(Bloomberg) -- Marathon Petroleum Corp.’s oil refinery near New Orleans exploded into flames on Monday, threatening to crimp fuel supplies and raise pump prices at a time of already rampant inflation.
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The company’s Garyville, Louisiana, plant is one of the nation’s largest and a key supplier of gasoline, diesel and other fuels. No injuries were reported and Marathon said it was assessing the incident that started around 9:30 a.m. local time.
If any damages are significant enough to halt processing units at the Garyville complex, fuel supplies may be stretched, given rising gasoline demand and the fact that more than 10% of refining capacity in the region already is idle for repairs and other maintenance work.
Retail gasoline prices have climbed 7.5% this year, adding to 2021’s 46% advance, according to AAA. The last time prices were this high was the summer of 2014, when international oil prices were above $100 a barrel.
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