Now even the shelters are flooding in Texas

Largest oil refinery in US to shut down due to Harvey

A return to service is contingent upon recession of flood waters in the area.

Motiva Enterprises' Port Arthur plant, which has been in operation for more than 100 years, stopped operating Tuesday night. Late Tuesday it was running at only 40% capacity.

On Wednesday, the largest oil refinery in the USA started to shut down as Tropical Storm Harvey continues to batter the coastal areas of southern Texas and made landfall yet again threatening a stretch of Louisiana's refining hub. The loss of refineries around Port Arthur, Texas, leaves only Louisiana and MS refineries supplying fuel to NY and other demand centers.

Mayor Derrick Freeman of Port Arthur, a city located about 90 miles east of Houston in Jefferson County, told CBS News that 20,000 homes had as much as 6 feet of water in them.

All refineries in the area have been severely affected by the storm.

"Rescue boats welcome in Port Arthur to assist emergency personnel", the police department posted on Facebook.

"Due to flooding and potential power supply interruption, Valero's Port Arthur refinery has shut down in a safe, controlled manner", the company said in a statement.

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Kuwait- Damages resulting from Harvey storm on the USA refining sector mounted as Motiva Enterprises - owned by Aramco - announced that it would completely halt operating in Port Arthur refinery because of the flood.

Harvey's second landfall, hitting southwest Louisiana near the Texas border, expanded the growing list of damaged oil refineries, shutting down two key plants, including America's largest. For refineries, the report said about 10 percent of the total capacity might be offline for several months, based on comparisons from Hurricanes Rita and Katrina.

Some plants - like Velero's refineries in Corpus Christi and Three Rivers - are beginning to resume operations. The danger will remain for at least the next few days; Houston's clay soil does not absorb water very well, and it will take a long time for the water to run off.

The reduced capacity which will result to significantly smaller amounts of oil that can be turned into gasoline and other products like jet fuel will likely cause a higher gasoline price due to restrictions on supply. Motiva is owned by Saudi Arabia's state oil behemoth Saudi Aramco.

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Harris County Flood Control District Meteorologist Jeff Linder confirmed a new record rainfall total in the county.

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