Hurricane Ike Situation Report \# 21

**October 1, 2008 (12:00 PM EDT)**

######### <http://www.oe.netl.doe.gov/emergency_sit_rpt.aspx>

######### 

######### Summary

![](media/image1.wmf)

**Notes:**

> Total state customers are based on 2006 EIA Customer Data.
>
> Note: due to a large number of service providers, including investor
> owned utilities and cooperatives, the number of customer outages
> reported may not be comprehensive.
>
> **Source:**
>
> Crude Oil and Natural Gas Production Data from Minerals Management
> Service.
>
> Refinery Status confirmed by company or on company web site and
> through various trade press sources.

######### \* % capacity out represents percent of production capacity in the Gulf of Mexico.

######### 

######### Highlights:

-   As of 6:00 AM EDT October 1, 35,000 customers remain without power
    in Texas. Power has been restored to over 119,380 customers since
    Ike Situation Report No.20 on Monday. All remaining outages are for
    customers served by CenterPoint.

**Situation Report Detail**

**Petroleum & Gas Information**

![](media/image2.wmf)

**Source:** Minerals Management Service

-   As of September 30, the Minerals Management Service (MMS) reports
    3.384 million cubic feet per day (MMcf/d) of the Gulf's natural gas
    production remains shut-in, equivalent to 45.7 percent of the Gulf
    production. MMS reports 742,266 barrels/day of the Gulf's crude
    production remains shut-in, equivalent to 57.1 percent of the Gulf's
    crude production. A total of 111 production platforms, or 16.0
    percent of the Gulf's 694 manned platforms, remain evacuated.
    Personnel from 1 rig, representing 0.9 percent of the 116 operating
    in the region, remain evacuated.

-   On September 29, MMS reported that 52 of the 3,800 offshore oil and
    natural gas production platforms have been destroyed. These
    platforms produced 13,300 barrels/day of oil and 90 MMcf/d.
    Additionally, MMS reported there were 32 platforms with extensive
    damage that may take up to three to six months to repair and 41
    platforms sustained moderated damage which may take up to one to
    three months to repair..

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-   On September 30, the Louisiana's Department of Natural Resources
    reports that 60,050 b/d or 39 percent of the normal Louisiana oil
    production has been restored. Operators in 17 parishes and in-State
    offshore areas normally produce 155,767 barrels/day (the numbers are
    in addition to MMS reports of Federal offshore production). Shut-in
    oil production is 67,793 b/d and the status of remaining 27,925 b/d
    is unknown. The estimated amount of restored gas production is 619
    MMcf/d or 39 percent of the daily gas production capacity, which is
    1,642 MMcf/d. The estimated amount of shut-in gas production is 721
    MMcf/d; the status of the remaining 301 MMcf/d has not been
    confirmed.

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-   On September 30, DOE announced it is delivering 150,000 barrels of
    emergency exchange oil from the Strategic Petroleum Reserve (SPR) to
    Alon USA's Krotz Springs, LA refinery. In September, DOE announced a
    total of 4.8 million barrels of SPR oil was being delivered to five
    different refineries affected by hurricanes Gustav and Ike.

-   As of 10:00 AM EDT October 1, a number of petroleum product
    pipelines have resumed operations at levels normal before the
    arrival of Hurricane Gustav, including Colonial, Explorer, Longhorn,
    and Magellan. See table below for pipeline status.

-   During the past couple of weeks, States in the Southeast region have
    experienced long lines and spot outages of gasoline at retail
    stations. While some outages continue, conditions are beginning to
    improve as refineries resume to normal production rates and pipeline
    make deliveries.

> ![](media/image3.wmf)**Source**: Status of pipelines from Association
> of Oil Pipe Lines; Capacity data from company web sites

-   One refinery remains shut down as of 10:00 AM EDT October 1,
    ExxonMobil Beaumont with a total operable capacity of 0.3 million
    b/d. Valero reported late on September 29 that its Houston Refinery
    had to shutdown its fluid catalytic cracker for as long as three
    weeks to undertake repairs. In the aftermath of Hurricane Ike, the
    refinery has not been able to move beyond the restarting process.
    See table below for status of refineries.

![](media/image4.wmf)

**Note:** The table does not include all refineries in the PADD III,
Gulf Coast Region.

Storm column indicates hurricanes impacting refineries: G = Gustav; I =
Ike, G+I = Both storms, and - = no impact.

**Sources:** Confirmed by company or on company web site. Various trade
press sources.

-   As of 10:00 AM EDT October 1, five major natural gas pipelines in
    the Gulf Coast area continue to report complete shut-in of their
    systems. Three of the five pipelines have notified their customers
    that the pipeline is ready to return to service; however, due to
    continued assessments of damage to interconnecting facilities and/or
    lack of upstream gas flow, these pipelines remain shut-in. The other
    two pipelines report that repairs to the damaged facilities are
    ongoing and the integrity of the line is being verified. See table
    below.

