Chevron updates GoM post-hurricane status

Chevron Corp. says it has concluded assessments on the effects of Hurricanes Katrina and Rita on its offshore facilities in the GoM.

Offshore staff

(US, GoM) - Chevron Corp. says it has concluded assessments on the effects of Hurricanes Katrina and Rita on its offshore facilities in the GoM.

The company is mobilizing staff to return to facilities that were not damaged. Approximately 20% of the company's net production in the Gulf has been restored.

The operator reports that a number of their production facilities sustained damage and 14 structures were toppled. The restart of all facilities depends on the availability of pipelines and onshore terminals, plants, and related infrastructure.

The company has begun an investigation to determine why the Typhoon TLP production facility and other structures failed during the storm.

Sabine Pipe Line LLC lifted force majeure on October 4 at several Henry Hub interconnects where metering capabilities have been restored and Sabine is capable of facilitating deliveries not requiring compression.

Due to the temporary unavailability of compression at the hub, Sabine is accepting nominations for receipts and deliveries only to the extent that volumes can be received and delivered without the need for compression.

The Henry Hub complex has been drained of water, and work continues to restore the facility. Conditions of force majeure remain in effect for all other points until further notice.

With respect to damages from Hurricane Katrina, Chevron Pipe Line Co. is continuing to work on its Empire Terminal and pipeline system, which remains without utility service. The company will resume deliveries on a limited basis.

The Fourchon Terminal has begun receiving production from the Ship Shoal and the Timbalier Bay systems. Tests on remaining incoming pipelines will be done when damage assessments are complete on specific offshore platforms and producers become available. Both terminals are located in Louisiana.

10/07/05

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