Font Resize
For Navajo Refining's website, click here.
For the American Automobile Association Daily Fuel Gauge Report website, click here.
For current gasoline prices in New Mexico, click here.
LAS CRUCES - There is yet another after effect of last week's severe weather, and it's begun to hit Las Cruces motorists in the pocketbook.
With production halted at two regional refineries, gasoline supplies throughout southern New Mexico are tight. As a result, gas prices have spiked in Las Cruces, reaching the $3-plus level for the first time since 2008.
"(The weather) shouldn't have affected anything," said Richard Westerman, of Las Cruces, of the tighter supplies, as he pumped diesel into his pickup truck Wednesday at the Pic Quik on Sonoma Ranch Boulevard, adjacent to U.S. Highway 70. "I don't think there is a gas shortage. It's just another excuse to gouge us, that's all it is."
The average price for a gallon of self-serve unleaded was $3.02 Wednesday in Las Cruces, a five-cent jump from Tuesday and 17 cents more than a month ago. The apparent cause of
"It's really had a trickle-down effect on everyone," said Oscar Andrade, owner of 20 Pic Quik Stores in Las Cruces and Hatch. "With those two refineries down, its forced stores that do business with those refineries to look elsewhere for their gasoline.
"...It's not gouging on our part; we're really at the mercy of our suppliers."
Gary Hanson, president of Western Refining, said Wednesday afternoon that the refinery bought gas and oil last week, before the plant shut down, to have enough inventory to fulfill the needs of its customers who have contracts with Western Refinery. But he agreed gasoline supplies were tight, and said Western Refining was preparing to resume operations.
"Hopefully that can happen as soon as (today)," Hanson said. "I also understand that Navajo Refining is getting ready to resume its operations, perhaps as soon as next week. Supplies are tight, and could be for a few more days, but I'm confident there isn't going to be a huge long-term problem."
Tight gasoline supplies became an issue in Silver City on Tuesday, when three stations selling Chevron brand gasoline apparently ran out of gas. A sign at one station notified customers that: "Due to power outages caused by last week's storm, gas production is behind. We will be temporarily out until they are able to catch up with production."
Hanson said Western Refining supplies Chevron and Shell brands, but does not directly deliver to retailers.
Andrade said tighter supplies have increased prices because refineries can charge higher prices for the gas as well as additional delivery charges for bringing gas from refineries that have supplies to sell. Pic Quik gets its Fina brand of gas from a refinery in Big Spring, Texas, and delivery charges have gone up.
"That's amounted to another 10 cents a gallon in delivery fees," Andrade said. "We have no choice but to pay it."
Pic Quik Stores sell an average of about 60,000 gallons a day of gasoline, making it the single-largest retailer of gasoline sales in Las Cruces. Two of Pic Quik's 20 stores ran out of gas Tuesday, and Andrade was able to get more - but it came an increased price.
"Even at an average price now of $3.09 a gallon we're breaking even at best, or losing money," Andrade said. "When gas prices go up like this it affects our inside sales. People don't have as much money to come in and buy like they otherwise would be able to."
Because of the large amount of gas Pic Quik Stores sell every day, tankers have apparently had to make several deliveries a day to the stores.
"(El Paso) did have a water problem and the refineries use a lot of water. I don't know if that has something to do with (Western Refinery shutting down)," said Jesus Rivera, a fuel truck driver, from El Paso. "We had trouble loading the fuel because of the weather. (But on Wednesday) I didn't have any trouble."
Andrade said the worst thing motorists could do is panic. Although gasoline supplies are tight, there were no widespread shortages reported throughout New Mexico. Motorist panic, and changes in their buying patterns for gasoline could drive the price of gas even higher, he said.
Silver City Sun-News Bureau Chief Christine Steele contributed to this story.
Steve Ramirez can be reached at (575) 541-5452.
Driving tips
•Prepare your car for winter. Try to maintain a full tank of gas and fresh anti-freeze, and carry the following items in your trunk: a properly inflated spare tire, wheel wrench and tripod-type jack; a shovel, jumper cables, tow and fire chains, a bag of salt or cat litter, and a tool kit.
•Be prepared with a "survival kit" that includes: a working flashlight and extra batteries; reflective triangles and brightly-colored cloth; a compass; a First Aid kit; an exterior windshield cleaner; an ice scraper and snow brush; wooden stick matches in a waterproof container; scissors and string or cord; non-perishable, high-energy foods like unsalted canned nuts, dried fruits, and hard candy.
•If you do have to pull over, move your vehicle off the road. Never park on the shoulder for any reason except an emergency.
•Monitor weather forecasts and plan a route around inclement weather.
