With a relatively quiet Atlantic hurricane season under its belt so far, the US Gulf Coast states are bracing for Tropical Storm Karen, which is impacting US energy output in the Gulf of Mexico (GOM). A hurricane watch is in effect from Grand Isle, Louisiana, to the west of Destin, Florida, as of 3:00 p.m. EST October 4. Louisiana and Mississippi have issued state wide emergency declarations. Despite the government shutdown, Federal Emergency Management Agency (FEMA) workers are being called in to prepare for the storm which is expected to hit landfall this weekend.
Many oil and gas companies have evacuated their workers from impacted rigs and platforms. According to the U.S. Department of Energy (DOE) Situation Report, oil and gas workers have been evacuated from a total of 185 production platforms which represents about a third of the operating platforms in the GOM. Personnel have also been evacuated from 18 out of 48 rigs that are currently operating.
As a result, oil output in the GOM has been cut in half with 693,345b/d of its crude oil production shut-in. The DOE also reports that 1,497MMcf/d, which is about 40% of the GOM’s natural gas production, is shut-in as well.
The Destin Pipeline announced that it will be unable to provide natural gas transportation services from its offshore receipt points and claims Force Majeure until further notice while its on shore receipt and delivery points will remain in operation.
Gulf ports have also been impacted as the Louisiana Offshore Port (LOOP) suspended marine operations as of 1:00 p.m. EST on October 4, and New Orleans has placed restrictions on port activity as well.
Image Credit: NOAA
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