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ExxonMobil Baytown fire caused by hole in reactor

10.04.2012  |  HP News Services

ExxonMobil said this week's fire at its massive Texas refinery will result in some impacts to production, but it still expects to meet contractual agreements. All remaining refining operations are normal.

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By ROSE MARTON-VITALE

ExxonMobil said Thursday a fire at an unspecified process unit at its Baytown refinery in Texas late Wednesday will result in some impacts to production, but added that it expects to meet its contractual agreements.

The fire that broke out at 5:00 p.m. local time Wednesday was extinguished by ExxonMobil's on-site emergency responders by 8:30 p.m. It was confined to one unit.

ExxonMobil said in a filing to the National Response Center that the fire was caused by a hole in a reactor. The filing didn't identify the unit involved.

All remaining refining operations are normal, company spokeswoman Rachael Moore reiterated in an emailed statement.

There were no injuries associated with this event and air-quality monitoring around the complex and in the community has revealed no adverse impact.

An investigation is under way to determine the cause of this incident, Ms. Moore added.

Cash market refined product pricing premiums have moved up on speculation of tightening supply due to this fire, traders said.

Ultra-low-sulfur diesel fuel for prompt 57th-cycle Colonial Pipeline delivery has traded to 8 cents/gal over November Nymex heating oil futures, up from 6.5 to 7 cents over the day before.

Prompt 57th-cycle delivery of M3-grade regular conventional gasoline traded 1.25 cents up on the day, at 13.25 cents over November Nymex RBOB.

The Baytown refinery, a five-square-mile complex that produces fuels and petrochemicals, has a capacity of 584,000 bpd, making it the largest operating refinery in the US and one of the largest in the world.


Dow Jones Newswires



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