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The Worst is Over: Gulf of Mexico Oil and Gas Production Nearly Restored After Hurricane Francine
09/18/2024
The Gulf of Mexico’s oil and gas production is bouncing back quickly following the disruption caused by Hurricane Francine. According to a statement from the Bureau of Safety and Environmental Enforcement (BSEE) on Monday, nearly all of the region's energy output has been restored, signaling a significant recovery after the storm passed.
As of Monday morning, about 12.18% of oil production and 16.02% of natural gas production in the Gulf remained shut down, according to operator reports. This marks a vast improvement from the peak of the storm’s impact when more than half of the region’s natural gas output and over 40% of its oil production were offline.
Evacuations and Ongoing Inspections
Even with most operations back on track, 24 production platforms remain evacuated, which accounts for 6.47% of the 371 manned platforms in the Gulf. No personnel have been evacuated from non-dynamically positioned (DP) rigs, and none of the 20 DP rigs in the area have moved from their locations.
The BSEE's Hurricane Response Team is closely monitoring the situation, working with offshore operators and federal agencies to ensure the complete restoration of operations. “Now that the storm has passed, facilities will be inspected,” BSEE stated. "Once all standard checks are completed, production from undamaged facilities will be brought back online immediately. Facilities that sustained damage may take longer to restore."
The Height of the Shutdown
The worst of the shutdown occurred on September 12, when 53.32% of the Gulf’s natural gas production was offline, and the following day saw 41.85% of oil production shut-in.
Industry Response
Major oil companies operating in the region also took swift action in preparation for Francine. On September 11, ExxonMobil released a statement announcing its evacuation of all personnel from the Hoover offshore platform and the temporary shutdown of operations in the Gulf. The company assured that safety remained their top priority, noting that operations in other Louisiana facilities, like those in Baton Rouge, were unaffected.
By September 12, ExxonMobil confirmed there was no significant damage or flooding at their Baton Rouge facilities, and operations had resumed normal activity. “We continue to meet all customer commitments,” the company added in their statement.
Francine’s Path and Impact
Hurricane Francine made landfall on September 11 in southern Louisiana, in Terrebonne Parish, just 30 miles south-southwest of Morgan City. The storm arrived as a Category 2 hurricane, bringing fierce winds and heavy rains to the region.
The storm's arrival triggered widespread shutdowns across the Gulf, with operators halting production to secure their facilities and ensure the safety of personnel. Post-storm inspections and recovery efforts are now underway, and full restoration of production is expected in the coming days for undamaged facilities.
Looking Ahead: Active Hurricane Season
According to NOAA’s National Hurricane Center (NHC), atmospheric and oceanic conditions indicate an above-normal 2024 Atlantic hurricane season. With a 90% probability of increased hurricane activity, the Gulf of Mexico’s energy sector is bracing for potential future storms. The region remains a critical hub for the U.S. oil and gas industry, and preparation is key to maintaining energy stability in the face of extreme weather.
For now, as operations return to normal following Francine, the focus remains on ensuring that all facilities are thoroughly inspected and that production can resume safely and efficiently.
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The Gulf of Mexico’s oil and gas production is bouncing back quickly following the disruption caused by Hurricane Francine. According to a statement from the Bureau of Safety and Environmental Enforcement (BSEE) on Monday, nearly all of the region's energy output has been restored, signaling a significant recovery after the storm passed. As of Monday morning, about 12.18% of oil production and 16.02% of natural gas production in the Gulf remained shut down, according to operator reports. This marks a vast improvement from the peak of the storm’s impact when more than half of the region’s natural gas output and over 40% of its oil production were offline.
A significant portion of the U.S. Gulf of Mexico's oil and natural gas production has come to a halt as Tropical Storm Francine barrels toward Louisiana, threatening the region's crucial energy infrastructure. In what is shaping up to be one of the most impactful events for U.S. energy this year, approximately 24% of crude oil production and 26% of natural gas output in the Gulf are now offline, according to the U.S. Bureau of Safety and Environmental Enforcement (BSEE). Francine, with winds reaching 65 mph (100 kph), is currently situated 380 miles (610 km) southwest of Morgan City, Louisiana, and is expected to strengthen into a hurricane by the end of the day. The storm's trajectory is causing widespread disruptions to offshore operations in the Gulf, which plays a vital role in the country’s energy supply.
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