CP Chem to shut multiple crackers ahead of Hurricane Laura's landfall: sources

Houston — Chevron Phillips Chemical is shutting down its Port Arthur, Texas cracker in preparation for Hurricane Laura, sources said Aug. 26.

The unit's capacity of 855,000 mt/year, according to S&P Global Platts Analytics data.

Chevron Phillips is also shutting down its Cedar Bayou, Texas, crackers ahead of the storm, sources said.

The company's Cedar Bayou crackers 1 and 2 have capacities of 837,000 mt/year and 1.7 million mt/year, respectively, according to Platts Analytics data.

Chevron Phillips was not immediately available for comment Aug. 26, but said in a filing Aug. 25 with the Community Awareness Emergency Response online system there will be flaring at the Baytown facility.

Chevron Phillips' Cedar Bayou site was inundated with up to eight feet of water when Hurricane Harvey hit Houston, Beaumont, and Port Arthur in late August and early September 2017. The National Weather Service expects significant storm surges along the southeastern Texas and southwest Louisiana coasts with Hurricane Laura as well, prompting operators to shut even if they are not in the storm's direct path.

"Better safe than sorry. They're probably going to lose power, so it's better to shut down, and then they can restart quickly," said Rob Stier, senior lead for S&P Global Platts Analytics.

ExxonMobil is reducing operating rates at its Baytown, Texas, crackers in preparation for Hurricane Laura, sources said.

The company has three crackers at its Baytown facility with capacities totaling more than 3.7 million mt/year, according to Platts Analytics data.

ExxonMobil was not immediately available for comment Aug. 26, but said in a CAER filing Aug. 25 that there will be flaring at its facility in preparation for the coming severe weather.