Oil prices fall as pipeline supply concerns ease

Friday, October 19, 2012, Vol. 36, No. 42
The Associated Press

The price of oil is falling after TransCanada reaffirmed its plans to restart a pipeline this weekend that carries crude from Canada to the Midwest.

Benchmark oil dropped 47 cents Friday to $91.63 per barrel in New York.

TransCanada closed the 2,100-mile Keystone pipeline Wednesday after tests showed possible safety issues. A company spokesman says no leaks have been detected. It plans to restart the pipeline Saturday.

Oil traders largely consider the temporary closure to be a non-issue because U.S. supplies of oil are plentiful. Analysts don't expect any impact on pump prices.

AAA says the national average for gasoline fell 2 cents overnight to $3.715 per gallon. That's nearly 10 cents less than a week ago but still 24 cents more than last year at this time.