Earth Equity News

Oil Companies Shutting Down Gulf Installations. By John Porretto, AP, August 30, 2008. “Royal Dutch Shell, BP and other oil companies wrapped up evacuations and shut down production Saturday as an intensifying Hurricane Gustav churned toward the petroleum-rich waters of the Gulf of Mexico... Both oil giants said production was being completely shut off -- a process that can involve closing safety valves in thousands of feet of water to prevent the release of oil or natural gas. Analysts say prolonged supply disruptions could cause a sudden price uptick for gasoline and other petroleum products. Gasoline prices rose this week for the first time in more than a month, and they continued upward Saturday... How long production remains halted depends on Gustav's path and timing. Frank Glaviano, a Shell vice president who oversees production, said the flow of oil or natural gas usually can resume rather quickly -- as long as equipment isn't damaged by the storm. ‘Typically, about half of our production comes back [within a couple of days],’ he said."