Alabama pipeline blast sparks worries about South gas prices

A fatal explosion has shut down a pipeline supplying gasoline to millions of people across the Southeast the second accident and shutdown in two months raising the specter of another round of gas shortages and price increases.
It happened when a dirt-moving track hoe struck the pipeline, ignited gasoline and sparked a blast Monday, killing one worker and injuring five others, Georgia-based Colonial Pipeline said.
Flames and thick black smoke continued to soar yesterday, and firefighters built an earthen berm to contain the burning fuel.
Four of the injured remained hospitalized, Colonial spokesman Bill Barry said at afternoon news conference yesterday in nearby Helena, Alabama. He had no updates on their conditions or the severity of their injuries. Another worker was treated at the scene, Barry said.

The explosion happened not far from where the Colonial pipeline sprung a leak and spilled 252,000 to 336,000 gallons of gasoline in September.
After the leak, the company used one of Colonial's two main lines to move gasoline as it made repairs, but it still led to days of dry pumps and higher gas prices in Alabama, Georgia, Tennessee and the Carolinas while repairs were made.

The contractors were working on repairs related to the September leak when gasoline ignited and spread fire to the pipeline, the US Pipeline and Hazardous Materials Safety Administration said yesterday.
The nine-member crew was using the track hoe to excavate the pipeline as part of preparation work so that permanent repairs from the September leak could be made, Colonial Pipeline executive Gerald Beck said. The machine struck the pipeline, touching off the explosion, he said.

The Colonial pipeline provides nearly 40 per cent of the region's gasoline and usually runs at or near full capacity. Together Colonial's two lines carry more than 2 million barrels of fuel a day.
By mid-day yesterday, Colonial Pipeline said it was able to restart the second of its two main lines, which carries diesel fuel and jet fuel. However, the company added that it anticipates that the main gasoline line will be closed the rest of this week.
The severity of the gasoline shortage will depend on how long the gasoline pipeline remains closed, AAA spokesman Mark Jenkins said.

Having both lines shut down for an extended period could have been "a worst-case scenario," said Patrick DeHaan, an analyst with price-tracking service GasBuddy.Com.