![]() Outside of the refineries that remain down there was little impact to other infrastructure as the product pipelines continued to operate, leaving multiple southeastern terminals breathing a sigh of relieve. There may not necessarily be a need to rush repairs, but the downed refineries do want to be prepared to start producing product even though refining margins are considered poor at best. The cooling towers at the CITGO refinery sustained “significant damage,” sources close to refinery operations said, as did the other refineries in the area. That means that there is time to work concurrently and repair any damages to the refineries so the opportunity to begin restart operations is there once electricity is restored. Those three refineries downtime will ultimately be measured in weeks and not days like the others as high winds devastated the region.īefore restarts are even considered, utilities need to be back up and running and the “lights turned back on” and that may not happen until the end of September, beginning of October. The 440,000 b/d CITGO Lake Charles refinery and the 273,000 Phillips 66 Westlake refinery, along with the already mentioned 137,000 b/d Calcasieu refinery were not as lucky as the other refineries that were in Laura’s projected path. Two of the four plants, ExxonMobil Port Arthur and Motiva Port Arthur, had restarted most processing unites before the end of the long Labor Day weekend. Refineries there were in various stages of restart less than a week after landfall, with only utility constraints holding back refineries there getting back to planned output rates. The Beaumont-Port Arthur area of Texas was largely spared from the worst of Hurricane Laura. capacity shut down ahead of Hurricane Laura. According to the OPIS Refinery Maintenance Report, there was roughly 14% of total U.S. The larger chunk of the downed capacity was in the Beaumont, Port-Arthur area, with the country’s largest refinery, Motiva’s Port Arthur (607,000 b/d) shutting down ahead of the storm. Lake Charles accounted for about 850,000 b/d of that off-line capacity though it should be noted that the 137,000 b/d Calcasieu refinery had been idled earlier in the summer due to weak demand and low margins. Precautionary shutdowns at refineries in Lake Charles, Louisiana and the Beaumont-Port Arthur, Texas area ahead of the Laura’s arrival brought down some an estimated 2.65 million b/d of refining capacity in the region. Most recently Hurricane Laura barreled toward the Louisiana-Texas border in late August bringing with it something that has not happened since 2017 with Hurricane Harvey … With 19-25 named storms, 2020 has the potential to be a repeat of 2012 when there were 19 named storms. This Atlantic Hurricane season has been one of the most active on record and there is still another two months or so before the season officially comes to a close. Though not confirmed by Chevron, marekt source tell OPIS that Chevron has shut the 375,200 b/d Pascagoula refinery, while the terminal was shut on Monday September 14th. ![]() As of 2 PM ET on September 15th, OPIS has confirmed that Phillips 66 has shutdown its 269,140 b/d Alliance refinery in Belle Chasse, Louisiana. *Editor’s Note: Hurricane Sally is expected to make landfall late tonight or Wednesday along the Mississippi-Alabama coast.
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