TC Energy Corp.’s Marketlink oil pipeline from Cushing, Okla., to Nederland, Texas, was shut as flooding disrupted operations at U.S. Gulf Coast terminals, traders familiar with the matter said on Thursday.
Dangerous flash floods inundated parts of southeastern Texas on Thursday as Tropical Depression Imelda dumped the last of its rains, with the National Hurricane Center predicting rain totals up to 35 inches (89 cm) in some coastal areas.
Energy Transfer LP's Nederland terminal, located between Beaumont and Port Arthur, was also shut due to heavy rains, five market sources said.
The 750,000 barrels per day (bbl/d) Marketlink pipeline connects to the Nederland terminal, market sources said, forcing the line to be shut.
Energy Transfer and TC Energy did not respond to requests for comment.
Exxon Mobil Corp. shut its 369,024 bbl/d Beaumont, Texas, crude oil refinery on Thursday because of flooding from Tropical Storm Imelda, sources familiar with plant operations said.
Other refineries in southeast Texas cut back production as heavy rain continued to fall for a second day from Houston to western Louisiana.
Argos is set to become BP’s fifth operated platform in the GoM and the first new platform since Thunder Horse began production in 2008, the company said.
The biggest increase is set to come from the Permian Basin, where oil output is expected to reach its highest since April 2020, the EIA said in a monthly forecast.
The largest change to the U.S. rig count in the last week was in the Anadarko Basin, where six rigs were added—all additions came from previously inactive companies firing up a rig.