A massive fire broke out late Thursday at Chevron’s El Segundo refinery near Los Angeles, sending flames and smoke into the sky. The blaze erupted in the refinery’s jet fuel production unit, raising concerns over fuel supply in southern California.
Fire at Chevron Refinery in El Segundo
According to company officials, the fire started in the Isomax 7 unit, which converts mid-distillate fuel oil into jet fuel. Emergency response teams, including Chevron’s fire department and personnel from El Segundo and Manhattan Beach, rushed to the scene.
The blaze was described as isolated, and by early Friday it had been contained. Importantly, no injuries were reported, and all workers were safely accounted for.
Impact on Jet Fuel and Gasoline Supply
The El Segundo refinery plays a critical role in fueling southern California. It produces nearly 40% of the region’s jet fuel and around 20% of its gasoline supply. The Isomax 7 unit, along with two crude distillation units, primarily supplies fuel to Los Angeles International Airport (LAX).
Despite the fire, Los Angeles Mayor Karen Bass confirmed that LAX operations remained unaffected. However, analysts suggest that the fire could temporarily influence gasoline prices in California, even though it is unlikely to have a significant impact on the global oil market.
Residents and Safety Precautions
Residents living near the refinery were alerted during the fire. Although no evacuation orders were issued, those in Manhattan Beach were advised to shelter in place until 2 a.m.
Videos posted by locals showed the night sky turning orange as the fireball erupted. The refinery’s safety flare system was also activated, releasing a tall flame used to burn off unprocessed hydrocarbons safely.
Market Reaction and Oil Prices
Following the fire, US WTI crude futures rose by 46 cents to $60.94 per barrel. However, the week still saw a decline of over 7%. Analysts noted that while the fire may not disrupt the global oil market, California’s fuel prices could face upward pressure.
Refinery Capacity and Ongoing Investigation
The El Segundo facility is Chevron’s second-largest refinery in the United States, with a storage capacity of 12.5 million barrels across 150 tanks. Investigators from both state and federal agencies will launch a probe into the cause once the fire is fully extinguished.
This is not the first incident at the refinery. In December 2022, a smaller fire broke out but was quickly brought under control.
The fire at Chevron’s Los Angeles refinery highlights the risks of operating large-scale fuel production facilities in urban areas. While no lives were lost and LAX remained unaffected, the incident raises fresh concerns about fuel security, safety protocols, and energy market volatility in California.
As investigations continue, the refinery will remain under scrutiny due to its vital role in supplying fuel to one of the busiest airports and largest economies in the world.
