Sign up for our daily briefing

Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Denver news in your inbox

Catch up on the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Des Moines news in your inbox

Catch up on the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Minneapolis-St. Paul news in your inbox

Catch up on the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tampa Bay news in your inbox

Catch up on the most important stories affecting your hometown with Axios Tampa Bay

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Charlotte news in your inbox

Catch up on the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Charlie Riedel / AP

Harvey's devastating flooding is hitting a state and region that's a central hub for the energy sector. For instance, BP and Shell alone have roughly 11,000 employees in the Houston region combined.

The storm is closing down refineries, some crude oil production offshore in the Gulf of Mexico and onshore in the Eagle Ford shale region, pipelines, shipping, and other infrastructure networks.

Via a sobering Reuters story: "Damage assessments could take days to weeks to complete, and the storm continues to drop unprecedented levels of rain as it lingers west of Houston, home to oil, gas, pipeline and chemical plants. And restarts are dangerous periods, as fires and explosions can occur."

Power loss: Over 300,000 people are without electricity, according to the Electric Reliability Council of Texas, which oversees the Texas power grid.

Gasoline: The disruption of Gulf Coast refining and pipeline networks will send prices upward nationwide, and gasoline futures are already trading higher.

  • On Sunday night, GasBuddy analyst Patrick DeHaan issued a forecast that prices in the Gulf region will rise by as much as 35 cents per gallon over the next two weeks. The midwest is due for a 10-25 cent rise, with smaller increases in other regions.
  • Gasoline futures were around 6% higher in Asian trading on early Monday, and The Wall Street Journal reports: "Energy markets could be in for a bumpy ride when they open Monday as investors try to gauge the impact of the disruption."

Refineries affected: The storm has forced the shutdown of multiple refineries in Corpus Christi, Houston, and elsewhere in the Gulf of Mexico, such as Exxon's huge Baytown facility that processes nearly 600,000 barrels of crude per day and Shell's big Houston-area refinery, which has a 340,000 barrel-per-day capacity.

  • Nearly three million barrels of refining capacity, or over 16% of the U.S. total, has been taken offline, according to a Goldman Sachs research note Monday morning.
  • "At this stage, most of the refining outages are reported as preventive, with only a few comments on minor flooding. However, the slow moving nature of the storm will likely lead to these shut-downs continuing in coming days and may generate persistent damage as well," Goldman said.
  • "Some of the issues around gasoline and refinery production are going to be a little bit enduring, at least for the next month," Wayne Gordon, a top analyst at UBS, told Bloomberg late last night.

Crude oil: The Interior Department said in a Sunday afternoon update that 105 Gulf of Mexico's platforms have been evacuated. Nearly 22% of Gulf of Mexico oil production has been halted.

  • Yes, but: Overall, the storm has been harder on the refining sector than on oil production, notes Goldman, stating that overall about 11% of total U.S. crude production is halted, including offshore and onshore. The heart of the Gulf of Mexico producing area was not in the storm's direct path, and the greater production impact has been onshore wells, they note.

Horrifying: Via Mashable, one meteorologist believes ongoing rainfall in Texas could eventually lead to a total of 25 trillion gallons dropped on the state, with 11 trillion having occurred already.

Go deeper

Tech scrambles to derail inauguration threats

Illustration: Sarah Grillo/Axios

Tech companies are sharing more information with law enforcement in a frantic effort to prevent violence around the inauguration, after the government was caught flat-footed by the Capitol siege.

Between the lines: Tech knows it will be held accountable for any further violence that turns out to have been planned online if it doesn't act to stop it.

Dave Lawler, author of World
5 hours ago - World

Uganda's election: Museveni declared winner, Wine claims fraud

Wine rejected the official results of the election. Photo: Sumy Sadruni/AFP via Getty

Yoweri Museveni was declared the winner of a sixth presidential term on Saturday, with official results giving him 59% to 35% for Bobi Wine, the singer-turned-opposition leader.

Why it matters: This announcement was predictable, as the election was neither free nor fair and Museveni had no intention of surrendering power after 35 years. But Wine — who posed a strong challenged to Museveni, particularly in urban areas, and was beaten and arrested during the campaign — has said he will present evidence of fraud. The big question is whether he will mobilize mass resistance in the streets.

Off the Rails

Episode 1: A premeditated lie lit the fire

Photo illustration: Sarah Grillo/Axios. Photo: Chip Somodevilla/Getty Images

Beginning on election night 2020 and continuing through his final days in office, Donald Trump unraveled and dragged America with him, to the point that his followers sacked the U.S. Capitol with two weeks left in his term. Axios takes you inside the collapse of a president with a special series.

Episode 1: Trump’s refusal to believe the election results was premeditated. He had heard about the “red mirage” — the likelihood that early vote counts would tip more Republican than the final tallies — and he decided to exploit it.

"Jared, you call the Murdochs! Jason, you call Sammon and Hemmer!”