Oil futures declined on Friday from sharp gains achieved in the previous session despite the turmoil in the oil industry caused by the Hurricane Harvey which struck Texas, US.

 

US West Texas Intermediate (WTI) was down 35 cents, or 0.7 percent, at $46.88 barrel at 0641 GMT. The contract rebounded 2.8 percent on Thursday but is still heading for a weekly decline of 2 per cent, said a Reuters report.

 

The new Brent contract for November delivery was down 21 cents, or 0.4 percent, at $52.65 barrel, it said.

 

Hurricane Harvey has killed at least 40 people and brought record flooding to the US oil heartland of Texas, paralysing at least 4.4 million barrels per day (bpd) of refining capacity, reports said.

 

Meanwhile, the White House has said that it will ask the US Congress for emergency funding to help those affected by Hurricane Harvey.

 

President Donald Trump is expected to propose an initial $5.9 billion. Texas authorities say the state might need more than $125 billion.

 

Visiting Texas, Vice-President Mike Pence promised federal help to "rebuild bigger and better than ever before", a BBC report said.

 

The White House also said Trump would donate $1 million of his own money to the relief effort.

 

The US Federal Emergency Management Agency (Fema) said its teams had rescued more than 3,800 people, and more than 90,000 had already been approved for disaster assistance.

 

Fema also warned that residents were being targeted by scams. There are reports of criminals impersonating inspectors and immigration officials.

 

One chemical plant in Crosby, near Houston, caught fire on Thursday, and more fires are expected in the coming days. Chemicals stored at the flooded Arkema plant are no longer being refrigerated, making them combustible.

 

Residents have been evacuated from the plant in a 1.5 mile radius, and smoke was seen rising from the site on Thursday.