![](media/image1.jpeg){width="8.5in" height="3.5027777777777778in"}U.S.
DEPARTMENT OF ENERGY

**Office of Electricity Delivery and\
Energy Reliability**

**ENERGY ASSURANCE DAILY**

**September 1, 2005**

## Highlights/Major Developments

**Update: Hurricane Katrina**

OFFICE OF ELECTRICITY DELIVERY AND ENERGY RELIABILITY (OE)

U.S. DEPARTMENT OF ENERGY

Hurricane Katrina Situation Report #15

**September 1, 2005 (6:00 PM EDT)**

######## HIGHLIGHTS

Approximately 1.8 million customers remain without electric power due to
Hurricane Katrina. These are primarily in Louisiana, Mississippi, and
Alabama \-- 30 percent of customers in the three states are without
power (see table below).

Region IV RRCC priorities are fuel, food and communications. Requests
have been made to provide flood impact graphics for Region IV.

Inaccessibility as well as extensive damage from flooding and saltwater
is a major issue impacting electricity restoration. Well over 10,000
outside crews have arrived to provide assistance; however, availability
of line crews remains an issue. As Florida utilities finish their
restoration work their crews have begun to move to other states. Entergy
reports that its single biggest problem to restoring power in the
Greater New Orleans area is the lack of food and water for its repair
crews who are literally sleeping in their trucks. Earlier today, OE
staff on site in Louisiana provided GIS coordinates to FEMA so that
shipments can begin to these workers.

Electricity outages are impeding full restoration of the Colonial
Pipeline, the LOOP, and the Plantation Pipeline. More detail about the
status of these pipelines is available below (see Petroleum and Gas
section).

**PETROLEUM AND GAS INFORMATION**

The LOOP is operational from St. James Terminal and by the evening of
9/2/05 they will have power to move crude from the LOOP to Clovelly and
out to St. James Terminal. Limited electricity supplies are restricting
flow.

The Strategic Petroleum Reserve at New Orleans Elmwood office complex
remains shut down. Bayou Choctaw, Bryan Mound, Big Hill and West
Hackberry storage sites, however, are operational and will be able to
provide crude oil in the loan program noted above.

Colonial Pipeline is now operating at 40% of normal operating capacity.
Once additional generators are activated at inactive pump stations,
production will increase to 1.2 to 1.3 million barrels per day. Both
gasoline and distillates are currently being transported and delivered.
The line was full when it went down, so deliveries were possible within
hours -- not days -- of restart. The company anticipates that it may be
able to achieve approximately 74% of normal operating capacity by Sunday
and 75% to 86% by early or mid-next week if additional electricity can
be supplied to critical pump stations. Further increases cannot be made
until normal power is restored. The capacity of Colonial is about 2.4
million barrels per day. Solutions for power restoration are being
actively pursued.

Plantation has partially started its system as is operating at 25% of
capacity and hopes to be up to 50% of normal operations by Friday.

Capline, a crude oil pipeline serving the Midwest, was restarted
yesterday at a rate of 720,000 barrels a day and can operate at reduced
rates until the LOOP is fully operational.

The Seaway Interstate Pipeline to Cushing, OK, is operating at full
capacity (350,000 barrels a day). From Cushing, the Enbridge (Ozark)
pipeline to Wood River and the BP pipeline to Chicago are operating at
full capacity.

The following tables display refineries located in states impacted by
Hurricane Katrina:

