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HOUSTON, Sept 09, 2005 /PRNewswire-FirstCall
El Paso Corporation (NYSE: EP) provided today an updated assessment on the impact of Hurricane Katrina on its Gulf of Mexico operations. El Paso is pleased to report that all of its employees in the affected region have been located. Many of those employees lost their homes, and they are now receiving temporary housing and supplies from the company. Support activities for these employees continue. Approximately 3 billion cubic feet per day was initially shut-in on El Paso's three natural gas pipeline systems in the Gulf of Mexico as a result of Hurricane Katrina. Currently, there are 700 million cubic feet per day (MMcf/d) of production shut-in on Tennessee Gas Pipeline (TGP) and 550 MMcf/d on Southern Natural Gas (SNG). ANR Pipeline has returned to full capacity. Onshore, TGP has begun to assess the damage at its Port Sulphur compressor station as high water in the area has receded. Offshore, TGP has several confirmed and suspected leaks in its pipelines, and diving operations are currently underway to inspect them and assess damage. Inspections and surveys of other lines are expected to take several weeks. Flood waters have receded at SNG's Toca Compressor Station and initial assessments are beginning. The assessments include investigations of compressor units, liquids handling and dehydration facilities, piping, and other equipment. Initial aerial damage assessments have been completed for all of SNG's offshore facilities. The most serious damage to offshore facilities appears to be primarily to pipeline risers on three third-party production platforms that have been destroyed and to measurement equipment at some locations. SNG has also identified damage to its junction platform at Main Pass 298. Complete damage assessments will require on-site investigation. Initial surveys of SNG's sub-sea pipelines are underway. Based on preliminary information, the company is not aware of any significant damage to SNG's offshore pipelines. However, the assessment is in its early stages. The timing of additional pipeline volumes becoming available is difficult to predict given the uncertainty of potential subsea repairs on TGP, the ongoing evaluation of producers' platforms upstream of El Paso's pipelines, and the potential for processing constraints if third-party processing facilities are not available. Production Operations El Paso's production in the Gulf of Mexico, which was 205 million cubic feet equivalent per day (MMcfe/d) before the storm, is now nearly 170 MMcfe/d. Restoring the remaining production is largely dependent on the timing of repairs to properties operated by third parties. One El Paso platform located at West Delta 137 was destroyed in the storm, but that unmanned platform accounted for only 1 MMcfe/d, net to the company. Midstream Operations As previously reported, El Paso's south Louisiana gathering and processing assets have returned to operational status. El Paso Corporation provides natural gas and related energy products in a safe, efficient, and dependable manner. The company owns North America's largest natural gas pipeline system and one of North America's largest independent natural gas producers. For more information, visit http://www.elpaso.com . Cautionary Statement Regarding Forward-Looking Statements This release includes forward-looking statements and projections, made in reliance on the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The company has made every reasonable effort to ensure that the information and assumptions on which these statements and projections are based are current, reasonable, and complete. However, a variety of factors could cause actual results to differ materially from the projections, anticipated results or other expectations expressed in this release, including, without limitation, the ultimate extent of the damages to our pipeline and production facilities and of other producers, the ability to repair any damage to such pipeline and production facilities and to restore transportation services and oil and gas production deliveries on a timely basis; the costs of effectuating such repairs and replacement facilities; the receipt of any related necessary governmental approvals and other factors described in the company's (and its affiliates') Securities and Exchange Commission filings. While the company makes these statements and projections in good faith, neither the company nor its management can guarantee that anticipated future results will be achieved. Reference must be made to those filings for additional important factors that may affect actual results. The company assumes no obligation to publicly update or revise any forward-looking statements made herein or any other forward-looking statements made by the company, whether as a result of new information, future events, or otherwise. SOURCE El Paso Corporation News Provided By |
