September 24, 2018

Average Kan. per-gallon price up 4 cents to $2.70; regional refinery maintenance blamed.

Topeka, Kan. - Despite a majority of states across America experiencing falling or flat gas prices, Kansas was part of a regional trend that saw prices at the pump rise over the past week. The average cost of a gallon of regular gas in Kansas rose four cents this week to $2.70. Several Great Lakes and Central states experienced increased gas prices due to shutdowns of a half dozen refineries in the region because of maintenance issues.

“Generally this time of year, we see gas prices that trend downward, and that is the case in much of the country,” said Shawn Steward, AAA Kansas spokesman. “The refinery issues in our part of the country just go to show you that retail fuel prices are always evolving, sometimes impacted by unexpected factors and, overall, hard to predict. Kansas does still fare very well, though, with gas prices 15 cents below the national average and 12th cheapest in the nation.”

Of the 10 Kansas cities regularly highlighted by AAA Kansas (see chart below), seven saw their gas prices increase, led by Salina (+10 cents), Garden City (+6) and Wichita (+5). Hays, Kansas City, Kan. and Lawrence all saw a 1-cent decline at the pumps.

According to AAA Kansas, this week’s Kansas gas price extremes are:
HIGH: Kensington (Smith County) – $3.01
LOW: Newton (Harvey County) – $2.56

National Perspective
Motorists in 32 states are welcoming cheaper or stable gas prices at the start of the workweek. Today’s national gas price average is $2.85, which is the same price as last Monday, one-cent more than last month and 27-cents more expensive than this time last year.

The latest Energy Information Administration (EIA) data reports that both U.S. gasoline demand and stocks declined signaling supply and demand are in sync post the summer. This is true for most regions, except in the Great Lakes and Central region where prices are increasing due to maintenance at a handful of refineries.

While the national gas price has remained stable throughout September, the price of crude oil started to increase in the last week.

“Crude oil prices pushed past $70/bbl for three days last week,” said AAA Kansas’ Steward. “If they trend above this level for a sustained amount of time, we could see a national trend reversal in pump prices meaning it may cost more to fill-up as we get closer to the end of the year.”

Today’s national gas price extremes:
High: Hawaii – $3.78
Low: Alabama and Mississippi – $2.53

Gas Price Trends in Select Kansas Cities


Today
Last Week
Last Month
Last
Year
Change Over Last Year
National
$2.85
$2.85
$2.84
$2.58
10%
Kansas
$2.70
$2.66
$2.63
$2.36
14%
Emporia
$2.68
$2.64
$2.59
$2.33
15%
Garden City
$2.68
$2.62
$2.62
$2.33
15%
Hays
$2.67
$2.68
$2.69
$2.35
14%
KCK
$2.75
$2.76
$2.68
$2.43
13%
Lawrence
$2.73
$2.74
$2.69
$2.45
11%
Manhattan
$2.69
$2.68
$2.66
$2.47
9%
Pittsburg
$2.67
$2.66
$2.67
$2.32
15%
Salina
$2.68
$2.58
$2.58
$2.25
19%
Topeka
$2.67
$2.63
$2.60
$2.38
12%
Wichita
$2.64
$2.59
$2.53
$2.29
14%






















Bordering states and rank in lowest gas prices around the country

State
Current Avg.
Rank Today
Oklahoma
$2.69
11
Missouri
$2.61
9
Kansas
$2.70
12
Colorado
$2.93
36
Nebraska
$2.79
19










Great Lakes and Central States Trends
Unlike most of the country, state gas price averages in the Great Lakes and Central region continue to trend more expensive. States in the region with the largest increase on the week: Kentucky (+6 cents), North Dakota (+5 cents), Indiana (+5 cents), Iowa (+5 cents), Minnesota (+5 cents), Illinois (+4 cents), Nebraska (+4 cents), Wisconsin (+4 cents), and Kansas (+4 cents). There was one outlier, Michigan (-5 cents), the only state to see prices drop in the last seven days.