> **LA/MS/AL -- Gulf Coast Refiner Impacts**

+---------------+------------+-----+---------+-----------------------+
| **Refinery**  | **         | **S | **Cap   | **Impact**            |
|               | Location** | tat | acity** |                       |
|               |            | e** |         |                       |
|               |            |     | **(bbl  |                       |
|               |            |     | /day)** |                       |
+---------------+------------+-----+---------+-----------------------+
| ExxonMobil\*  | Baton      | LA  | 493,500 | Reduced Runs          |
|               | Rouge      |     |         |                       |
+---------------+------------+-----+---------+-----------------------+
| Valero        | Krotz      | LA  | 80,000  | Reduced Runs          |
|               | Springs    |     |         |                       |
+---------------+------------+-----+---------+-----------------------+
| Placid Oil\*  | Port Allen | LA  | 48,500  | Reduced Runs          |
+---------------+------------+-----+---------+-----------------------+
| Con           | Belle      | LA  | 247,000 | Shutdown major damage |
| ocoPhillips\* | Chasse     |     |         |                       |
+---------------+------------+-----+---------+-----------------------+
| Marathon      | Garyville  | LA  | 245,000 | Shutdown -- minor     |
|               |            |     |         | damage                |
+---------------+------------+-----+---------+-----------------------+
| Motiva        | Convent    | LA  | 235,000 | Shutdown -- no        |
| (Shell)       |            |     |         | assessment yet        |
+---------------+------------+-----+---------+-----------------------+
| Motiva        | Norco      | LA  | 226,500 | Shutdown -- no        |
| (Shell)       |            |     |         | assessment yet        |
+---------------+------------+-----+---------+-----------------------+
| Shell         | St Rose    | LA  | 55,000  | Shutdown              |
| Chemical      |            |     |         |                       |
+---------------+------------+-----+---------+-----------------------+
| Chalmette     | Chalmette  | LA  | 187,200 | Shutdown -- water     |
|               |            |     |         | damage                |
+---------------+------------+-----+---------+-----------------------+
| Valero        | St.        | LA  | 185,000 | Shutdown; 1 or 2      |
|               | Charles    |     |         | weeks; water damage   |
+---------------+------------+-----+---------+-----------------------+
| Murphy        | Meraux     | LA  | 120,000 | Shutdown -- water     |
|               |            |     |         | damage                |
+---------------+------------+-----+---------+-----------------------+
| Ch            | Pascagoula | MS  | 325,000 | Shutdown major damage |
| evronTexaco\* |            |     |         |                       |
+---------------+------------+-----+---------+-----------------------+
| Shell         | Saraland   | AL  | 80,000  | Shutdown; have power  |
| Chemical      |            |     |         | and should be up      |
|               |            |     |         | relatively soon       |
+---------------+------------+-----+---------+-----------------------+

**Port Arthur/Lake Charles Refiner Impacts**

+----------------+-----------+------+---------+----------------------+
| **Refinery**   | **L       | *    | **Cap   | **Impact**           |
|                | ocation** | *Sta | acity** |                      |
|                |           | te** |         |                      |
|                |           |      | **(bbl  |                      |
|                |           |      | /day)** |                      |
+----------------+-----------+------+---------+----------------------+
| ExxonMobil\*   | Beaumont  | TX   | 348,500 | OK                   |
+----------------+-----------+------+---------+----------------------+
| Motiva         | Port      | TX   | 285,000 | OK                   |
| (Shell)\*      | Arthur    |      |         |                      |
+----------------+-----------+------+---------+----------------------+
| Premcor        | Port      | TX   | 247,000 | OK                   |
|                | Arthur    |      |         |                      |
+----------------+-----------+------+---------+----------------------+
| Koch\*         | Corpus    | TX   | 156,000 | OK                   |
|                | Christi   |      |         |                      |
+----------------+-----------+------+---------+----------------------+
| Total\*        | Port      | TX   | 211,500 | Reduced Runs (Mars)  |
|                | Arthur    |      |         |                      |
+----------------+-----------+------+---------+----------------------+
| Citgo\*        | Lake      | LA   | 324,300 | OK receiving crude   |
|                | Charles   |      |         |                      |
+----------------+-----------+------+---------+----------------------+
| Co             | Lake      | LA   | 239,400 | Reduced runs         |
| nocoPhillips\* | Charles   |      |         |                      |
+----------------+-----------+------+---------+----------------------+

