Gasoline prices in the United States could soar to seven-year highs due to a recent ransomware attack on the country’s biggest pipeline, according to Bloomberg.
- U.S. gasoline prices averaged $2.96 a gallon on Friday, according to the American Automobile Association Inc.
- Pump prices were not expected to pass the $3 average last seen in October 2014 until the start of the summer driving season at Memorial Day end-May.
- Colonial Pipeline was hit by a ransomware attack late Friday, driving concerns on disruptions. It covers some 2.5 million barrels a day.
- Colonial operates the biggest pipeline in the United States for gasoline, diesel, and jet fuel produced by refiners in major areas between Atlanta and New York.
- Prior to the attack, New York recorded ample supply, which could weather the disruption.
- Gasoline stockpiles in the East Coast were also hovering five-year seasonal averages end-April.
- A commodity analyst said a prolonged disruption could result in some dislocations.