(Updates throughout with details on refinery activity)
NEW YORK Feb 8 East Coast refiners continued to
operate normally while fuel deliveries into the New York Harbor
were not affected as a major winter storm bore down on the
Motorists, mindful of the severe fuel disruptions after
Hurricane Sandy shut down refineries, pipelines and harbor
traffic, rushed to buy gasoline, leading to some shortages in
parts of New York City.
But so far, refiners reported no impact from the storm.
Phillips 66 said its 238,000 barrel-per-day (bpd) Bayway
refinery in Linden, New Jersey was operating normally. Hess said
its Port Reading plant, as well as its terminals, were making
preparations to maintain operations during the storm.
Both Port Reading and Bayway were shut during Sandy.
Coast Guard officials said shipping at the New York Harbor,
the delivery point for the U.S. gasoline futures contract, was
operating with only "first stage' restrictions due to higher
than normal winds.
Fuel deliveries were still being made into the New York
Harbor on Friday, the Coast Guard said.
"At this time, there are only first-stage restrictions due
to sustained gusts of wind above 25 knots (29 mph)," said Petty
Officer Erik Swanson, a Coast Guard spokesman
"Lightering and bunkering continues," Swanson added, saying
the Coast Guard will monitor the storm.
Sustained gusts of wind above 34 knots (39 mph) would lead
the Coast Guard to stop deliveries of fuel from barges in the
New York Harbor.
Restrictions in the Harbor require ships in anchorages to
keep their engines on and tug boats nearby in case they need to
be moved should winds get stronger.
A Reuters photographer reported at least three service
stations had run out of gas in the borough of Queens on Friday
morning, with long lines forming at others.
"We've seen some lines at stations in the southern part of
the state ahead of the storm, which may actually help prevent
problems after the storm," said Ralph Bombardiere, executive
director of the New York State Association of Service Stations
and Repair Shops.
"I'm not expecting anything like the vast power outages and
problems we had with Sandy."
Oil traders around the New York Harbor, which is the
delivery point for the benchmark RBOB gasoline and
heating oil contracts, said the storm was having little
impact on fuel prices in the physical market.
On the New York Mercantile Exchange, RBOB and heating oil
futures were both up around 1.5 percent near $3.05 a gallon and
$3.24 a gallon respectively, in line with a rise in Brent crude
(Reporting By David Sheppard, Robert Gibbons, Kristen Hays,
Sabina Zawadzki, Erwin Seba and Cezary Podkul; Editing by Todd
Eastham; editing by Andrew Hay)