**Capline Pipeline -- Midwest Refiner Impacts**

+---+-------------+-------------+------+---------+----------------------+
|   | *           | *           | *    | **Cap   | **Impact**           |
|   | *Refinery** | *Location** | *Sta | acity** |                      |
|   |             |             | te** |         |                      |
|   |             |             |      | **(bbl  |                      |
|   |             |             |      | /day)** |                      |
+---+-------------+-------------+------+---------+----------------------+
| B |             | Whiting     | IN   | 410,000 | Reduced Runs         |
| P |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| B |             | Toledo      | OH   | 160,000 | Reduced Runs         |
| P |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| E |             | Joliet      | IL   | 238,000 | OK                   |
| x |             |             |      |         |                      |
| x |             |             |      |         |                      |
| o |             |             |      |         |                      |
| n |             |             |      |         |                      |
| M |             |             |      |         |                      |
| o |             |             |      |         |                      |
| b |             |             |      |         |                      |
| i |             |             |      |         |                      |
| l |             |             |      |         |                      |
| \ |             |             |      |         |                      |
| * |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| P |             | Lemont      | IL   | 160,000 | OK                   |
| D |             |             |      |         |                      |
| V |             |             |      |         |                      |
| M |             |             |      |         |                      |
| i |             |             |      |         |                      |
| d |             |             |      |         |                      |
| w |             |             |      |         |                      |
| e |             |             |      |         |                      |
| s |             |             |      |         |                      |
| t |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| M |             | Robinson    | IL   | 192,000 | Reduced Runs         |
| a |             |             |      |         |                      |
| r |             |             |      |         |                      |
| a |             |             |      |         |                      |
| t |             |             |      |         |                      |
| h |             |             |      |         |                      |
| o |             |             |      |         |                      |
| n |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| M |             | C           | KY   | 222,000 | Reduced Runs         |
| a |             | atlettsburg |      |         |                      |
| r |             |             |      |         |                      |
| a |             |             |      |         |                      |
| t |             |             |      |         |                      |
| h |             |             |      |         |                      |
| o |             |             |      |         |                      |
| n |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| M |             | Detroit     | MI   | 74,000  | OK                   |
| a |             |             |      |         |                      |
| r |             |             |      |         |                      |
| a |             |             |      |         |                      |
| t |             |             |      |         |                      |
| h |             |             |      |         |                      |
| o |             |             |      |         |                      |
| n |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| M |             | Canton      | OH   | 73,000  | OK                   |
| a |             |             |      |         |                      |
| r |             |             |      |         |                      |
| a |             |             |      |         |                      |
| t |             |             |      |         |                      |
| h |             |             |      |         |                      |
| o |             |             |      |         |                      |
| n |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| C |             | Wood River  | IL   | 306,000 | Reduced Runs         |
| o |             |             |      |         |                      |
| n |             |             |      |         |                      |
| o |             |             |      |         |                      |
| c |             |             |      |         |                      |
| o |             |             |      |         |                      |
| P |             |             |      |         |                      |
| h |             |             |      |         |                      |
| i |             |             |      |         |                      |
| l |             |             |      |         |                      |
| l |             |             |      |         |                      |
| i |             |             |      |         |                      |
| p |             |             |      |         |                      |
| s |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| P |             | Memphis     | TN   | 180,000 | Reduced Runs         |
| r |             |             |      |         |                      |
| e |             |             |      |         |                      |
| m |             |             |      |         |                      |
| c |             |             |      |         |                      |
| o |             |             |      |         |                      |
| r |             |             |      |         |                      |
| \ |             |             |      |         |                      |
| * |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| P |             | Lima        | OH   | 158,400 | Reduced Runs         |
| r |             |             |      |         |                      |
| e |             |             |      |         |                      |
| m |             |             |      |         |                      |
| c |             |             |      |         |                      |
| o |             |             |      |         |                      |
| r |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+
| S |             | Toledo      | OH   | 160,000 | Not Available        |
| u |             |             |      |         |                      |
| n |             |             |      |         |                      |
+---+-------------+-------------+------+---------+----------------------+

\* Refineries with company owned and operated on-site power generation.

**ELECTRICITY INFORMATION**

### STATE OUTAGE DATA 

+---------------------+--------------------+---------------------------+
| **Utility**         | **Customers w/o    | **% Customers w/o Power** |
|                     | Power**            |                           |
|                     |                    | **from Katrina (1)**      |
+---------------------+--------------------+---------------------------+
| Alabama             | 235,213            | 10%                       |
+---------------------+--------------------+---------------------------+
| Louisiana           | 780,735            | 37%                       |
+---------------------+--------------------+---------------------------+
| Mississippi         | 774,244            | 55%                       |
+---------------------+--------------------+---------------------------+
| **Total**           | **1,790,192**      | **30%**                   |
+---------------------+--------------------+---------------------------+

> Less than 1 percent of customers in Georgia and Florida remain without
> power due to Katrina

