ACHRNEWS

Oct. 10, 2005: Oil, Natural Gas Production Recover Slowly In The Gulf

October 10, 2005
WASHINGTON - Oil and natural gas production is recovering slowly in the Gulf of Mexico after Hurricanes Katrina and Rita. According to reports from the U.S. Department of Energy's (DOE's) Office of Electricity Delivery and Energy Reliability (OE), the problems lie with infrastructure impacts all along the supply chain.

Eight refineries remain shut down, while several others are operating at reduced rates. Some crude oil pipelines are either shut or running at reduced capacity, while several refined product pipelines either lack power, lack refined products to pump, or both.

A number of natural gas pipelines and 20 large natural gas processing plants in the area are not active, due to damage, lack of power, or lack of natural gas. In addition, two liquefied natural gas import facilities are shut down because the navigation channels serving them are not yet open to barges.

Publication date: 10/10/2005