An
already large and powerful storm, Delta could intensify further
on Friday as it churns through the Gulf's prime oil-producing
area. Its winds reached 120 miles per hour (195 kmh), according
to the National Hurricane Center.
Delta has shut 1.67 million barrels per day, or 92% of the
Gulf's oil output, the most since 2005 when Hurricane Katrina
destroyed more than 100 offshore platforms and hobbled output
for months.
Oil prices eased in early trading in Asia on Friday, but were on
track for gains of about 10% for the week, boosted by outages in
the Gulf of Mexico and a labor dispute in the North Sea. The two
combined have removed 3.17 million barrels per day from the
market.
Workers had evacuated 279 offshore Gulf of Mexico facilities and
producers moved 15 drilling rigs away from Delta's large and
strong windfield. Tropical force winds stretched up to 160 miles
from its center, the NHC said, a sign of its large size.
Delta will decrease as it approaches the coast but is expected
to remain a Category 3 storm on the 5-step Saffir-Simpson scale.
It will bring a 4- to 11-foot (1.2-3.3 meters) storm surge to
the coast near landfall, the NHC said.
In addition to oil, producers have halted nearly 62% of the
region's natural gas output, or 1.675 billion cubic feet per
day. Offshore Gulf of Mexico fields produce about 15% of U.S.
crude oil and 5% of its natural gas production.
Total SA on Thursday began shutting an oil processing unit at
its 225,500 barrel-per-day (bpd) Port Arthur, Texas, refinery
because of the threat from Hurricane Delta, people familiar with
plant operations said.
Royal Dutch Shell Plc said it would continue operating its
refineries in Convent, Geismar and Norco, Louisiana, through the
storm.
(Reporting by Gary McWilliams; Editing by Ana Nicolaci da Costa)
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