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Major Texas oil refinery explodes; surging gas prices next?

March 24, 2026 By: Cory Templeman

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An oil refinery fire near the Texas coast was put out Tuesday and a shelter-in-place order was lifted, hours after a large explosion at the complex shot plumes of smoke into the air, officials said.

No one was injured in Monday’s explosion at the Valero refinery in Port Arthur, which is based about 90 miles east of Houston, Mayor Charlotte M. Moses said.

Moses urged residents in parts of the west side of the city to stay put.

“There’s been an explosion, yes, but we’re OK; everybody’s OK,” she said.

“They’re trying to put the fire out as quickly as possible.”

Residents at least several miles away said they felt their homes shake. Some schools in the area were closed Tuesday as a precaution.

Port Arthur Fire Department spokesperson told local affiliate 12News NBC that the cause of the explosion and fire is unknown at this time.

Jefferson County Sheriff Zena Stephens said there were no injuries and no evacuations were ordered.

The cause of the explosion is under investigation.

Images and videos posted online show a large plume of smoke and flames billowing out from the refinery.

Valero in Port Arthur TX explosion pic.twitter.com/6ClCcv7ROG

— APRIl sCOTt #TEXIT (@AprilSc02338713) March 23, 2026

🚨 WATCH: Thick black smoke and flames billow from the Valero refinery in Port Arthur following a reported explosion.pic.twitter.com/NHU0C1J8Fu

— Derrick Evans (@DerrickEvans4WV) March 24, 2026

The unexpected explosion comes amid a spike in gas prices driven by uncertainty over the global oil supply because of the Iran war and the disruption of oil traffic through the vital Straight of Hormuz.

The refinery has about 770 employees and can process about 435,000 barrels of oil per day, according to Valero’s website.

The plant is a major hub for U.S. gas production as it refines heavy sour crude oil into gasoline, diesel and jet fuel, according to the Associated Press.

The Valero refinery in Port Arthur is ranked as one of the ten largest refineries in the United States.

Valero did not respond to emails from the press seeking comment.

However, local affiliate 12NewsNow reported that all refinery employees were accounted for.

Texas state Rep. Christian Manuel said in a post on social media that the Texas Commission on Environmental Quality arrived at the refinery with air monitoring equipment and was working with local and state partners.

This is an ongoing story. Check back for further updates.

About the Author

Cory Templeman

Cory Templeman is an experienced writer and researcher who has worked with some of the biggest names in the publishing business. Cory lives in South Carolina with his wife and three kids.

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