Fox News contributor Mary Kathryn Hamm and ZUMA Global President Heather Zumarraga discuss California's lack of resources to fight wildfires on 'making money'.
Above the doom California's deadly ongoing wildfires Already damaged by homes, businesses and other infrastructure, uncontrolled fires could disrupt energy flows in the region and beyond.
Andy Lippo, president of Lippo Oil Associates, warned in a note this week crude oilGasoline, diesel and natural gas supplies may all be affected.
Storage tanks at Marathon Petroleum's Los Angeles refinery, which processes domestic and imported crude oil, gasoline, diesel fuel and other petroleum products, on March 11, 2022, in Carson, Calif. (Reuters/Bing Guan/Reuters Photo)
where five refineries are located Los Angeles And while the Long Beach area is not under direct threat from the wildfires so far, there are several pipelines and that means cutting off supplies not only to California, but to other states.
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It could also lead to a buildup in refineries, which may be forced to reduce their operating rates to hold inventory. Five Los Angeles area refineries handle 60% of refining capacity in California and 40% of refining capacity on the West Coast, including Alaska and Hawaii, Lipo said.
Vehicles pass the Phillips 66 Los Angeles Refinery Wilmington plant on November 28, 2022, in Wilmington, Calif. (Mario Tama/Getty Images/Getty Images)
He pointed to crude oil and natural gas pipelines around the Hearst Fire and Easton Fire, and noted that the Kinder Morgan West line had already been shut down. It supplies about 60% of the refined products consumed in Nevada and two-thirds of the refined products consumed in Arizona.
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“I have not heard of any crude oil or natural gas pipeline shutdowns, but they would lose power not only from obvious fire hazards, but from preventative measures taken by local utilities,” Lipo wrote.
A firefighting plane descends on the Palisades Fire in Pacific Palisades on Tuesday, January 7. (Brian van der Brugge/Los Angeles Times via Getty Images/Getty Images)
There are four big fire Around Los Angeles. The White House said Friday that local, state and federal fighters were able to partially contain the largest fire overnight.
The Pasadena fire is 3% contained, while the Pacific Palisades fire is 8% contained, officials said. The Ventura fire is 35% contained, and the Sylmar fire is 37% contained.
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So far, the fires have destroyed more than 10,000 homes and businesses and killed 10 people.