Tesoro Corp. agreed to buy BP Plc’s California oil refinery and 800 gasoline stations in the Southwest for $1.18 billion, paying a below-average price for the facility as fuel costs soar in the region.
Even as the U.S. produces more oil than at any time since 1992, gasoline remains a dollar higher than the average for the past decade in part because of George W. Bush-era rules that attach a 38-digit Renewable Identification Number to every gallon of ethanol.
A blaze at Venezuela’s largest refinery spread to a third storage tank as firefighters try to contain flames burning since an Aug. 25 gas explosion killed at least 48 people. Gasoline prices rallied in New York.
Enbridge Inc.’s plan for a pipeline to carry oil-sands crude from Canada to the Texas Coast may gain a competitive advantage from the U.S. State Department’s demand for further study of TransCanada Corp.’s rival Keystone XL line.
Growth in North American crude production has created sufficient demand for both the Keystone XL pipeline and a competing project to move oil from storage in Oklahoma to the Gulf Coast, TransCanada Chief Executive Officer Russ Girling said.