A massive fire broke out at Chevron’s El Segundo refinery in Los Angeles late Thursday night, forcing the shutdown of one of California’s most important fuel-producing facilities. The Chevron refinery fire occurred in the plant’s jet fuel unit, sending flames and thick smoke into the night sky and raising concerns over potential fuel shortages in the region.
No Injuries Reported, Blaze Contained by Morning
According to Chevron spokesperson Allison Cook, all workers at the refinery were accounted for, and no injuries were reported. Fire crews from Chevron’s own emergency response team, along with responders from El Segundo and Manhattan Beach, worked through the night to contain the blaze.
By early Friday, the fire had been largely contained, though sections of the refinery remained offline for safety inspections. Local officials did not issue evacuation orders, but nearby residents in Manhattan Beach were advised to shelter in place until the early morning hours.
What Happened at Chevron’s El Segundo Refinery
The Chevron refinery fire began in the Isomax 7 unit, a critical part of the refinery responsible for converting fuel oil into jet fuel. Witnesses described hearing a “loud explosion” around 9:30 p.m. PT, followed by an orange glow that illuminated the skies across western Los Angeles.
The El Segundo refinery, which processes 285,000 barrels per day, supplies roughly 20% of California’s motor fuels and 40% of the jet fuel used in Southern California, including at Los Angeles International Airport (LAX).
“There is no known impact to LAX operations at this time,” Los Angeles Mayor Karen Bass said in a statement.
However, analysts warned that the shutdown could cause temporary fuel supply tightness in California’s highly isolated energy market.
Impact on Gasoline and Jet Fuel Prices
As of Friday morning, U.S. gasoline futures were up 0.3% to US$1.86 per gallon, while crude oil prices rose by about 1%, according to market data. Although the immediate market reaction was muted, experts warned that the Chevron refinery fire could lead to price hikes at California pumps in the coming days.
California’s fuel market is unique — it operates separately from other U.S. refining hubs such as the Gulf Coast and Midwest. This isolation means any local disruption can have an outsized impact on gasoline and jet fuel prices.
“Even minor supply interruptions in California can ripple through the market quickly,” said Alex Hodes, energy analyst at StoneX. “With Phillips 66 already winding down operations at another Los Angeles-area refinery, Chevron’s outage could tighten supplies ahead of the holiday travel season.”
Potential for Fuel Imports from Asia
To offset supply shortages, industry sources told Reuters that California may look to import refined fuel from Asia, particularly from South Korea, Taiwan, and Japan. Data from energy analytics firm Kpler shows that the U.S. West Coast has imported around 90,000 barrels per day of jet fuel from Northeast Asia so far in 2025 — slightly below last year’s total.
If the Chevron refinery fire causes prolonged outages, analysts expect those imports to increase sharply.
Safety and Environmental Response
Videos of the fire shared online showed a towering flame and heavy smoke billowing from the refinery complex. The refinery’s safety flare system was activated to burn off excess hydrocarbons, creating a large orange plume visible across Los Angeles County.
While no major environmental hazards were reported, state and federal safety agencies confirmed that they will investigate the cause of the fire once it is fully extinguished. Chevron has also pledged to conduct an internal review of the incident.
The refinery’s total storage capacity is estimated at 12.5 million barrels across roughly 150 tanks, though officials have not disclosed how much jet fuel was on site when the fire began.
Chevron’s Statement
In a statement issued Friday morning, Chevron said:
“Chevron fire department personnel, alongside emergency responders, are actively responding to an isolated fire inside the Chevron El Segundo Refinery. All personnel and contractors have been accounted for, and there are no injuries.”
The company emphasized that refinery safety remains its top priority, and that updates would be provided as the situation evolves.
Outlook
With California’s energy market already tight due to planned refinery shutdowns later this year, the Chevron refinery fire could add pressure to fuel prices in the short term. Analysts say that unless operations resume quickly, Southern California drivers could see higher gasoline and jet fuel prices heading into late October.
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