Energy Transfer NGLs line catches fire near Houston, forcing evacuations

Local authorities in Houston ordered evacuations and shelter-in-place orders Sept. 16 after an Energy Transfer pipeline carrying natural gas liquids caught fire.

The city of La Porte said its fire department responded at 9:55 am CT to the fire, which occurred in the neighboring city of Deer Park. Authorities expect the fire to continue to burn for hours, Deer Park Mayor Jerry Mouton said during a press conference Sept. 16.

"All of the product has to burn off," Mouton said. First responders contained the fire, but it could burn "if not into tonight then tomorrow."

Energy Transfer confirmed the fire occurred on a 20-inch line carrying Y-grade NGLs, saying that no injuries were reported. Local authorities later said one firefighter was treated for minor injuries.

Y-grade NGLs include ethane, propane, butane and natural gasolines, according to Energy Transfer product specifications and prices spiked as a result.

Platts propane values rose to 67.50 cents/gal, up Y on the day and the highest since Sept. 5, according to S&P Global Commodity Insights.

A position for propane entered the Platts Market on Close assessment process for the first time in a week, and traded at 67.50 cents/gal, 4.75 cents/gal higher than the previous close. The price was last reported higher on Sept. 5 at 69.75 cents/gal.

"The line has been isolated so that the residual product in the line can safely burn itself out," Energy Transfer spokesperson Cassidy Lamb said in a statement. "We have no timeline at this point on how long that process will take, but we are working closely with local authorities."

The pipeline operator also said it was "aware of early reports indicating that an unknown passenger car entered our right of way and struck the [valve] location."

Mouton acknowledged the presence of a vehicle near the burning pipeline but declined to speculate whether it caused the fire.

The Railroad Commission of Texas announced that its pipeline safety inspectors are also investigating the fire alongside local authorities. The regulator said the fire occurred within a pipeline corridor and that it is "notifying other pipeline operators in the corridor of the incident and getting information on measures they are taking to ensure safety of their systems."