-   As of 10:39 AM EDT October 1, Stingray Pipeline Company reported
    that initial assessment of the repairs needed to its onshore
    facilities are complete and it is estimated that it will take
    Stingray 4-8 weeks to have all repairs done. The Force Majeure
    declared by Stingray remains in effect.

-   As of 11:30 AM EDT September 29, Nautilus Pipeline Company notifies
    its customers that all receipt points on its system are now
    available to flow gas to four delivery points: Louisiana Intrastate
    Gas, Gulf South Pipeline, Cypress Gas Pipeline and Acadian Gas
    Pipeline. Three delivery points remain unavailable at this time.

-   As of 4:45 PM EDT September 29, Tennessee Gas Pipeline (TGP)
    declared a Force Majeure event due to a leak on a portion of
    offshore line as a result of damage from Hurricane Ike. All points
    along this portion of line are at zero gas flow until TGP can repair
    and confirm the operational integrity of the pipeline system.

-   There are 39 major natural gas processing plants in the path of
    Hurricane Ike with a total operating capacity of 17.7 billion cubic
    feet per day (Bcf/d). As of 10:00 AM EDT October 1, the Energy
    Information Administration (EIA) has confirmed that 5 plants remain
    shut down which includes those plants still impacted from Gustav,
    totaling an operating capacity of 3.18 Bcf/d (18 percent of the
    capacity in Hurricane Ike's path). In addition, EIA reports 28
    plants have resumed operations at reduced or normal levels with a
    total operating capacity of 10.62 Bcf/d. Five plants report that
    they are capable to restart (totaling 3.66 Bcf/d operating capacity)
    once power is restored and/or upstream gas flow are sufficient. See
    table below.

  ------------------ --------- -------------------------------------------------
  **Force Majeure /            
  Critical Notice              
  Posting by Natural           
  Gas Pipelines**              
  ***as of 10/01/08            
  10:45 AM EDT***              

  **Pipeline Name**  **Time    **Notice (Status)**
                     Stamp**   

  ANR Pipeline Co.   9/30/08   ANR's Southeast Area operation conditions are
                               improving resulting in additional points and
                               services being cleared to flow gas. All points
                               upstream of Grand Chenier compressor station are
                               available to flow gas. The Cameron Meadows
                               lateral segment remains shut-in. Inspections
                               continue on both offshore and onshore facilities.

  Chandeleur         9/30/08   Operationally Scheduled Volumes indicates
  Pipeline Co.                 pipeline is flowing at almost 85% of pre
                               hurricane levels.

  Columbia Gulf      9/30/08   Flow from offshore points has been reduced to
  Transmission                 approximately 60% of normal operating capacity.

  Destin Pipeline    9/18/08   Pascagoula processing plant Force Majeure
  Co.                          declared Sept. 15 now lifted and flows will
                               resume to normal.

  Discovery Gas      9/26/08   Updated customers on time frame of schedule to
  Transmission                 repair 30" mainline that could take up to 60+
                               days - Damage to offshore system that will
                               prevent the receipt of all offshore gas. The
                               damage has occurred on the 18^"^ ST 200 lateral,
                               which has been torn away from the 30" mainline at
                               ST 231. Onshore delivery & receipt points will
                               continue to accept flow.

  Enbridge (UTOS)    9/25/08   All UTOS facilities remain under Force Majeure
                               and are currently down and all points are
                               shut-in. Crews are currently at the UTOS Station
                               44 clearing mud and debris and are assessing the
                               damage. There is no time frame for restoration of
                               service at this time.

  Garden Banks Gas   9/25/08   Garden Banks\' pipeline facilities are
  Pipeline                     essentially ready for return to service; however,
                               the pipeline remains shut-in because there is no
                               current availability of downstream outlets for
                               condensate, which includes interconnects with
                               ANR, Tennessee, Transco, and Sea Robin all of
                               which are unavailable.

  High Island        9/29/08   Force Majeure from Sept 10 remains in effect -
  Offshore System              42-inch diameter line on system has been severed
                               and HIOS has the repair tools & pipe available to
                               replace the damage section. A dive vessel
                               expected to be onsite in 5 days. 3 points along a
                               lateral not impacted can flow gas but all other
                               offshore points remain shut-in. Two delivery
                               points are now available -- ANR & Tennessee.

  KinderMorgan       9/20/08   All firm storage customers can resume injections
  (Texas & Tejas)              at 100% of their firm injection rights. There is
                               no interruptible space available at this time.

  Manta Ray Offshore 9/24/08   Force Majeure is lifted as of Sept 24. Gas flow
  Gathering                    is available for delivery to Nautilus Pipeline
                               but all other delivery points (ANR, Transco, &
                               Trunkline) remain unavailable at this time. Only
                               portion of receipts offshore can flow gas at this
                               time.

  Mississippi Canyon 9/30/08   Force Majeure lifted -- flow commenced on Sept 29
  Pipeline                     at reduced levels.

