Tropical Storm Edward Approaches Texas-Louisiana Border, Threatening Key US Refining and LNG Corridor

The National Hurricane Center has issued hurricane watches for parts of Texas and Louisiana. Tropical Storm Edward is strengthening over the US Gulf and heading directly toward one of the country's most critical refining and liquefied natural gas corridors. As of early September 1, the storm's center was located about 90 miles southeast of Port Arthur, Texas, with maximum sustained winds of 40 miles per hour.

Edward is the fifth named storm of the Atlantic hurricane season. The season has been unusually quiet so far, as enhanced wind shear in the Atlantic basin, driven by Pacific El Niño conditions, has disrupted tropical cyclone development. Against the backdrop of a global refining crisis, US diesel crack spreads have exceeded $103 per barrel, and the storm's path is aimed at the heart of the Gulf Coast's refining and LNG operations.