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Gas prices may be hit by a storm surge if Barry sticks to the forecast.
States bordering the Gulf of Mexico are home to over 45% of the country's total oil refining capacity, as well as 51% of the total natural gas processing capacity in the United States.
Energy companies have closed and evacuated their platforms in the northern Gulf before the storm, Reuters reported. And while Barry was attacking most of the major refineries, heavy rains on Sunday in the area could wreak havoc.
Most of Louisiana is expected to receive 20 inches or more of rain this weekend, with forecasts of up to 2 inches to the hour in some areas. Coastal areas also expect a storm surge of up to 6 feet.
"Just look at what happened in Washington on Monday," Philip K. Verleger, owner and president of PKVerleger LLC, a consultant to the energy and commodities markets, told AccuWeather. "If you have too much rain, the floor gives way. If the ground gives way under a pipeline, you have a leak and you have to close it. "
Refined products sent from the Gulf Coast by pipeline are essential for the east coast. If refineries or the colonial pipeline complex that extends from Houston to New York Harbor are closed, this can lead to supply problems and prices may start to rise.
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