The US energy industry suffered more damage last night from tropical storm Harvey, and supply constraints could last for weeks with about a quarter of US fuel production halting.
The Beaumont / Port Arthur area of Texas, home to a number of large refiners, has seen more rainfall in the last 24 hours than any other part of the region since the storm began late last week, according to David Roth of the US Weather Forecast Center.
Harvey’s production disruption in the oil sector led gasoline futures prices to rise about 17 percent in the past week.
Harvey caused a total refining capacity of 4.2 million barrels, equivalent to what Japan consumes daily based on corporate reports and Reuters estimates.
The latest closures, which took place Tuesday evening and Wednesday morning, took place in Port Arthur and included the country’s largest refinery.
In addition to disruptions in the refining sector, rock oil production has declined sharply in Eagle Ford, Texas.