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NEWS

5.31.2007 12:00 AM

Offshore Oil Rigs Ready For Storms

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By Dan Shapley

Companies say oil and natural gas infrastructure in the Gulf of Mexico is more resistant to hurricane damage than it was two years ago, when Hurricane Katrina's damage cut supplies and sent gas prices spiraling. Better communications, pipe infrastructure, backup plans and other systems should make for a faster resumption of service if a powerful storm damages an oil or gas operation, company officials said. That's good news, since historically high gas prices are only a catastrophe away from shooting to new highs, according to analysts quoted in a Newsday report today. Any disruption will shock the system, since there is only just enough refining capacity to supply demand, according to a story in the May 31 Times-Picayune.
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