Storm Warnings Impact Chemical Industry as Hurricane Francine Approaches

HOUSTON – Numerous chemical companies are closing plants in Louisiana and implementing precautionary measures as Hurricane Francine, now a Category 2 storm, nears landfall along the coast.

Roehm has temporarily shut down its methyl methacrylate (MMA) plant located in Fortier, Louisiana.

BASF initiated the process of idling its operations in Geismar, North Geismar, and Vidalia, Louisiana, on September 10.

Shell has ceased oil and gas production at its Gulf of Mexico facilities, including Perdido, Auger, and Enchilada/Salsa. However, Shell’s chemical production sites in Geismar and Norco, Louisiana, as well as Deer Park, Texas, were reported to be operating normally as of September 10.

As of the same date, operations at ExxonMobil’s Baton Rouge, Louisiana plant were ongoing.

According to the ICIS Supply and Demand Database, Louisiana accounts for over 25% of the total ethylene capacity in the United States and nearly 50% of the country’s vinyls chain capacity, encompassing polyvinyl chloride (PVC), chlorine, ethylene dichloride (EDC), vinyl chloride monomer (VCM), and caustic soda.

On the upstream side, the Bureau of Safety and Environmental Enforcement (BSEE) reported that approximately 38.56% of current US oil production and 48.77% of natural gas production in the Gulf of Mexico has been shut down.

The Port of New Orleans has closed operations, and rail companies are notifying customers of potential delays due to diversions following the port’s flood-gate closure.

Stay informed on Hurricane Francine and its effects on the chemical industry by visiting the topic page dedicated to Storm Season 2024.

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