9 January 2023 | Macroeconomics

New York Harbour-bound pipeline is restarted after leak

A segment of a crucially important pipeline was returned to work by Colonial Pipeline Co. in the U.S. It took the company a day more than expected to fix the mentioned part of the pipeline that provides the US Northeast with fuel.

The return to operation was initially planned by the company on Saturday at noon Eastern time. However, the line resumed service only by 5:51 p.m. Eastern time on Sunday, once the repair works were finished.

It’s necessary to be reminded that the pipeline was shut on January 3 following a 60-barrel leak of diesel fuel caused by equipment failure. The incident had a limited effect on gasoline prices in the New York market, as stockpiles turned out to be sufficient due to low seasonal demand.

The event became another shutdown of the U.S. pipeline following the one of TC Energy Corp.’s Keystone, at which the largest onshore oil spill in 12 years had taken place in December. The Keystone pipe, with a capacity of up to 600,000 barrels per day supplying crude from Canada to the US Midwest, resumed full service only a week ago.

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