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Gas prices spike in Michigan following refinery fire
It was only a month ago when falling gas prices were being celebrated across the Midwest. But now, Michigan's gas prices have climbed nearly 45 cents higher than the average.
(FOX 2) - And just like that, high gas headlines have returned to Michigan following another 19-cent jump in prices from a week ago. It now costs $4.36 per gallon in Michigan - more than a dollar higher than this time last year.
Though figures like that may not mean much considering gas prices have seen extreme fluctuations since last spring. The highest gas prices are in Lansing and Saginaw, while the cheapest are in Metro Detroit at $4.29.
That adds up to about $65 for a full tank of gas.
While global unrest has unraveled the oil market, it's been local issues that have driven up the regional cost. Pump prices in Michigan spiked after a refinery fire in Toledo left two dead in late September. The BP Husky Toledo plant refines some 160,000 barrels of oil a day. But due to an ongoing investigation into the blaze, it may not reopen until December.
That could mean a squeeze on supplies in the Midwest for months.
Another pressure point on U.S. energy supplies comes following reports that the oil cartel OPEC+ announced plans to cut crude production by 2 million barrels this fall. Though, any reaction to the move that some view as political may have already shaken out over fears of a recession that have been baked into economic worries in the U.S. for much of the fall.
MORE: Gas prices at the pump worsen, an expert from Triple A knows why
The U.S. has weighed boosting production elsewhere such as Venezuela where it could allow a Chevron-based plant to reopen. The amount of oil that could be produced would replace what's lost from other sources such as the Arabic region and Russia.