Authors: Owen Seba and Arasi Somaseka
HOUSTON (Reuters) – The U.S. Coast Guard warned that Texas ports from Corpus Christi to Houston could close and begin restricting vessel traffic due to Tropical Storm Beryl, which is expected to hit the U.S. on Monday. It became a hurricane before making landfall in Port Lavaca in the morning.
The port closures could temporarily halt crude oil shipments to refineries and motor fuel shipments from those plants.
On Saturday afternoon, the Coast Guard captain at the Port of Corpus Christi set “Yankee” port conditions, restricting vessel movement within the port from Matagorda Bay, 101 miles (163 kilometers) southwest of Houston to the U.S.-Mexico border. .
Citgo Petroleum Corp. is cutting output at its 165,000 barrels per day refinery in Corpus Christi, Texas, ahead of Beryl approaching the Texas coast on Saturday.
Citgo plans to keep its Corpus Christi refinery operating at minimum production as the storm moves along the coast and is expected to make landfall at pipeline hub Port Lavaca.
Oil producer Shell said late Friday it had completed the evacuation of workers from its Perdido production platform in the U.S.-administered Gulf of Mexico ahead of the storm.
Perdido’s production was shut down ahead of the evacuation. Shell said it was also evacuating workers from the Whale platform, where production will begin later this year.
Gibson Energy Corp (TSX: ), which operates a large oil terminal in Corpus Christi, said operations are continuing but further steps will be taken based on forecasts.
The National Hurricane Center said the storm was moving on Saturday with maximum sustained winds near 60 mph (95 kph).
The latest forecast shows Corpus Christi will be in the drier part of the storm, with the lightest winds and the least rainfall expected. But beryl can bring strong winds to ports, which is why the Coast Guard restricts traffic or closes ports.
Most of the offshore oil and gas production in the Tonkin Gulf lies east of Beryl’s forecast orbit.
According to the U.S. Energy Information Administration, daily offshore production in the U.S. Gulf of Mexico is about 1.8 million barrels, accounting for about 14% of total production. Any impact on supply could push U.S. oil and offshore crude prices higher.
Petroleum Major Chevron The company, one of the largest U.S. offshore producers, said on Friday that production at its operating assets remains normal. But it has evacuated non-essential personnel from some facilities in the Gulf of Mexico.
murphy oil co. (NYSE: ) said it had not yet shut down production or evacuated personnel and continued to monitor the storm.
