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Gulf Coast refinery runs recovering

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Hydrocarbon Engineering,

The US Energy Information Administration (EIA) reports that gross inputs (refinery runs) to petroleum refineries in the US Gulf Coast averaged 8.8 million bpd for the week ending 20 October 2017.

This is approximately 324 000 bpd higher than the previous five-year range for mid-October, based on data in the EIA’s ‘Weekly Petroleum Status Report’ (WPSR).

The EIA notes that gross inputs in the region has been higher than the five-year range for much of this year until Hurricane Harvey made landfall in August.

The EIA’s ‘Today in Energy’ report said: “Hurricane Harvey’s most significant effect on petroleum markets was the curtailment of some refinery operations in Texas. Refinery operations rely on a supply of crude oil and feedstocks, electricity, workforce availability and safe working conditions, and outlets for production. As a result of Hurricane Harvey, many refineries in the region either reduced runs or temporarily shut down.”

For the week ending 1 September 2017, gross inputs to refineries in the Gulf Coast fell by 34% from the previous week to 3.2 million bpd. For the week ending 8 September, Gulf Coast gross inputs to refineries fell by another 263 000 bpd to 5.9 million bpd, the lowest weekly value since Hurricanes Gustav and Ike disrupted refinery operations in September 2008.

After several weeks of increasing refinery runs following Hurricane Harvey, they fell again during the week ending 13 October due to additional disruptions caused by Hurricane Nate.

The EIA concluded: “Overall, the magnitude and duration of Hurricane Harvey’s impact on Gulf Coast refinery runs has been similar to what happened following Hurricanes Katrina in 2005 and Gustav and Ike in 2008.”

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