The U.S. Virgin Islands will confront the threat of a debt downgrade when one of the region’s largest oil refineries shuts down this month, doubling joblessness on St. Croix, the archipelago’s poorest island.
Hurricane Earl moved west toward the northern Leeward Islands after strengthening from a tropical storm, and Hurricane Danielle weakened as it tracks north away from Bermuda, the U.S. National Hurricane Center said.
Hovensa LLC reduced rates to a minimum on the 61,000-barrel-a-day coker at its St. Croix refinery while the plant’s only fluid catalytic cracker is being repaired, according to two people familiar with operations.
Gasoline led gains by oil and heating oil as Hovensa LLC shut the 150,000-barrel-a-day fluid catalytic cracker at its St. Croix refinery for repairs, reducing supplies of the motor fuel available to the U.S. East Coast market. Ethanol also rose.
Spot jet fuel spreads in New York and on the Gulf Coast reached their highest levels in 19 months as Hovensa LLC reduced rates at its St. Croix refinery in the U.S. Virgin Islands and airlines flew more.