Second Jones Act Waiver Granted to Citgo After Colonial Outage
The Biden administration granted oil refiner Citgo Petroleum a maritime shipping waiver allowing it to move fuel between U.S. ports on a foreign flagged vessel, two sources told Reuters on Friday, making it the second company to secure one this week.The waivers are intended to help ease distribution of fuel after a major pipeline serving the U.S. East Coast was forced shut by a cyberattack last week, triggering widespread shortages of gasoline, diesel and jet fuel.The Department of Homeland Security had announced the second waiver on Friday…
Jones Act Waiver Granted to Valero After Colonial Shutdown
U.S. refiner Valero Energy Corp was granted a Jones Act waiver, sources familiar with the matter said on Thursday, after a cyberattack shut the Colonial Pipeline late last week, creating a fuel crunch in several parts of the U.S. Southeast and Northeast.Jones Act waivers are a key way to ensure fuel supplies reach some of the hardest hit areas as pump prices continue to surge while Colonial begins to ramp up flows on its pipeline network that transports more than 2.5 million barrels of fuel every day.The Jones Act requires goods moved between U.S.
Colonial Pipeline Demand at 2-Month Nadir
Demand to ship gasoline on Colonial Pipeline has sunk to a two-month low as Gulf Coast supplies are increasingly being exported or sent to the Midwest rather than to the New York harbor, three sources familiar with the matter said on Wednesday. Colonial Pipeline Co, the largest U.S. fuel network, has consistently allocated space for at least the past two months, meaning demand has exceeded capacity on the pipeline. But it would not ration space on its main gasoline line for the next five-day shipping cycle, known as "Cycle 2," the sources said, which suggests lower demand. Colonial spokeswoman Malesia Dunn said the company does not speculate on rumors. The sources could not speak for attribution because the information is not public.
Fuel Crunch Looms, Terminals in Path as Hurricane Matthew Nears US
The Southeast United States is expected to be hit with fuel shortages in the aftermath of Hurricane Matthew, as the storm barrels toward one of the largest energy-consuming regions in the country. Some states are already experiencing supply constraints as motorists fill up tanks as an emergency precaution. The region is not known for energy production, but there are significant storage facilities directly in the path of the storm that have already been evacuated. Roads in Florida…
Kirby Reports Record Results
Houston-based Kirby announced record net income of $22.6 million, or 85 cents per share, on record revenue of $224.9 million for the first quarter ended March 31. That compares with income of $13.3 million, or 52 cents per share, on revenue of $184.4 million for the same period last year. Kirby also declared a two-for-one stock split of its common stock. Stockholders of record on May 10 will receive one additional share of common stock for each share of common stock held on that day. The additional shares will be distributed on May 31. Retired pipeline executive David L. Lemmon has been elected to Kirby Corp.'s board of directors. Lemmon replaces Robert G. Stone, Jr., who passed away on April 18. Lemmon served as president and CEO of Colonial Pipeline Co.