Overall, the increase in gas prices can be attributed to planned and unplanned maintenance at half a dozen refineries in the region. In fact, total inventory in the Great Lakes and Central region sits at 52.3 million bbl according to the EIA. Despite being on par with levels this time last year, the 52 million mark is one of the lowest levels seen since Memorial Day Weekend this year. The low inventory is a contributing factor for the increasing gas prices.

Despite similar year-over-year inventory levels, some motorists in the region are paying in the neighborhood of 50-cents more to fill up compared to last September: Indiana (+58 cents), Ohio (+53 cents), Illinois (+49 cents) and Michigan (+46 cents).

Oil market dynamics
At the close of Friday’s formal trading session on the NYMEX, the WTI increased 46 cents to settle at $70.78. Oil prices jumped higher last week after EIA's report showed another decline in oil inventories, which now sit at 394.1 million bbl. The supply drop from the previous week's 396.2 million bbl has put another spotlight on limited global supply as fall approaches. U.S.-imposed sanctions on Iran and sharp reductions in economically stressed Venezuela are two factors driving concerns that this fall there could be major global crude supply challenges. If EIA's report this week shows another decrease in domestic crude stocks, oil prices are likely to continue their ascent amid continuing global supply concerns.

In related news, OPEC and its partners who have worked to reduce their combined total crude output since January 2017 met on September 23 in Algiers, Algeria, to discuss compliance with their production agreement. After the meeting, OPEC’s leaders confirmed that the cartel does not intend to increase crude production in the near future to offset global supply concerns.

AAA Mobile App
Motorists can find current gas prices along their route with the free AAA Mobile app for iPhone, iPad and Android. The app can also be used to map a route, find discounts, book a hotel and access AAA roadside assistance. Learn more at AAA.com/mobile.

Manufacturing Summit A Huge Success for Manufacturers in Kansas

Topeka, Kan. - More than one hundred manufacturing professionals from across the state came together to hear advice from industry leaders, network, and learn about the newest innovations in Kansas manufacturing at an event held by the Department of Commerce last week.

There were presentations on a wide range of topics all throughout the day. Lectures either involved one speaker or a panel of several experts.

Speakers for the event included several professionals from various sectors of the manufacturing industry. Paul Jonas, Director of Technology Development for National Institute for Aviation Research (NIAR), gave a presentation on new 3D technology that will impact Kansas manufacturing, including augmented reality, additive manufacturing (commonly referred to as 3D Printing), and robotic automation.

“The Summit was a great success,” Darin Greseth, CEO, President and Chairman for BG Products, Inc., said. “The level of expertise on several unique topics was excellent. 

The information shared inspired each attendee to further evaluate their businesses for future growth, productivity and workforce development.  I look forward to the next Summit for even more insight.”

Later in the day, there was a panel on cyber security. Samuel Alva, Director of Business Development for Tricorps Security, told several stories of ways in which businesses could become compromised. He gave advice on how to keep a company safe, which included knowing your employees, being on the lookout for phishing emails, and even being more careful about where you leave your business cards.

There were several exhibits on display from local Kansas businesses and manufacturing groups, including representatives from the Kansas Chamber of Commerce, Principal Financial, The Mid-America Manufacturing Technology Center (MAMTC), KANSASWORKS, and Rocking M Media.

The event was made possible by several Kansas businesses who sponsored the event. These include:

Platinum Level Sponsors
•    Cox Communications
•    Kansas Gas Service
•    Koch Industries
•    NextEra Energy
•    Rocking M Media


Gold Level Sponsors
•    AT&T
•    Blue Cross Blue Shield KS
•    BKD
•    Holly Frontier
•    ITC


Silver Level Sponsors
•    Baker Tilly
•    Principal

Additional Info...

Oklahoma Farms Ready for National Alpaca Farm Days


Oklahoma City, Okla. - Oklahoma alpaca farms are opening their gates Sept. 29-30 to welcome visitors for National Alpaca Farm Days.

