ExxonMobil Joliet Refinery Stays Offline After Power Outage and Flooding, Heightening Midwest Diesel Supply Concerns

ExxonMobil's 275,000-barrel-per-day Joliet, Illinois refinery remained offline as of September 18, 2026, following a power outage on September 13 that triggered safety flaring and a plant-wide shutdown, compounded by a subsequent flooding issue where floodwater overwhelmed a pump. Power was restored by September 17 via ComEd lines, but production has not resumed, with additional flaring reported on September 16. The facility, which produces about 11 million gallons of gasoline and diesel daily for the Midwest, accounts for roughly 6% of regional refining capacity. Reuters reported the details from company filings and statements, noting the refinery supplies Illinois, Indiana, Ohio, Wisconsin, Michigan, and beyond.[1][2]

Diesel prices in the Midwest (PADD 2) reached $6.25 per gallon for the week of September 14, up sharply, with national averages hitting record highs around $6.45. Analysts including Patrick De Haan of GasBuddy highlighted elevated spot prices in the Great Lakes region and risks of further increases, particularly in Ohio, Wisconsin, and Indiana. Broader global pressures from Middle East conflicts and attacks on Russian refineries have already tightened distillate markets.[3][4]

Industry monitors like Wood Mackenzie and IIR Energy indicated expectations for a return to service by the end of the week, but the outage's duration remains uncertain amid cleanup efforts involving containment booms. The disruption arrives during harvest season, potentially affecting agricultural diesel demand in the Corn Belt. Multiple outlets including 24/7 Wall St. and regional reports confirm the supply vulnerability for pipelines serving several states.[5]