One of my company's platforms in shallower water is at a 15 degree list. It recorded sustained winds of 178 mph with gusts to 220. But more than likely it was a monster wave that got it. The good news is that it wasn't producing more than 400 barrels a day before the storm, so that output won't be missed.
No signs of pollution or oil spills. The industry is still checking, but once again it looks like they proved themselves capable of safe operations in the worst adversity.
There are pipeline issues. We don't know yet whether repairs are needed subsea. That's just going to take a few days to check out. Miles and miles to inspect and we're just not going to turn the valve and see if oil bubbles to the surface.
The pipelines coming ashore Grand Isle took a beating. We need to make sure they're structually intact.
There are going to be some short term disruptions and undoubtedly some price spikes during the next couple of weeks. Less crude is getting ashore, and less gasoline is being refined.
If we get the refineries all restarted, crude won't be a real problem because the Administration will release SPR crude to make up for the shortfall, although not all refineries are tooled to refine the sour crude. It's not a perfect solution, but it will help.
The LOOPS offshore loading terminal for imported crude seems to be fine, as well. That was a big concern.
All in all, the oil industry came through this better than might have been expected and while we will have some short term disruption, it should get back to normal within a few weeks at worst. And it'll start getting better within a few days.
Thanks for a very informative post. On the news some guy was saying he flew with some type of oil service group and many of the rigs were damaged or missing. Were other companies hit worse? or was he mistaken 9as reporters often are).
Also, they talk about the natural gas leaks and downed electrical lines in the city. Don't they have the capability to shut it all down before it gets to the city? (You know one of theose REALLY BIG switches at the power plant?!)
wonderful news.
Maybe now there will be some new refineries.
Thanks for the oil/refinery information, Dog Gone. Appreciated.
The only problem is: where will the workers at the oil facilities live? Hopefully there will be enough buildings standing (or brought in) for the energy industry workers to have somewhere to come home to from work.