Northeastern suppliers admit that they are concerned about meeting the demand of the market over the next 10 days. Colder than normal temperatures are forecast for the period, and there are widespread outages at terminals from Newark and Philadelphia north to Portland and Bangor, Maine. Rack suppliers and heating oil retailers do not believe that any homeowners or end-users will run out of fuel, but they believe that there could be retail diesel outages--suppliers are dyeing their diesel so it can be used in the heating sector.

Whatever the reason we are in for fuel shortages and much higher prices including surcharges and down right transportation slowdowns to 'essential' hauling only (read that "those who are willing to part with big bucks to assure delivery").

But we will always hear this refrain...

"IT ISN'T Y2K RELATED!!!"

No sir. How could we think so!

We are seeing a weekly draw down rate of 7-10% on NG reserves as well. That means ... {fill in the blank} ... plastic and resin shortages since NG is the feed stock for these chemical mills to produce plastic materials.

Remember, its a 'pipe line' not a 'warehouse'. Last week no shortages just higher prices. This week shortages. Next week??? Ripple effect.

If you are in the North East and can buy and store kero, diesel or gasoline, you had better get to it soon.

-- ..- (dit@dot.dash), January 21, 2000

Answers

Sorry. The first paragraph was the snipped portion.

-- ..- (dit@dot.dash), January 21, 2000.

Dit: Praytell, what terminals in Newark does OPIS say are suffering outages?

-- Harbor Guy (HarborGuy@OnThe.Waterfront), January 21, 2000.