**STATE REPORTS**

######### Alabama

Over 235, 000, or 10 percent of customers, remain without power in
Alabama. This includes 197,000 Alabama Power customers, 28,213
Cooperative customers, and 10,000 Municipal customers. This is down from
a peak Monday night of 636,891. Alabama Power crews have been assisted
by utilities from at least 20 states and the District of Columbia. The
company anticipates that 99 percent of power will be restored in the
Birmingham area by the end of the day 9/2/05. Ninety-nine percent of
power in Tuscaloosa will be restored by the end of the day 9/4/05, and
99 percent of all customers will be restored by September 7. The storm
is the worst on record as far as damage to the company's infrastructure.
Outages by division are as follows:

-   Birmingham: 38,617

-   Tuscaloosa: 35,463

-   Mobile: 132,779

For cooperatives, the worst hit counties are Monroe, Choctaw, Clarke,
Baldwin, and Marion. Approximately 400 crew members from out of state
are helping in the restoration of the co-ops.

######### Mississippi and Louisiana 

Louisiana has 780,735 customers remaining without power as reported by
the Louisiana Public Service Commission (11:00AM 9/1/05). Electricity
service in Louisiana areas not impacted by flooding is slowly being
restored.

In Mississippi 774,244 customers are without power, 55 percent of
customers in the state. Of these, 190,759 are in the Entergy service
area; 181,000 are in the Mississippi Power service area; 449,000 are in
the Mississippi Electric Power Association service area; and 113,289 are
in the TVA area.

Mississippi Power estimates that about 70 percent of its 8,000 miles of
transmission and distribution lines will need to be repaired or
replaced. Over 2,500 outside crews arrived Tuesday to provide
assistance. About 5,000 outside crews are expected to be available by
today. Mississippi Power estimates that it may take as long as four
weeks to restore power in hard-hit areas.

At 11 a.m., Sept.1, Entergy's transmission system had 98 lines and 98
substations out of service. The company is working to restore service
for pumping, sanitation, and housing facilities in the Central Business
District of New Orleans as well as the west bank of Jefferson Parish.
Aerial damage assessments should be substantially completed by the end
of the day; however, access to flooded facilities is limited and
preventing detailed assessments. Restoration of the transmission system
in this area is progressing well except in the areas impacted by flood
waters, which includes over thirty substations in the New Orleans area.
Salt water flooding in this area is expected to impact substation
restoration due to damaged equipment.

Entergy now has 9,000 line and vegetation workers restoring service.
Entergy is in contact with other utilities and contract workers to bring
in additional workers and pre-position as many out-of-state utility
crews as possible to quickly move in to help restore service. The
company website reports that flooding, fuel supply and other barriers
will make restoration more difficult.

Louisiana Outages by Major Utility (9/1/05 11:00 AM)

  ------------------------------- ------------------- -------------------
  **Electric Utility**            **Customers w/o     **% customers w/o
                                  Power**             power**

  Entergy Louisiana Inc           391,118             60%

  Entergy Gulf States Inc         51,277              15%

  Cleco Power LLC                 79,672              31%

  Entergy New Orleans Inc         200,751             93%

  Dixie Electric Membership Corp  24,005              28%

  Washington-St Tammany E C, Inc  20,000              48%

  South Louisiana Elec Coop Assn  13,912              73%
  ------------------------------- ------------------- -------------------

## 

######### Florida

As of 1:00 PM 9/1/05, approximately 10,400 customers, less than 1
percent of customers in the state, remain without power in Florida due
to Katrina. Florida Power & Light is releasing 1,000 line crews to
support restoration in Gulf Coast States. Utilities in Florida are
encouraging conservation by customers due to concerns about natural gas
supplies. The Florida Reliability Coordinating Council issued a
generating alert, calling for conservation of electricity.

