Wednesday, January 22, 2025

 

Permian Basin Oil and Gas Output Faces Disruption Due to Freezing Temperatures

By ZeroHedge - Jan 21, 2025
Texas is facing a major winter storm with extreme cold and snow, which could lead to record-breaking electricity demand.
ERCOT has issued a Weather Watch but anticipates having sufficient supply to meet demand.
Concerns remain about potential power grid strain and disruptions to natural gas production due to freezing temperatures.
Texas' top electricity regulator issued a "Weather Watch" from Monday morning through Thursday, citing "extreme cold weather" and the potential for snow, which could send electrical demand soaring across the state.
According to the National Weather Service, snow is forecasted to begin in Houston on Monday evening and accumulate to upwards of 4 inches by Tuesday. After the snow, frigid temperatures are expected to sweep in, bringing dangerously cold conditions that could jeopardize the power grid and energy infrastructure.
"Weather Watch goes into effect today through January 23 due to forecasted extreme cold weather across the ERCOT region, higher electrical demand, and the potential for lower reserves," the Electric Reliability Council of Texas wrote on X, adding, "Winter precipitation is also expected across parts of the state. Grid conditions are expected to be normal."
Tony Fracasso, a senior branch forecaster at the US Weather Prediction Center, said, "It's a significant storm for so far south.
"It looks like almost the entirety of Texas has some chance of wintery precipitation," Fracasso noted.
The early alert issued by ERCOT implies that extreme cold could pressure the power grid. ERCOT stated that peak electricity demand is expected to rise over the next two days, reaching about 77.2 gigawatts. Even though ERCOT predicts high demand, it anticipates having sufficient supply to meet demand.
"As freezing temps blanket Texas, the power grid is performing better than ever," Governor Greg Abbott wrote on X Sunday evening, adding, "There is ample supply of power available to meet your needs."
Besides potential grid strains, frigid temperatures could curtail natural gas supplies due to the freezing of oil and gas wells and pipes, known as "freeze-offs" by energy analysts.
On Tuesday, West Texas temperatures will average around 29F. Through Saturday, average temperatures in the oil-rich Permian basin will remain below the 30-year average of 47F for this time of year. This cold could disrupt oil and gas output by freezing water in wells and pipelines.


Ahead of the snow, Houston Airports announced that flights at George Bush Intercontinental Airport, William P. Hobby Airport, and Ellington Airport will be suspended on Tuesday morning.
The storm is expected to blanket snow across the Gulf Coast and Deep South coastal areas.
Meteorologist Tony Pann questioned if this wintery weather for the Gulf Coast was a "once-in-a-lifetime event"...
By Zerohedge.com

Gulf Coast Ports Closed for Unusual “Snow Day”

Texas snow
Houston is covered by snow and freezing air temperatures (University of Houston on X)

Published Jan 21, 2025 1:34 PM by The Maritime Executive

 

 

Port operations ranging from Houston to New Orleans to Mobile are all being disrupted by an unprecedented snowstorm followed by record-cold air temperatures. Lacking the equipment to deal with the snow which ranges between 1 to 6 inches in places, the ports declared a “snow day.”

Weather reports indicate the unusual weather pattern that is moving along the U.S. Gulf Coast will impact as many as 40 million people. Authorities from Texas to Louisiana and on into the Carolina are urging people to stay home. Reports are that as many as 2,000 flights have been canceled and the major seaports suspended operations.

Port Houston, the busiest on the Gulf Coast, issued an alert warning “Container terminal truck gates will close today, Monday, as planned at 4 pm. Vessel ops will be suspended this evening based on local weather conditions.” The port’s operations centers are closed on Tuesday, January 21 and the port has now announced its facilities will remain closed on Wednesday. It is planning Saturday hours to help customers catch up from the delays.

Freeze warnings for Texas remain in place till Wednesday morning. Some institutions, including the University of Houston, report it will remain closed on Wednesday, January 22, “due to continued hazardous winter weather conditions.” The university says it will resume normal operations on Thursday, January 23.

The pilots handling vessels Reuters reports sent out an alert suspending operations. According to the report, pilots were scheduled to halt ship movements just before midnight on Monday. It is anticipated the vessels will begin to move again on Wednesday when air temperatures are predicted to rebound above freeze. By the weekend, air temperatures are due to be back to 60 degrees Fahrenheit.

To the east in Louisiana, the National Weather Service issued the first-ever blizzard warning with three to six inches of snow expected. Officials are saying they have not had this level of snow since 1960 while noting the record for snowfall dates back to 1895. At the Port of New Orleans, operations were closed on Monday, January 20, for the national Martin Luther King Jr. Holiday. Both New Orleans Terminal and Ports America are closed on Tuesday and reporting due to the freeze conditions are not scheduled to resume operations till Thursday, January 22.

The Alabama Port Authority posted a notice saying it would discontinue operations and close all offices and facilities at 7 am on Tuesday, January 21. The Port Authority facilities it reports will reopen and resume operations Thursday morning at 7 am on January 23rd assuming conditions permit.

No comments: