Scott DiSavino & Liz Hampton

(Reuters) -An explosion and fire at the Texas Gulf Coast’s massive Freeport LNG liquefied Natural Gas plant caused a evacuation and sent the U.S. down sharply.

According to the company, there were no injuries. The fire that broke out in the facility was also contained by noon. Mid-afternoon saw an “all clear”, which allowed employees to return the facility. Freeport, Texas Police Chief Raymond Garivey said.

Garivey claimed that no notification had been received from his department regarding any facility closures due to the fire.

U.S. Natural Gas futures plunged following reports of an explosion. This was due to concerns that it might disrupt gas plant demand. The prices fell to $8.699 for a million British thermal units (mmBtu) after hitting an almost 14-year high at $9.664 earlier in day.

Freeport LNG declined to comment about the cause of the explosion and did not provide any information on plant operations. A spokesperson said that an investigation was being conducted to determine what caused the explosion.

The U.S. Coast Guard representative stated that a zone of security had been established two miles west and east of Freeport LNG facility. This will close the Intracoastal Waterway to vessel traffic.

As a precaution, an LNG tanker docked at the company on Wednesday was removed. A Coast Guard representative confirmed that the Port of Freeport is open.

After Russia’s invasion of Ukraine, the explosion has occurred at a crucial time in which global LNG demand is booming.

It can produce up to 2 billion cubic feet (bcfd), of natural gas each day and then export it as a supercooled liquid. It was drawing approximately 2 billion cubic feet per day of pipeline gas earlier in the day. Five million American homes can be supplied with gas every day for approximately one billion cubic feet.

Initially, an explosion caused the evacuation of tourists at nearby beaches, parks, and led to Quintana Island being closed. Quintana Island is where the facility was located. Brazoria county Sheriff’s Office stated in a Facebook post (NASDAQ:).

Chemical Safety Board confirmed that they were aware of the incident, and are monitoring it to see if it is necessary to send a team.