Thursday September 22, 2005 
Thursday September 22, 2005
Exxon Mobil shuts biggest US refinery
Exxon Mobil on Thursday told Texas regulators it was shutting its Baytown, Texas oil refinery which at 557,000 barrels per day is the largest refinery in the United States. "Shutdown of Baytown refinery operating units in preparation for Hurricane Rita," Exxon reported to the Texas Commission on Environmental Quality.
(2005-09-22 22:29:08 SGT)
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More fun. Pascagoula and Belle Chasse are still shut down from Katrina, and now we've got to shut down the refineries in the Houston/Galveston areas in preparation for Rita.
According to the Oil & Gas Journal, there are nine refineries in the Houston and Galveston areas with a combined capacity of almost 2.4 million barrels per day. Shut them down, along with the 0.9 million barrels per day of refining capacity still offline from Katrina, and what do you get? Hint - the total capacity of US refineries is about 16 to 18 million barrels per day, and the US imports very little finished product.
For some reason, many of the American media still don't understand that the immediate problem is not about the availability of crude; it's about the availability of finished product. I saw a TV commentator this morning complaining, "Crude oil prices are down, why is gasoline still so expensive?"
Posted by Doug on September 23, 2005 at 01:15 AM SGT #