Kerr-McGee Gulf of Mexico Facilities Intact Following Hurricane Rita

Kerr-McGee reports that an initial flyover of its Gulf of Mexico facilities indicates all of its major operated facilities are intact, with no structural damage from Hurricane Rita observed. The company is returning workers to the gulf to further assess facilities and prepare for restarting production and drilling activities. The company also announced its Houston office buildings were not damaged by the storm.

"Our top priorities always are the safety of our workers and care for the environment, and in anticipation of Hurricane Rita, we evacuated all 110 offshore employees and all contractors and shut in our operations," said Dave Hager, Kerr-McGee chief operating officer. "Our initial inspection from the air showed no damage to our major deepwater facilities in the western gulf -- Nansen, Boomvang, Gunnison and Red Hawk. Our deepwater Neptune facility, in the eastern gulf, was unaffected by the storm and is ready to restart production as soon as pipelines permit. We expect to restart gulf production as quickly as it is safe to do so."

The truss spar hull for the company's deepwater development of the Constitution and Ticonderoga fields had been installed and was fully moored prior to the storm, and the flyover confirmed the hull was on location with no apparent damage. The Constitution topsides, located at Gulf Island Fabricators' yard in Houma, La., also sustained no damage.

Prior to Hurricane Katrina, Kerr-McGee was producing approximately 130,000 barrels of oil equivalent per day (BOE/d) in the Gulf of Mexico. The company had returned approximately 110,000 BOE/d to production before shutting in all gulf production in anticipation of Hurricane Rita.

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