National Alpaca Farm Days provides people across the U.S. the opportunity to learn about alpacas up-close, tour working farms, learn about the alpaca industry and shop for alpaca products.

John and Sheila Robinson of Land Run Alpacas will join John and Janice Robinson of Just Right Alpacas at Land Run’s farm, 780596 S. Highway 18 in Agra, Oklahoma. Alpacas will be available for petting, feeding and selfies from 9 a.m. to 4 p.m., Sept. 29-30. The farms will also have Made in Oklahoma and U.S.-made alpaca goods for sale at the ranch store.

The Robinsons also plan to take their alpacas to Old Settlers Day in Perkins, Oklahoma from 8 a.m. to 1 p.m., Sept. 29. They will have a limited supply of alpaca goods for sale.

Terri and Kerry Bates of Magnolia Blossom Ranch and Gail Stymerski and Al Boyce of Answered Prayers Alpaca Ranch will welcome Farm Days guests at Magnolia Blossom Ranch, 2901 NW 16th St. in Newcastle, Oklahoma. From 10 a.m. to 6 p.m. on Sept. 29, they will have food trucks, inflatable activities, an alpaca obstacle course, tours of their small fiber mill, alpaca products for sale and, of course, alpacas. The ranch will also be open from 1 to 4 p.m., Sept. 30 for ranch tours and shopping.

For a complete list of participating farms and ranches or to learn more about the U.S. alpaca industry, visit www.AlpacaFarmDays.com.

Follow Just Right Alpacas, Land Run Alpacas and Magnolia Blossom Ranch on Facebook to learn more.

Can’t make it to National Alpaca Farm Days? Alpaca farms across Oklahoma are open to visitors year-round. Go to oklahomaagritourism.com to find an alpaca farm near you.

Oklahoma Agritourism is a program of the Oklahoma Department of Agriculture, Food and Forestry. Oklahoma Agritourism partners with agricultural producers to issue an invitation to sample the abundant bounty and natural beauty found in Oklahoma’s Growing Adventure. Learn more at http://oklahomaagritourism.com/ .

Unwanted Pesticide Disposal Program to be Held in Woodward


Woodward, Okla. - Pesticide applicators and dealers, homeowners, farmers, ranchers and gardeners are invited to participate in an Unwanted Pesticide Disposal Program from 8 a.m. to 1 p.m. Sept. 26 at the Woodward County Fairgrounds.

Funded by the Oklahoma Department of Agriculture, Food and Forestry, the program will allow Oklahomans to properly dispose of unwanted pesticides at the event. This valuable service will reduce the complications and costs often associated with pesticide disposal.

Unwanted pesticides are pesticides that are no longer usable for their intended purpose. They may be leftover, without labels and identifying information, or they may no longer be registered in Oklahoma. All pesticides – herbicides, insectisides and fungicides –  will be accepted. No other hazardous waste materials will be accepted.

The Unwanted Pesticide Disposal program has collected over 830,000 pounds of unwanted pesticides since it began in 2006,” said Ryan Williams, ODAFF pesticide certification and training administrator. “This gives companies, homeowners and producers an opportunity to properly dispose of outdated, unwanted and unused pesticides.”

Dealers are asked to pre-register through the OSU Pesticide Safety Education Program to allow the contractor to prepare for large quantities. Others are not required to pre-register for the event.

Participation is free for the first 2,000 pounds of pesticides brought per participant. After this limit is reached, the participant will be responsible for the additional cost of disposal, which will depend on the amount and type of pesticide.

The program is a service designed to remove unusable pesticides from storage and reduce the potential threat to public health and the environment. All participants will remain anonymous and will not be required to provide their names or any details.

“The Unwanted Pesticide Disposal program and its participants play a vital role in protecting our natural resources from improper disposal of pesticides,” Williams said.

Dealers can pre-register at www.pested.okstate.edu/html/unwanted.html. For more information, visit this website or contact Williams at ryan.williams@ag.ok.gov or 405-522-5993.