Oil and Gas Production Resumes Offshore after Storm

Published at 08:44AM - 05/09/16

Offshore oil and gas production in the Gulf of Mexico is now ready to get back on track as operators re-board oil platforms and rigs following the tropical storm Hermine.

The Bureau of Safety and Environmental Enforcement (BSEE) Hurricane Response Team is now monitoring the operators’ activities.

“The team will continue to work with offshore operators and other state and federal agencies until operations return to normal”, the agency informed in a statement.

Offshore Oil and Gas Production Resumes after Storm

 Based on data submitted by offshore operators on Friday, there are no remaining evacuated production platforms, out of a total of 750 manned platforms in the Gulf of Mexico.

Personnel have returned to all 11 rigs (non-dynamically positioned rigs) currently operating in the Gulf,” the report added.

The three dynamically positioned rigs that had previously been moved off have returned to location, with 19 dynamically positioned rigs now operating in the Gulf.

According to operator reports, the BSEE estimates that approximately 12.04% of the current oil production in the Gulf of Mexico was shut-in, as well as approximately 6.74% of natural gas production.

Offshore Oil Production Restored by Tuesday 

Production can be brought online immediately after all the facilities have been inspected and all standard checks have been completed.

Damaged facilities could take longer to resume production, although no damage reports have been submitted.

According to media sources, full production in the region is likely to be restored by Tuesday.

BSEE estimates that more than 242,000 barrels per day (bpd) of oil production and over 307 million cubic feet per day of natural gas production were shut-in following the storm.

Less than 2% of the 750 platforms active in the region were evacuated, while only one out of 11 drilling rigs were evacuated. Three dynamically-positioned rigs moved out of the path of the storm.

Meanwhile, US offshore rig count went up by 8 rigs from last week to 497, following the tropical storm. The overall rig count is down by 367 compared to last year’s count of 864.