Mon, August 28, 2017 10:43 am

Heavy rain and massive flooding in southeastern Texas crippled Houston and its port and is causing significant service disruptions to rail operations. Road conditions are preventing access to rail facilities and only emergency-related travel is advised. Harvey landed as a Category 4 storm and the slow-moving storm is dumping up to three feet of rainfall in the area. Rainfall potential is highest in the area that includes the 650-MW Coleto Creek Generating Station, near Victoria, TX. The plant and its rail loop are in relatively low-lying areas, but no word yet on any possible damage. The South Texas nuclear plant appears undamaged and did not need to shut down. At least nine wind farms were shut and could be idled for days instead of hours, as Harvey lingers in the area. Dozens of oil and gas platforms were evacuated prior to the storm and at least three refineries and two petrochemical plants had suspended operations. Texas is home to 5.6 mm barrels per day (bpd) of refining capacity, Louisiana has 3.3 mm bpd. Over 2 mm bpd of refining capacity was estimated to be offline due to the storm. About 22%, or 379,000 bpd, of Gulf production was idled, with an additional 300K bpd of onshore production shut in. Spot prices for US gasoline futures jumped 7% to as high as $1.7799/gallon, the highest level in over two years.