UPDATE 1-Motiva Port Arthur runs down 100,000 bpd -sources

(Adds traders, Coast Guard on refinery production, channel
reopening, Motiva background)

PORT ARTHUR, Texas, Jan 25 (BestGrowthStock) – Motiva Enterprises
LLC cut production at its 285,000 barrel-per-day (bpd) capacity
Port Arthur, Texas, refinery by 100,000 bpd following the
closure on Saturday of a waterway through which crude oil is
supplied to the plant, sources familiar with refinery
operations said on Monday.

The Sabine-Neches Waterway was closed on Saturday after a
barge collided with an oil tanker, spilling crude oil into the
waterway.

When asked about the production cut, a Motiva spokeswoman
said on Monday night the refinery “has access to multiple
sources of crude oil, and we are operating at planned rates.”

Earlier on Monday, crude oil traders said the Motiva
refinery had reduced production because of the shutdown
Saturday of the waterway, through which crude oil is shipped to
the Motiva plant and three other refineries in Beaumont and
Port Arthur, Texas.

The sources said Motiva’s Port Arthur refinery could run
for a significant period of time at the current throughput
level.

Coast Guard Captain J.J. Plunkett told reporters on Monday
that the Sabine-Neches Waterway could reopen as early as
Thursday depending on the speed of the cleanup of crude oil.

Plunkett, who as captain of the port of Port Arthur is in
charge of the cleanup, also said some of the refineries in
Beaumont and Port Arthur had reduced production levels due to
the halt of crude supply through the waterway.

Motiva is a 50-50 joint venture between Saudi Refining and
Royal Dutch Shell Plc (RDSa.L: ).

Investing Analysis

(Reporting by Erwin Seba; editing by Carol Bishopric)

UPDATE 1-Motiva Port Arthur runs down 100,000 bpd -sources