Link to Reference: Pam Radtke Russell, Business writer, January 20, 2006

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Highlights:
- Hurricanes Katrina and Rita destroyed 115 oil and gas platforms in the Gulf of Mexico
- 418 "minor pollution incidents" occurred within a four-week period in August and September. The agency defines a minor incident as a spill of 500 barrels of oil or less that does not reach the coastline. A spokeswoman could not provide the cumulative amount of oil that was spilled.
- The agency estimates that 3,050 of the Gulf's 4,000 platforms and 22,000 of the 33,000 miles of pipelines were in the direct path of the hurricanes. Most of the destroyed platforms were older and in shallower waters

Hurricanes Katrina and Rita destroyed 115 oil and gas platforms in the Gulf of Mexico in the worst natural disaster to hit the oil and natural gas industry in the Gulf, the Minerals Management Service said Thursday.

The most recent assessment from the federal agency showed that in addition to the destroyed platforms, 52 platforms and 183 pipelines were damaged, and 418 "minor pollution incidents" occurred within a four-week period in August and September. The agency defines a minor incident as a spill of 500 barrels of oil or less that does not reach the coastline. A spokeswoman could not provide the cumulative amount of oil that was spilled.

About 25 percent of the oil production in the Gulf remains down because of the damage. That amount isn't expected to significantly change until the second half of this year.

The agency estimates that 3,050 of the Gulf's 4,000 platforms and 22,000 of the 33,000 miles of pipelines were in the direct path of the hurricanes. Most of the destroyed platforms were older and in shallower waters, said MMS spokeswoman Caryl Fagot, and all but one was a fixed platform.

BP alone lost 10 platforms in Hurricane Katrina. Seven of BP's platforms were toppled, and three of them were listing after the storm, said company spokeswoman Ayana McIntosh-Lee. But many of the shallow-water facilities were not producing, and those that were producing generated only about the equivalent of 2,500 barrels of oil per day.

BP produces about 400,000 barrels per day in the Gulf of Mexico, Lee said. The company is assessing the damage to the platforms and deciding what to do with them.

The Minerals Management Service plans to award six contracts to further assess and study the hurricanes and the damage they caused, including the response of waves and currents in the Gulf of Mexico.

After Hurricane Ivan in 2004, only seven platforms were destroyed, said MMS Regional Director Chris Oynes.

The assessment is not complete, Fagot said. The amount of damage could change as companies survey their Gulf facilities.

Oynes said the assessments have been delayed because of "overwhelmed support resources, such as diving equipment, support vessels, and remotely operated vehicles."

The most significant damage occurred at Royal Dutch Shell's Mars platform, which each day was producing 130,000 barrels of oil and 150 million cubic feet of gas before Katrina. Repairs are expected to be complete in the second half of the year.

The information released in the report was self-reported by the oil and gas companies operating in the Gulf of Mexico.