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Hurricane Harvey Leading to Gas Runs Around Texas

Major oil refineries in Texas located on the Lone Star State’s Gulf Coast have closed down operations post-Hurricane Harvey due to major flooding. Unfortunately, the shut downs have led to a gas shortage panic that is having a major effect on other Texans throughout the state.

Motiva’s Port Arthur Authority, the largest oil refinery in the U.S. producing 600,000 barrels of oil a day, had to suspend operations due to flooding and announced that it may not commence operations again until 2 weeks! In addition, the 2nd largest oil refinery in the country, ExxonMobil’s Baytown refinery complex which produces around 584,000 barrels of gasoline per day also shut down its operations after being damaged by the hurricane.

Fearing a shortage of gas, thousands of Texans throughout the week rushed to gas stations to fuel up, however, in the past recent days, the rationality behind this panic has been put into question. Texas Railroad Commission (TRC) Chairwoman, Christi Craddick addressed the the concerns via Twitter. Unbeknownst to some, the Texas Railroad Commission regulates the.oil and gas industry rather than the railroads of Texas. Accordingly, as the TRC Chairwoman, Craddick knowledge of the state of Texas’ oil supply is very much trusted.

Chairwoman Craddick stated on her Twitter that there was not a gas shortage, and suggested that the issue is rather logistical in nature and regards the transfer of gas to stations. Craddick further stated that Texans can however expect a price increase anywhere from $0.05-$0.35 at the pump over the next coming weeks.

Overall, even though state officials contend that there is not a significant gas shortage, there is no doubt that closing the two largest oil refineries in the U.S. will have a significant effect on the energy industry at least nationwide. Although natural disasters unfortunately cannot be prevented, the broad range of their effects can be lessened to a certain extent when a state has outside aid to its vital industries. As an economic ally to Texas and as a nation that is beginning to become a viable player in the energy arena, Israel would be a great oil ally for Texas to work with in the pursuit of ensuring gas security should such a need arise in the future.


Info. About Motiva:

No official timeline for Motiva refinery restart; Gas prices surge:

More gas heads to market as some refineries come back on-line:

Largest US refinery Motiva may be shut up to two weeks: Report

Texas Railroad Commission Chairwoman Says There is No Gas Shortage:

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