Fuel Supply Disruption
Accounting for 6% of the Midwest’s supply and 10% of Chicago’s gasoline, Sunday September 13th at 3:30PM Exxon Mobil’s Joilet, Illinois refinery was forced to shut down when flood waters affected a power failure and a pump. Although power was restored the same day; the crash initiated safety systems and relief flares to avoid catastrophe. Likewise, rising floodwaters overwhelmed a pump, forcing the refinery to deploy a containment boom while cleanup and stabilization occurred. As of September 18th 11:00 CST the refinery remained off-line.
Joilet refines 275,000 gallons of crude oil per day, producing 11 million gallons of gasoline and diesel per day. Joilet then ships across Illinois, Indiana, Iowa, Michigan, Ohio, Pennsylvania and Wisconsin by pipeline.
Exxon Mobil’s Joilet factory will resume production; but the longer the refinery stays off-line the bigger the impact on Midwest gasoline and diesel prices, and USA broader supply. Joilet’s shutdown also exemplifies supply vulnerability to an already strained fuel supply chain.