**Additional Information**

### Gulf of Mexico Shut-in Production MMS release #3331

Based on the latest data available from the Minerals Management Service,
51.65% of 819 manned platforms and 47.76% of 137 rigs currently
operating in the GOM have been evacuated as of 11:30 a.m. August 30.
Shut-in oil production is 1,356,498 BOPD or 90.43% of daily production
(which is currently approximately 1.5 million BOPD), and shut-in gas is
7.866 BCFPD or 78.66% of daily production (which is currently
approximately 10.0 BCFPD). The cumulative shut-in oil production for the
period 8/26/05 -- 9/01/05 is 7,441,566 bbls or 1.359% of annual
production. The cumulative shut-in production for the period 8/26/05 --
9/01/05 is 42.079 BCF of 1.153% of annual production

**Hurricane Katrina\
Evacuation and Production Shut-in Statistics Report\
as of Thursday, September 1, 2005**

**This survey is reflective of 68 companies' reports as of 11:30 a.m.
Central Time.**

  --------------- ----------- ----------- --------------- ----------- ----------- -----------
  **Districts**   **Lake      **Lake      **Lafayette**   **Houma**   **New       **Total**
                  Jackson**   Charles**                               Orleans**   

  **Platforms     34          74          62              91          162         423
  Evacuated**                                                                     

  **Rigs          3           9           13              22          17          64
  Evacuated**                                                                     

  ** **                                                                            

  **Oil, BOPD     28,646      44,315      228,109         344,118     711,310     1,356,498
  Shut-in**                                                                       

  **Gas, MMCF/D   498.85      1,649.93    990.55          1,874.26    2,852.44    7,866.03
  Shut-In**                                                                       
  --------------- ----------- ----------- --------------- ----------- ----------- -----------

Note: \`The cumulative numbers reflect updated production numbers from
all previous reports. The reports only represent input received by 11:30
a.m. CDT. If a company does not report by 11:30 a.m. it is not included
in the special information release, but it is included in the cumulative
shut-in production. This may result in an apparent increase in the
cumulative report amount.

<http://www.mms.gov/ooc/press/2005/press0901.htm>

**Other Sources of Information**

Damage to Gulf Coast refineries has cut daily jet fuel production by 13
percent, the [Air Transport
Association](http://www.bizjournals.com/search/bin/search?q="Air Transport Association"&t=pacific)
said Wednesday. That represents 200,000 fewer barrels of jet fuel out of
1.5 million barrels produced daily before the storm, ATA said. Jet fuel
supplies were tight at airports the past two months even before Katrina
hit.
<http://news.yahoo.com/news?tmpl=story&u=/usatoday/20050901/bs_usatoday/shortageloomsifjetfueldisruptionnotfixedsoon>

# Although the FAA has stated that based on latest information available to it, that supplies of jet fuel are sufficient to fully meet continued commercial operations, others believe that major airports in the East and Southeast could run out of jet fuel in the next week or two if refinery and pipeline shutdowns aren\'t resolved soon. Shortages appear most severe at airports in Charlotte, Tampa, Orlando and Fort Myers, Fla. But two of the USA\'s busiest airports could also be affected - Atlanta\'s Hartsfield-Jackson and Washington Dulles. Even when refineries and pipelines come back on-line, the high demand for gasoline (to avoid shortages) production by these plants will continue to keep jet fuel supplies very tight. 

# Reuters 14:31, September 1, 2005

<http://news.yahoo.com/news?tmpl=story&u=/usatoday/20050901/bs_usatoday/shortageloomsifjetfueldisruptionnotfixedsoon>

Planes are carrying more fuel than would be normally needed to avoid
drawing down fuel supplies at Charlotte, Tampa, Orlando, Fort Myers and
several other cities according to ATA.
<http://news.yahoo.com/news?tmpl=story&u=/usatoday/20050901/bs_usatoday/shortageloomsifjetfueldisruptionnotfixedsoon>

Although no airlines have canceled flights because of a lack of fuel
thus far, closed airports in the Southeast have resulted in hundreds of
flight cancellations.

In addition to problems with its Capline pipeline, Shell has indicated
that four other pipelines carrying refined oil products between New
Orleans and Baton Rouge, Louisiana are also shutdown because of power
outages and a lack of supply from refineries closed by the hurricane.

