August 27, 2008

HOUSTON (AP) -- It was nice while it lasted, but the brief respite for consumers at the gasoline pump may be coming to an abrupt end.

Look for prices to rise again if Tropical Storm Gustav slams into the petroleum-rich Gulf Coast and its numerous refineries, just as Americans begin packing their cars for the Labor Day weekend.

Gustav was downgraded from a hurricane to a tropical storm today after moving over Haiti. But forecasters expect it to regain strength and move into the Gulf of Mexico in a few days.

Oil companies with operations in the Gulf have begun removing nonessential workers from rigs, platforms and other facilities. Refiners are preparing, too.

So far, output has largely been unaffected. Still, oil prices spiked more than $2 to above $118 a barrel, rising for a third day as Gustav spun toward the Gulf.

Copyright 2008 by The Associated Press. All Rights Reserved.