said a report from Commerzbank in Frankfurt. “Concerns about supply disruptions are likely to persist for some time, justifying a longer lasting risk premium on the oil price.”


Filed under:Fuel cost,Gas price,Hedging | by Pump Girl @ 2:01 pm | 

September 9, 2011

Republican Candidates Mention Gas Price


The subject near and dear to my heart was mentioned briefly in the Republican candidate debate on Wed. night.

Michelle Bachmann noted that gas was $1.79/gal when Obama took office, and she says it’s possible to get back there. (News Flash Rep. Bachmann: Gas was $0.35 when I bought my first car. Kept hoping we would get back there, but..)

Don’t forget the day that President Obama took office, gasoline was $1.79 a gallon. It’s entirely possible for us to get back to inexpensive energy.

Gov. Huntsman from Utah said we are paying for more than just the gas of gas when we fill up our tanks. The price includes tax shipping and handling, so to speak.

When you add up the cost of troop deployments, when you add up the cost of keeping the sea lanes open for the importation of imported oil, the bulk and distribution and terminaling costs (ph), it’s $13 a gallon, so says the Milken Institute.

All agreed $2 gas would be better for everybody and better for the economy.

Get real people! $2, $3, $4 gas at a price over which we have no control or guarantee! I’d just like to know what it will be so I can budget and plan the rest of my life. Let’s hedge.

Filed under:Fuel cost,Fuel Cost Control,Fuel Price Hedging,Fuel Price Trends,Gas price,Hedging | by Pump Girl @ 11:18 am |