Murphy Oil’s refinery in Meraux, Louisiana flooded during Hurricane Katrina causing a major oil leak. Nick Pelletier reports that the new Gulf Coast hurricane is causing even more concern.

The storm surge from Katrina moved one holding tank off of its foundation. When it settled the wall buckled and oil began leaking. Murphy Oil Treasurer Kevin Fitzgerald says the leak was stopped as soon as it was discovered. “People are still out there recovering the oil and dike area and the like. But now they have evacuated again because of the new storm that is in the gulf.” He says the Louisiana refinery isn’t up and running yet. “Our whole refinery is down. We still don’t have power in that area. Been in the process of getting boats and equipment in to the area so we can do an assessment on the refinery. Until very recently the whole area around the refinery was still flooded so access was limited to helicopter or by boat on the river. We were real limited. Now that you have access we are starting to build that up so we can go in and make a full assessment on the refinery.” Fitzgerald says the tank is repairable. He also says Hurricane Rita could do more to gas prices than Katrina. “You could have a bigger issue with gasoline prices with this new storm if it heads towards the Houston Corpus Christi area. There is a lot of refining capacity in that area.” Superior’s Murphy Oil Refinery Manager Dave Podratz says the off-line refinery won't affect Wisconsin. “It shouldn’t have any effect on our refinery but the hurricane is kind of had a huge impact on prices all around the country and all around the world for that matter. Anything that happens anywhere in the world in our business has an impact on prices everywhere, including locally here. In terms of a direct impact on our refinery, no. We are running normally.” Fitzgerald says the spill is 35,000 barrels at 42 gallons a barrel. He says most of the oil stayed on refinery property. Vacuum trucks and skimmers have recovered some of the oil. The rest has been contained.

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