Daily status report on energy industry recovery efforts in the US Gulf

 

-- Hurricane Wilma, with maximum sustained winds of 165 mph, was a dangerous Category Five hurricane and, based on its central pressure, is the most intense hurricane in the recorded history of the Atlantic Basin, the National Hurricane Center said on Oct 19. Wilma was 300 miles southeast of Cozumel, Mexico, at 2 p.m. EDT. The storm's projected path takes it mostly away from oil and gas producing areas in the Gulf of Mexico, and making landfall along Florida's Gulf Coast on Oct 22.

-- Hurricane Wilma poses no immediate threat to Mexico's main oil-producing region, the Sound of Campeche, a source at state-owned Pemex said on Oct 19. The area currently in danger from the hurricane is the tourist region around Cancun on the Yucatan peninsula, the source said.

-- Some companies were taking precautions despite Wilma's projected path. BP on Oct 19 said that it had begun the evacuations of non-essential workers from its offshore installations in the eastern and central Gulf of Mexico ahead of Wilma.

-- Florida petroleum marketers are seeking an extension of a low-sulfur diesel waiver ahead of anticipated shortages if Hurricane Wilma hits the state, Jim Smith, president of the Florida Petroleum Marketers and Convenience Store Association, said on Oct 19.

-- The joint venture Lyondell-Citgo refinery in Houston will operate at 30-50% of its 268,000 b/d capacity until mid- to late- November due to equipment problems in the aftermath of a Hurricane Rita-related shutdown and last weekend's explosion at the plant's fluid catalytic cracker, Lyondell said on Oct 19.

-- Shell has brought into service a pipeline connection between the Chevron-operated Empire-Fourchon 20-inch crude line and the Shell-operated Mars 24-inch crude line, the major said. The Fourchon-Mars link is aimed at providing producers of Heavy Louisiana Sweet crude in the Gulf an option to return some supply to the market, industry sources close to the project told Platts. Until recently, most HLS production from various platforms and satelite fields in the Gulf of Mexico remained shut-in after the passing of Hurricane Katrina and then Hurricane Rita.

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