Valero Says Texas City Refinery Starts After Power Loss

Valero Energy Corp. (VLO) said it has restarted the production units at its refinery in Texas City, Texas, and is moving toward planned rates after a power loss.

Valero’s refinery and Texas City plants owned by BP Plc (BP/) and Marathon Oil Corp. (MRO) lost power early May 27. Bill Day, a spokesman for Valero in San Antonio, declined to estimate when Valero’s refinery would be operating normally.

The three refineries, with combined crude oil processing capacity of more than 800,000 barrels a day, represent almost 5 percent of U.S. refining capacity. The power outage was the second since April 25 and occurred the day before the beginning of the three-day U.S. Memorial Day holiday, the traditional kickoff of the summer driving season.

Scott Dean, a BP spokesman in Chicago, said on May 27 that “our operations are normal now and there was minimal impact.” Shane Pochard, a spokesman for Marathon based in Findlay, Ohio, declined today to comment on the Marathon refinery’s status.

The blackout appeared to be the latest failure related to lack of rain that clears lines of heat-trapping deposits, Terry Hadley, a spokesman for the Public Utility Commission of Texas, said on May 27.

To contact the reporters on this story: Barbara Powell in Dallas at

To contact the editor responsible for this story: Dan Stets at

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