Issues on the Colonial Pipeline pressured prices higher in much of the Southeast with the Carolinas topping the nation’s list of largest weekly increases: Alabama (+8 cents), South Carolina (+7 cents), North Carolina (+5 cents), Georgia (+3 cents).
North Carolina’s current average is $2.21, while South Carolina’s current average sits at $2.11.
The pipeline issues have also caused Georgia to make an unusual showing on the list of most expensive markets in the country, with an average price of $2.35. Recent reports from OPIS state that the worst is over for parts of the Southeast impacted by the initial shutdown of Colonial Pipeline on Sept. 9, and supply distribution should move to normal levels throughout the week.
Crude oil prices rallied Monday morning due to speculation about output reduction talks between Saudi Arabia and Iran. Attention is now focused on members of the Organization of the Petroleum Exporting Countries (OPEC) next meeting, scheduled for Sept. 26-28, where the cartel may agree to a production freeze or continue its current course of action and refrain from cutting production to maintain market share.
These countries will meet informally while also attending the International Energy Forum in Algeria. The upcoming talks are the organization’s second attempt to negotiate a production freeze, after a failed meeting in April. OPEC last agreed to reduce supply in 2008 and traders will continue to watch how discussions progress this week. At the close of Friday’s
formal trading session on the NYMEX, WTI closed down $1.84 to settle at $44.48 per barrel.
AAA Carolinas, an affiliate of the American Automobile Association, is a not-for-profit organization that serves more than 2 million members and the public with travel, automobile and insurance services while being an advocate for the safety and security of all travelers.