Union extends strike deadline in talks with U.S. oil refiners

A potential strike that could boost gas prices was put on hold for 24 hours Saturday night.

About 24,000 members of the United Steelworkers of America who work in U.S. oil refineries were set to walk off the job at midnight.

But Saturday evening, the union said that enough progress had been made in talks with the refiners to extend the deadline for 24 hours.

Several companies, including the largest U.S. refiner, Valero Energy, and BP said they would close some capacity. But others, including Shell and Exxon, said they would stay open using nonunion workers.

The chance of a strike increased after union negotiators rejected the company offer of a 2.5 per cent increase in each of the next three years on Thursday.

Refiners have been reducing capacity as U.S. consumers drive less. That and the possible strike have been pushing up the price of gasoline futures.