Shell Says Facilities, Pipeline Hit by Hurricane Katrina Remain Shut

Karina, 10:51 PM EST Aug. 28, 2005
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Shell said the majority of its US facilities located on areas hit by Katrina remained closed as it continues to assess the damage caused by the ferocious hurricane.

There was minimal damage to the Motiva Convent refinery and Geismar chemical plant in Louisiana, Shell said in a statement.

The Geismar facility is in the final phase of assessment and is preparing for potential start-up, although no timeline has been set, Shell said.

Access to the Motiva Norco refinery and Shell Norco chemical facilities in Louisiana and the Shell Mobile chemical plant in Alabama remains limited. These facilities are still shut while Shell checks for damages.

The Shell-operated Capline Pipeline system did not incur damage from Hurricane Katrina, but is currently down due to multiple pump stations that are without power. Shell Pipeline is working with utility officials to get power restored to the system. Shell Pipeline's four refined products pipeline systems between New Orleans and Baton Rouge do not show any damage, but are not operating due to power outages and lack of supply from impacted refineries. Pipeline systems connected to Gulf of Mexico offshore production and operated by Shell Pipeline are currently down and being assessed for damage.

The pipeline system ferries over 1 million barrels of oil per day (bopd) from the Gulf of Mexico.

The 147,000-bopd Mars, one of its US Gulf platforms, sustained topside damage, added Shell.

Shell's retail facilities in New Orleans were hardest hit by Katrina. It decided to freeze wholesale prices on hurricane-impacted areas in Louisiana, Mississippi, Alabama and Florida.

The Motiva distribution terminals in Kenner, Louisiana, and in Collins and Meridian, Mississippi, are closed due to flooding and power outages.

The Vicksburg lubricants plant in Mississippi has re-opened, but the one in Metairie, Louisiana is still closed.

Copyright AFX News Limited 2005. All rights reserved.


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