<http://quote.bloomberg.com/apps/news?pid=10000103&sid=a8vRcenQdXL4&refer=news_index>

Long gasoline lines are reported in West Virginia by the head of the
West Virginia Oil Marketers and Grocers Association. Many stations in
and around downtown Atlanta had run out of gas by sunrise. The same is
reported in parts of Alabama, Georgia, North Carolina, West Virginia,
Wisconsin and Arizona.
<http://www.altustimes.com/articles/2005/09/01/ap/business/d8cbdrg02.txt>

<http://www.katu.com/consumernews/story.asp?ID=79349>

<http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2005/09/01/financial/f072229D66.DTL&feed=rss.news>

<http://www.herald-zeitung.com/wire.lasso?report=/dynamic/stories/K/KATRINA_GAS_PRICES_HK3>

######## Electricity

## Teco Energy Expects Delays in Coal Shipments to Tampa Electric

Utility operator Teco Energy indicated that coal shipments to Tampa
Electric are expected to be delayed due to halted operations at Teco's
Bulk Terminal facility in Louisiana. Supply remains ample at the
terminal facility, but flooding and power failures have stopped
shipments. Teco said that operations would resume as soon as possible.

Reuters 9:47, September 1, 2005

## Ontario Power Generation's Pickering 1 Expected to Begin Service Soon

The 515-megawatt unit 1 at the Pickering nuclear generating station is
expected to enter commercial service in October. The station is located
on the north shore of Lake Ontario, 30 miles east of Toronto, and has
not operated since December 1997.

Reuters 11:42, September 1, 2005

## Duke's 846-MW Oconee 3 Shuts Down 

The Oconee 3 nuclear reactor in South Carolina automatically shut down
during a diagnostic test yesterday. Duke is currently investigating the
cause of the problem.

Bloomberg 9:27, September 1, 2005

Reuters 16:21, September 1, 2005.

OPG's 515 MW Unit 6 at its Pickering Nuclear Generating Station in
Ontario Shut August 31

Reuters 16:21, September 1, 2005.

OPG's 535 MW Unit 2 at its Lennox Oil/Gas-fired Generating Facility in
Ontario Shut September 1

Reuters 16:21, September 1, 2005.

AES's 415 Gas-fired Unit 5 at its Alamitas Generating Facility in
California Shut August 31.

Reuters 16:23, September 1, 2005.

######## Petroleum

## U.S. Gasoline Prices at the Pump Reach Record Average 

Average gasoline pump prices surged 36 cents overnight to a record-high
\$2.99 per gallon. Hurricane damage to oil refineries in the coastal
areas have made it difficult for retailers to secure supplies. A record
\$5.68 per gallon of gasoline was reported in Atlanta, Georgia.

Bloomberg 12:21, September 1, 2005

## Placid Refining Co. - Approved for Oil from Strategic Reserve

The U.S. Department of Energy approved Placid Refining Co.'s request for
one million barrels of crude oil from the Strategic Petroleum Reserve.
Placid expects to receive crude at its Port Allen, Louisiana refinery by
the end of next week. The refinery normally processes 49,000 barrels of
oil per day, but operations ceased this week after the effects of
Hurricane Katrina shut a supply pipeline.

Bloomberg 17:13, August 31, 2005

## ExxonMobil - Approved for Oil from Strategic Reserve

On Thursday, the Department of Energy approved ExxonMobil Corp.'s
request for six million barrels of crude oil from the Strategic
Petroleum Reserve. ExxonMobil will borrow three million barrels of sweet
crude and three million barrels of sour crude from the reserve.

Reuters 14:17 September 1, 2005

## Valero Requests Crude from Strategic Petroleum Reserve

Valero Energy Corp. requested 1.5 million barrels of crude oil from
emergency stockpiles on Thursday. Valero, the largest U.S. oil refiner,
is at least the fourth refiner this week to request crude from the
Strategic Petroleum Reserve. Energy Secretary Samuel Bodman said
yesterday that as much as five million barrels of crude oil per day
could be accessed from federal reserves.

Bloomberg 11:56, September 1, 2005

#  

### Marathon to Restart Garyville Refinery During the Weekend

Marathon announced that it would restart it 245,000 refinery in
Garyville, Louisiana during the coming weekend. The company said that it
has already begun heating some of the units in preparation for the
restart of production.

Reuters 14:01 September 1, 2005.

### Dixie Propane Pipeline Shut Down

The 1,301-mile propane pipeline operated by Phillips remains shut down
due to the effects of hurricane Katrina. The pipeline collects propane
from fractitioners and refiners in the gulf region and transports it to
customers throughout the southeast.

