Gulf Energy Management Restores 55% of Pre-Katrina Production Levels

Gulf Energy Management says the initial assessment of Hurricane Katrina's impact on its domestic oil and gas operations which are primarily located onshore and offshore in the Gulf of Mexico.

In preparation for the storm, 75% of GEM's domestic production was shut in and all employees were safely evacuated. GEM has begun start-up operations and as of today is producing at approximately 55% of its pre-Katrina production level.

GEM continues to inspect and repair damage to its eastern Gulf operations that remain shut in which include, Main Pass, Point a la Hache, Branville Bay and Lapeyrouse. Restoration of remaining curtailed production is also dependent on resumption of downstream infrastructure and the availability of service and equipment contractors necessary for over-water transportation and repairs.