After Explosion at Texas Gas Plant, How Much Will Fuel Prices Rise?
Freeport LNG Explosion
The area has been secured, all the employees have been accounted for, and the company says there is no danger or concern to the community in the surrounding area. Due to the fire, the company said the facility will remain shut down for a minimum of three weeks. The beach has been evacuated as a precaution, but there is no shelter in place or evacuation measures required for nearby residents.
Surfside Area Reacts to 'Small' Explosion
Those who live in the area close to the plant said they heard the explosion and felt it as well.
We were in our home. We felt the ground shake and it was like rolling thunder. That’s what it sounded like. My husband flew out the door and said 'there’s an explosion over at the LNG'.
-Surfside Resident Maribel Hill.
Will the Freeport Explosion Affect Gas Prices?
The short answer: yes. European gas prices have gone up 40 percent since the explosion, according to Markets Insider. Since the Texas Gulf Coast plant will be closed for at least three weeks due to the explosion, this will increase the risk of shortages, especially overseas, according to Reuters.
Meanwhile, Spectrum News says natural gas prices are falling in the United States. Normally, Freeport LNG exports about 2 billion cubic feet of liquefied natural gas per day, about 15% of the nation's LNG exports.