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The hurricane is expected to make landfall late on 29 October
29/10/2012
Hurricane Sandy hits US refineries
More than two-thirds of East Coast capacity offline
Richard Jansen
SOME of the largest refineries on the US East Coast have been forced to shut down as companies brace themselves for the impact of Hurricane Sandy.
The hurricane is expected to make landfall late on 29 October or early the following morning, and is being described as one of the worst to hit the US mainland since records began. At time of writing, nine states have officially declared a state of emergency, while the US National Hurricane Center has warned of “life-threatening” storm surges along the coast. An estimated 66 people died when Sandy passed through the Bahamas.
Though the area likely to be hit by the hurricane – stretching from North Carolina to Maine – is not as rich with chemicals plants as the Gulf Coast some 600 km to the southwest, it is still home to several major refineries and other facilities.
Phillips 66 has confirmed that it is closing down its 238,000 bbl/d Bayway Refinery in Linden, New Jersey, in anticipation of “a significant storm surge.” The company, recently spun off from ConocoPhillips’ downstream division, is also closing its Riverhead and Tremley Point oil terminals, based in New York and New Jersey respectively.
The region’s largest refinery, a 330,000 bbl/d plant operated by Philadelphia Energy Solutions is also reportedly being closed as a precaution, as is Hess’ 70,000 bbl/d plant in Port Reading, New Jersey. According to Reuters, more than two-thirds of the East Coast’s refining capacity is now set to close until Hurricane Sandy has blown over. Depending on how the storm develops, and how badly it impacts the region’s electricity supply, it may also affect virtually all industrial activity along the East Coast.
“This is a serious and big storm,” says US president Barrack Obama. “This hasn’t hit landfall yet, so we don’t yet know where it’s going to hit, where we’re going to see the biggest impacts.”
Only two months ago, much of the US’ refining and petrochemicals industry was forced to close down as Hurricane Isaac struck the Gulf of Mexico, costing companies millions of dollars in lost production.
