Fuels

One Mile High, One Foot Deep

Denver retailers deal with gasoline, grocery run as snowstorm nears

DENVER -- A run on groceries and gasoline had consumers and retailers scrambling late last week as a second major storm in a week piled snow on the mile-high city of Denver.

Denver drivers braved the snow Thursday and lined up at pumps to fill their tanks, even as some gas stations ran out of fuel. Meanwhile convenience stores and grocery stores in the neighboring town of Greeley swelled with customers, as people stocked up in anticipation of the second blizzard, which dropped up to 12 inches of snow in some areas.

Gas [image-nocss] stations still reeling from the previous week's blizzard, which disrupted tanker deliveries for nearly three days and drove down fuel stock ran out of supply, according to a report in the Rocky Mountain News. Many stations reported sales were up 40% to 50%, prompting them to try to replenish their fuel supply twice during the day instead of getting the typical one delivery every two days.

"I heard we won't have gas for three to four days," said Jamie Ramirez, 39, as he filled up at a Denver Shell gas station. The station was selling regular unleaded at $2.11 a gallon.

A housekeeper at the Colorado Convention Center, Ramirez said many of his co-workers also were filling up because of supply fears.

Another Shell station in Broomfield ran out of premium gas by mid-afternoon, and a Texaco station didn't have regular unleaded gas, according to the report.

Some Phillips 66 stations ran out of regular unleaded during the day, but they sold midgrade and premium at the same price to cover the shortage. Suncor Energy (USA) owns the 45 Phillips 66 gas stations in Colorado as well as the state's only two refineries in Commerce City.

The refineries have a combined capacity of more than 90,000 barrels a day, of which 45 percent is gasoline and 30 percent diesel. The rest is heavier byproduct such as asphalt. Suncor supplies 35% to 40% of Colorado's gasoline and diesel market, the report said.

"Our plan was to try and have every (gas station) full to the brim by this evening because we anticipated tomorrow it would be difficult to deliver to the gas stations," Steve Douglas, Suncor's general manager of marketing, said Thursday. "What we didn't anticipate was that so many people would decide to have a full tank before the snowstorm."

Douglas said the refineries were fully stocked with fuel supply, as were the terminals across the metro area. As a result, pump prices in the Denver area remained flat Thursday at about $2.14 a gallon.

"This is not a crisis. There is plenty of gasoline," Douglas said. "We are trying to get it out to the stations before roads get really, really bad."

Roy Turner of the Colorado Wyoming Petroleum Marketers Association, which represents half the states' gasoline dealers, said he doesn't expect the supply crunch to get worse. "I think fuel consumption will be way down the next couple of days," Turner said. "As long as there's no panic buying, we will be all right."

Meanwhile, a run on groceries in the area kept many retailers busy inside their stores, according to a report in the Greeley Tribune.

Joseph Aragon, foodservice manager at Island Grove Regional Treatment Center in Greeley, spent $116 on pizza, pop and bread at a downtown Safeway. Im trying to get things ready, he said, pushing two shopping carts full of food to his car on Thursday. Its supposed to start today. I know were not going to be able to make it out. The area were in drifts real bad. Last week we couldnt get out.

Business was steady at the Safeway. It was busy yesterday and this morning, store manager Robin Schneider told the newspaper Thursday.

Business began picking up at 3:30 a.m. at the Everyday store and gas station in Greeley, said manager Sharon Robinson. It was steady all morning with people filling their gas tanks.

During the previous weeks blizzard, cars were lined up around the block to fuel up at one of the stations two pumps, Robinson said.

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