Hurricane Season Moves into Full Swing: Gustav, Hanna, Ike, & Josephine all in the News

Storms multiplying and impacting marine and oil operations; Gustav fails to deliver a significant punch to oil producers in US Gulf.

As the remnants of Gustav move northeast from Arkansas, marine weather watchers have their eyes on at least three other storms. Although Category 2 hurricane Gustav failed to inflict significant damage to the Gulf Coast oil infrastructure, Tropical Storm Hanna sped through the fringes of the Bahamas after delivering a deadly hit on Haiti. By Friday, Hanna is forecast to hit the coastline of either North or South Carolina. That storm left at least 61 dead in Haiti.

With the hurricane season in full swing, Hanna's sustained winds of 70 mph could strengthen into hurricane force before it makes landfall. Behind Hanna is Hurricane Hurricane Ike, a more dangerous Category 4 storm, advancing rapidly from the east. Ike is the third major hurricane of the Atlantic season. Also of concern is Tropical Storm Josephine, which was also said to be strengthening.

The remnants of Gustav continued to move north on Thursday and were expected to cause severe weather and flooding along its route as it heads toward the heartland and Great Lakes area. The storm did not, as feared, deliver the knockout punch to the New Orleans area or the U.S. Gulf oil & gas infrastructure. Massive preparations in advance of the storm by both government and the private sector were being seen as effective to the areas that were hit most severely. Ahead of the storm's arrival, nearly all offshore oil and gas platforms and rigs in the region were shut down over the weekend, along with numerous refineries along the south Louisiana coast. The storm also affected shipping in Texas, Louisiana and as Far East as Mobile, Alabama.

The U.S. Gulf Coast houses as much as one-half of America's petroleum refining capacity. As many as 14 of those refineries were still shut down, or at reduced operating status, on Thursday morning. Offshore areas are thought to represent at least 20 percent of domestic oil & gas production. Nevertheless, the markets this week largely were unaffected by the latest Gulf Coast hurricane.


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