Reuters 10:23, September 1, 2005

<http://www.epplp.com/bs_ngl_p_o.html>

### Nigerian Pipeline Fire Forces Shell of Shut some Oil Production

A fire in a main gas pipeline in Nigeria forced Shell to cut gas and oil
shipments to an export facility. Only a small amount of oil (12,000 b/d)
was shut in as a result.

Reuters 12:12, September 1, 2005.

**Houston Exploration -- Initial damage Assessment**

Some 63 MMcf/d of production remains shut-in

Reuters 14:00, September 1, 2005.

### Helmerich & Payne Inc -- Initial damage Assessment

According to the company, one rig of eight sustained damage losing a
derrick and sustaining a damaged substructure.

Reuters 13:22, September 1, 2005.

### Swift Energy - Initial Damage Assessment 

Swift Energy's aerial survey indicates that all infrastructure appears
to be in place. A more complete assessment must be made to determine
when facilities will be restarted.

<http://pro.energycentral.com/professional/news/gas/news_article.cfm?id=5915764>

**Transocean -- Initial Damage Assessment**

The company has begun an initial damage assessment, the Deepwater
Nautilus rig has sustained significant damage, the rig has been secured
approximately 80 miles from its original location. Other moored rigs
appear to have sustained no damage. Other dynamically positioned rigs
are returning to their pre-storm locations and did not sustain damage.

<http://pro.energycentral.com/professional/news/gas/news_article.cfm?id=5917435>

### PetroQuest -- Initial Damage Assessment

PetroQuest Energy's initial visual inspection indicated that all of its
facilities sustained no damage.

<http://pro.energycentral.com/professional/news/gas/news_article.cfm?id=5917946>

For additional information on petroleum, see Highlights/Major
Developments

**Natural Gas**

**Maintenance Could be Deferred at Canadian Refineries to Help U.S.**

Canadian oil companies may defer their fall maintenance programs to
provide additional supplies to the U.S. in an effort to help mitigate
the fuel shortages developing in the aftermath of hurricane Katrina.

Reuters 15:00, September 1, 2005.

## Construction to Begin on Entrega Natural Gas Pipeline 

Construction is expected to begin soon on the new Entrega natural gas
pipeline in the Rocky Mountains. Further details are not available at
this time.

Business Wire 8:06, September 1, 2005

For additional information on natural gas, see Highlights/Major
Developments

######## Other News

Nothing to Report

######## Energy Prices 

+-------------------------------+-----------+-----------+------------+
|                               | **Latest  | **Week    | **Year     |
|                               | (09       | Ago**     | Ago**      |
|                               | /01/05)** |           |            |
+-------------------------------+-----------+-----------+------------+
| **CRUDE OIL**                 | 69.50     | 67.29     | 49.56      |
|                               |           |           |            |
| **West Texas Intermediate     |           |           |            |
| US**                          |           |           |            |
|                               |           |           |            |
| \$/Barrel                     |           |           |            |
+-------------------------------+-----------+-----------+------------+
| **NATURAL GAS**               | 11.36     | 9.77      | 6.36       |
|                               |           |           |            |
| **Henry Hub**                 |           |           |            |
|                               |           |           |            |
| \$/Million Btu                |           |           |            |
+-------------------------------+-----------+-----------+------------+

> Source: Reuters

**This Week in Petroleum** from the Energy Information Administration
(EIA)

[*http://tonto.eia.doe.gov/oog/info/twip/twip.asp*](http://tonto.eia.doe.gov/oog/info/twip/twip.asp)

Updated on Wednesdays

**Weekly Petroleum Status Report** from EIA**\
**[*http://www.eia.doe.gov/oil_gas/petroleum/data_publications/weekly_petroleum_status_report/wpsr.html*](http://www.eia.doe.gov/oil_gas/petroleum/data_publications/weekly_petroleum_status_report/wpsr.html)

Updated after 1:00pm (Eastern time) on Wednesdays

**Natural Gas Weekly Update** from EIA

[*http://tonto.eia.doe.gov/oog/info/ngw/ngupdate.asp*](http://tonto.eia.doe.gov/oog/info/ngw/ngupdate.asp)

Updated after 2:00 pm (Eastern time) on Thursdays

**ENSEC threat awareness blog site** from Energy Assurance

[*http://ensec.blogspot.com*](http://ensec.blogspot.com/)