Hurricane Beryl’s Landfall in Texas Disrupts Energy Sector and Causes Power Outages

Hurricane Beryl made landfall near Matagorda, Texas, with winds reaching up to 80 mph, impacting the heart of the US energy sector. Texas, as the largest producer of oil and gas in the US, faced disruptions in refining and production as key ports like Corpus Christi and Houston closed in preparation for the storm.

Despite being downgraded to a tropical storm after landfall, Beryl continued to pose threats as it moved across eastern Texas towards the Lower Mississippi Valley and Ohio Valley.

The storm’s impact on energy markets was notable, with US crude futures settling lower due to eased global supply concerns amid hopes for a ceasefire in Gaza. However, major refineries along the Gulf Coast reported minimal impacts, suggesting that regional supply disruptions were avoided. Phillips 66’s facility in Sweeny, Texas, was directly in Beryl’s path and was still assessing damage post-storm.

The power sector also felt Beryl’s effects, with over 2.7 million homes and businesses in Texas losing power. CenterPoint Energy reported significant outages affecting their customers across southern and eastern Texas. Houston experienced flooding and wind damage, leading to casualties, including fatalities caused by falling trees.

In preparation for Beryl, the Port of Corpus Christi, a crucial crude oil export hub, suspended operations, as did the ports of Houston, Galveston, Freeport, and Texas City. While the Corpus Christi Ship Channel reopened by midday Monday with minimal impact, operations at the Port of Houston remained suspended pending improved weather conditions.

Offshore, companies like Shell and Chevron evacuated personnel and shut production at Gulf of Mexico platforms. The Gulf region accounts for about 14% of total US oil production, although specific shutdown quantities were yet to be determined.

Hurricane Beryl’s landfall in Texas caused significant disruptions to energy infrastructure and daily life, prompting widespread evaluations of damage and recovery efforts in the affected areas.