Winter Storm in California – Code Yellow
California is currently facing a dangerous atmospheric river storm with heavy rain, strong winds, and flash flooding threats. Southern California, including Los Angeles, is under a “high risk” flash flood warning, and Governor Gavin Newsom has declared a State of Emergency for affected counties. Power outages and significant rainfall rates are causing concerns.
The storm is expected to persist for at least three days, increasing the risk of flooding and mudslides. In the Sierra Nevada, heavy snowfall is anticipated, with potential disruptions to travel. Damaging winds are also impacting areas along the Central California coast and San Francisco Bay.
The storm’s effects are far-reaching, extending to the northern and central regions of the state. Torrential rain and wind gusts exceeding 70 mph have been recorded, resulting in power outages affecting nearly 900,000 customers across California. To address the crisis, the state has mobilized a record 8,500 emergency responders to handle flooding, landslide, and travel emergencies in affected areas, including Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo, and Ventura Counties.
Fuel Market Impact
California Governor Newsom has declared a State of Emergency for several counties as a result of the storm. Severe weather could delay fuel deliveries in parts of the state, since fuel trucks cannot safely operate when wind speeds exceed 35-45 mph. Flooding, snow, and debris could also make deliveries difficult for certain locations. Expect the storm to cause extended delivery times, stretching carrier capacity. The winds, which in some places have exceeded hurricane-force levels, could also bring damage to local fuel terminals – though no damage has been reported so far.
Mansfield is operating at Code Yellow, requesting at least 24-hour notice of new deliveries in the affected areas. Mansfield will continue to monitor market conditions and keep customers alerted as the situation progresses.
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MARKET CONDITION REPORT - DISCLAIMER
The information contained herein is derived from sources believed to be reliable; however, this information is not guaranteed as to its accuracy or completeness. Furthermore, no responsibility is assumed for use of this material and no express or implied warranties or guarantees are made. This material and any view or comment expressed herein are provided for informational purposes only and should not be construed in any way as an inducement or recommendation to buy or sell products, commodity futures or options contracts.
