Barry shutters 60 percent of oil production
Nearly 60 percent of the oil production in the Gulf of Mexico is now offline because of threats to safety posed Tropical Storm Barry.
Production of more than 1.1 million barrels of oil per day is out of commission for at least a few days — a volume that could still rise — as Barry aims for a Saturday landfall in Louisiana as either a tropical storm or hurricane, according to the federal Bureau of Safety and Environmental Enforcement, which oversees the offshore drilling industry.
More than 250 production platforms in the Gulf were evacuated this week — almost 40 percent of all manned platforms. About 59 percent of oil output and 49 percent of natural gas production in the Gulf are offline, the federal government estimated.
The Gulf ’s leading producers — BP, Royal Dutch Shell and Chevron — said they evacuated much of their offshore personnel and shutting down oil and gas output at many of their sites in preparation of the strengthening storm. Other large Gulf producers like The Woodlands company Anadarko Petroleum and Australia’s BHP evacuated multiple platforms as well.
Shutting-in oil and gas production with underwater safety valves in wells is a standard procedure conducted for safety and environmental reasons.
Some refining and petrochemical operations are shutting down too. Phillips 66 is temporarily shuttering its Alliance refinery in Louisiana’s Plaquemines Parish that processes nearly 250,000 barrels of crude oil a day to make gasoline and other products.