  Natural Gas        9/24/08   Power has been restored to Compressor Station 343
  Pipeline Co of               and the leaks discovered on the LA line have been
  America                      repaired and is now in service. Force Majeure
                               still in effect for Station 342 and Station 302.

  Nautilus Pipeline  9/29/08   Force Majeure has been lifted as of Sept 24. All
  Co.                          receipt points are now available to flow gas to
                               the following delivery points: Louisiana
                               Intrastate Gas, Gulf South, Cypress, and Acadian.

  Sabine Pipe Line   9/22/08   Force Majeure has been lifted for some additional
  (Henry Hub)                  points along the system. Henry Hub continues to
                               operate on partial compression and the pipeline
                               is closely monitoring its system.

  Sea Robin Pipeline 9/30/08   Sea Robin lifted the Operational Flow Order
  Co.                          issued on August 30 for 25 receipt points on its
                               system as a result of completion of the
                               inspections.

  Southern Natural   9/24/08   Southern has issued its final update. Six receipt
  Gas Co.                      points remain shut-in totaling 62 MMcf/d. The
                               restart of these points is dependent on third
                               parties repairing damage and it is unknown when
                               these points will return.

  Stingray Pipeline  10/1/08   Force Majeure remains in effect and all receipt
  Co.                          points remain shut-in. Assessments have been
                               completed for all onshore facilities. Stingray
                               estimates it will take 4-8 weeks to complete
                               repairs to its onshore facilities including the
                               separation facility.

  Tennessee Gas      9/29/08   Declared Force Majeure on Sept 29 for damage to
  Pipeline                     subsea portion of line (500 line). All points on
                               line are at zero until further notice from TGP.

  Texas Eastern      9/29/08   Investigations of pipeline's facilities are
  Transmission                 complete and have returned to operations. TE has
                               restrictions on gas flow at delivery and receipt
                               points along portions of the South TX and East TX
                               zones.

  Texas Gas          9/17/08   All systems on the pipeline are operational, but
  Transmission                 they are closely monitoring receipt points.

  Transcontinental   9/23/08   Further inspections are needed for the Southeast
  Gas Pipe Line                LA lateral resulting in shut-in gas flow from
                               multiple points along this segment. Pipeline
                               estimates that 575 MMcf/d remains shut-in due to
                               Ike.

  Trunkline Gas      9/24/08   The Kaplan Compressor Station has one unit now
  Pipeline                     available to flow gas raising the capacity to the
                               Henry Hub. 30 receipt points have been cleared
                               for flow.

  Venice Gathering   9/30/08   Venice Processing plant has informed pipeline
  System                       that the plant's Force Majeure has been lifted;
                               however, plant start up is not expected until
                               Monday, Sept 29. The Force Majeure will stay in
                               effect, but will be lifted on a point by point
                               basis. A limited volume of gas flow commenced
                               Sept 29 and is expected to increase as points
                               become available on the system.

  Dauphin Island     9/16/08   Force Majeure lifted as Mobile Bay (Duke)
  Gathering                    processing plant completed maintenance. System
                               will resume normal operations.

  Black Marlin       9/15/08   Force Majeure declared Friday, Sept 12. - No gas
  Pipeline                     flow being accepted.

  Gulf South         9/18/08   Critical Period has been lifted as of gas day
  Pipeline                     Sept 18.

  Northern Natural   9/22/08   Matagorda Offshore Pipeline System accepting gas
                               flow at normal levels.
  ------------------ --------- -------------------------------------------------

![](media/image5.wmf)**Note:** Storm column indicates hurricanes
impacting processing plant: G = Gustav; I = Ike, G+I = Both storms, M =
Maintenance, and - = no impact

"N/A" (Not Available or Confirmed) identifies those plants that are in
the path of Ike that have not yet been confirmed of their status. ^1^
The capacity represents the design capacity of the plants and does not
represent the actual gas flow through these plants.

^2^ Confirmed plants capable to restart after electricity is restored or
when upstream gas flow commences service.

^3^ The Matagorda processing plants has been idle (mothballed) prior to
Hurricane Gustav/Ike.

**Sources:** Confirmed by company or on company web site. Various trade
press sources

**Electricity Updates:**

  ------------ -------------------------------------------------- -------------
  **Texas:**                                                      

  **As of:**   10/1/2008 6:00 AM EDT                              
  ------------ -------------------------------------------------- -------------

> ![](media/image6.wmf)Total utility customers are based on TXPUC outage
> reports.
>
> Note: due to a large number of service providers, including investor
> owned utilities and cooperatives, the number of customer outages
> reported may not be comprehensive.

-   As of 6:00 AM EDT October 1, there are 35,000 customers without
    power in Texas. Over 119,380 customers had power restored since Ike
    Situation Report No. 20.

-   CenterPoint has restored power to nearly all of the 2.1 million
    customers that lost power due to Ike. CenterPoint reports that 8,400
    mutual assistance crews plus 4,200 internal crews and contractors
    are involved in the restoration.