Oil and Gas Production Shuts Down as Hurricane Tears Through US Gulf

Oil and gas operators in the Gulf of Mexico evacuated platforms and rigs and shut down production as Hurricane Dean battered the coast yesterday.

Six production platforms and three rigs were evacuated as the category 4 hurricane (the second highest) headed towards the Gulf, according to the US Minerals Management Service (MMS).

The MMS estimates that approximately 1.8% of the oil production and 0.7% of the natural gas production has been shut-in – equivalent to about 23,000 barrels of oil and 54 million cubic feet of gas per day.

Today the hurricane tore through Jamaica's southern coast, causing floods and killing six people as it heads toward Mexico's Yucatan Peninsula.

Last week Anglo-Dutch oil giant Shell was the first company to evacuate its operations in the Gulf after the hurricane warning.

Reported by staff writer