U.S. Gulf of Mexico energy firms on Friday were lumbering back from hurricane disruptions as offshore oil and gas producers ramped up operations after halving the key energy region’s output, ports reopened, and onshore terminals accepted oil and liquefied natural gas (LNG) tankers.
Hurricane Francine shut in up to 42% of the region’s offshore oil and 53% of its natural gas production. The storm missed Texas and came ashore in Louisiana late on Tuesday, causing flooding and power problems that affected onshore terminals and ports that withstood 100 mph (161 kph) winds.
The port of New Orleans, an important agricultural and metals export port, and the deepwater Louisiana Offshore Oil Port (LOOP) were back in service without restrictions on Friday, the U.S. Coast Guard reported.
Refineries that account for 20% of U.S. Gulf Coast motor fuel production were returning to normal operations after some curbed output as the hurricane passed through Louisiana.
Two LNG vessels were at the Calcasieu Pass, Louisiana, anchorage waiting to load, part of a group of at least a dozen LNG tankers waiting outside Gulf Coast LNG terminals as navigation channels reopened.
Shell ramping up
Shell on Friday was ramping up oil production at five offshore platforms while four others remained offline due to pipeline disruptions. Chevron returned staff to three offshore platforms on Thursday and was restarting operations.
Exxon Mobil, which operates the Hoover offshore oil platform, did not reply to request for comment. It is part of the 153-mile (246-km) Hoover Offshore Oil Pipeline System that serves multiple oil fields closed during the storm.
Texas and Louisiana ports, including Texas City and Lake Charles, that reopened earlier this week were on Friday servicing tankers, according to vessel monitoring data by LSEG.
Post-tropical Francine has been moving northwest to the Mississippi River since Thursday night, hitting portions of the Mississippi Delta, Alabama, western Georgia and the Florida panhandle with heavy rainfall, the U.S. National Hurricane Center said.
The risk of flooding is expected to continue across the Tennessee Valley through Saturday.
Hong Kong-flagged fuel tanker SC Draco, Marshall Islands-flagged Owl 1 and Singapore-flagged Solar Claire and Hafnia Tiger were docked on Friday at terminals operated by Citgo Petroleum and Westlake Chemical in Lake Charles on Friday, according to LSEG ship monitoring data.
Lake Charles, Texas City and other U.S. Gulf ports service many refiners in the area for receiving crude imports and handling fuel exports.
Meanwhile, French-flagged LNG Endeavour was arriving at the Cameron LNG terminal in Louisiana on Friday to load.
(Reuters – Reporting by Marianna Parraga and Georgina McCartney; Editing by Marguerita Choy)
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