Hurricane Gustav/Hurricane Ike Activity Statistics Update – September 15, 2008

Minerals Management Service Monitors Activities for Both Storms Through its Continuity of Operations Plan

NEW ORLEANS — Offshore oil and gas operators in the Gulf of Mexico are re-boarding platforms and rigs and restoring production following both Hurricane Gustav and Hurricane Ike. The MMS is monitoring activities for both hurricanes through its Continuity of Operations Plan team. This team will be activated until operations return to normal.

Based on data from offshore operator reports submitted as of 11:30 a.m. CDT today, personnel have been evacuated from a total of 562 production platforms, equivalent to 78.4 % of the 717 manned platforms in the Gulf of Mexico. Production platforms are the structures located offshore from which oil and natural gas are produced. These structures remain in the same location throughout a project’s duration unlike drilling rigs which typically move from location to location.

Personnel from 82 rigs have also been evacuated; this is equivalent to 67.8 % of the 121 rigs currently operating in the Gulf. Rigs can include several types of self-contained offshore drilling facilities including jackups, submersibles and semisubmersibles. (09/15/2008)

MMS Monitors Two Drilling Rigs Adrift in Gulf of Mexico

Confirmed Reports of Two Offshore Drilling Units, MMS, Industry, and US Coast Guard are Monitoring their Paths

NEW ORLEANS — The Minerals Management Service has two confirmed reports of drilling rigs adrift in the central Gulf of Mexico. The MMS, industry, and the U.S. Coast Guard are working together to monitor the paths of the two rigs. MMS has determined through a pre-hurricane season risk analysis that there is minimal infrastructure in the areas surrounding these two rigs.

“MMS is closely monitoring these rigs, and they have been relatively stationary for several hours,” said Lars Herbst, regional director, MMS Gulf of Mexico Region. “We expect tugs to be on location to secure the rigs as soon as sea conditions allow.” (09/13/2008)

MMS Releases Preliminary Offshore Damage Reports from Hurricane Gustav

Collection of Preliminary Damage Reports Slows As Gulf Operators Prepare for Hurricane Ike

The MMS today released  preliminary damage reports for the Gulf of Mexico oil and gas infrastructure resulting from Hurricane Gustav.

From August 31, 2008 through September 1, 2008, approximately 677 oil and gas production platforms in the Gulf of Mexico were exposed to hurricane conditions, winds greater than 75 miles per hour. There are approximately 3,800 production structures in the Gulf; this includes both manned and unmanned facilities. 09/11/2008)

RIK Report Details $63 Million Gain

MMS Delivers FY 2007 Results to Congress

More than $63 million in additional benefits was achieved for the Federal Government and American taxpayer in Fiscal Year 2007 through the Royalty in Kind (RIK) Program administered by the MMS.

The $63 million gain is detailed in an annual report to Congress prepared by MMS that examines the FY 2007 performance of the Royalty in Kind Program. (09/08/2008)

Interior Department Initiates New 5-Year Oil and Gas Leasing Program
for Outer Continental Shelf

Seeks Public Comment to Address Changed Energy Situation

WASHINGTON, D.C. ? Saying the nation’s energy situation has dramatically changed in the past year, Secretary of the Interior Dirk Kempthorne today jumpstarted the development of a new oil and natural gas leasing program for the U.S. Outer Continental Shelf. The action could give the next administration a two-year head start in expanding energy production from federal offshore jurisdictions, including some areas where a congressional ban had prevented oil and gas development.

“When our current five-year program for Outer Continental Shelf oil and gas leasing was launched in July 2007, oil was selling for $64 a barrel,” Kempthorne said. “Today a barrel of oil costs more than $120, almost double the price a year ago. Clearly, today’s escalating energy prices and the widening gap between U.S. energy consumption and supply have changed the fundamental assumptions on which many of our decisions were based.” (07/30/2008)