NEW YORK (AP) — Although Tropical Storm Don's path is southof the main oil and gas producing regions in the Gulf, about 500operating oil and gas rigs are in the storm's path, says RichIlczyszyn, senior market strategist at brokerage serviceLind-Waldcock.
|Oil companies with offshore platforms in the region—includingExxonMobil, BP and Anadarko Petroleum—have begun to shut some oiland gas production and evacuate workers. A sustained drop inproduction could bring higher oil prices and, if damage occurs,business interruption insurance claims.
|In preparation for Tropical Storm Don, ExxonMobil says it hasevacuated non-essential personnel from facilities in the path ofthe storm and is shutting down production that amounts to 8,000barrels per day, a small fraction of what Exxon produces everyday.
|Shell says it will evacuate 195 people by the end of the day andshut production at one platform. BP has evacuated workers fromthree platforms, though only one was in operation at the time.Anandarko Petroleum says it has evacuated 185 workers and shut sixplatforms.
|Forecasters do not expect the tropical storm to strengthen intoa hurricane or to threaten refinery production on the Gulfcoast.
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