![](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 19, 2005**

## Highlights/Major Developments

**Update: Hurricane Katrina**

OFFICE OF ELECTRICITY DELIVERY AND ENERGY RELIABILITY (OE)

U.S. DEPARTMENT OF ENERGY

Hurricane Katrina Situation Report #38

**September 19, 2005 (3:00 PM EDT)**

######### 

######### HIGHLIGHTS

Currently, 275,431 customers remain without electric power in Louisiana
and Mississippi due to Hurricane Katrina. This is down by over 2.4
million from a peak of 2.7 million customers that were without power
after Hurricane Katrina struck the region.

At 2 PM, 9/19 the center of Tropical Storm Rita was located just
southeast of Long Island in the Bahamas, about 165 miles southeast of
Nassau and about 380 miles east-southeast of Key West, FL. The storm's
maximum sustained winds are near 60 mph with tropical storm force winds
extending outward up to 115 miles. Additional strengthening is expected
and Rita could become a hurricane during the next 24 hours. Rita is
expected to move into the Gulf of Mexico during the coming week.
<http://www.nhc.noaa.gov/>. The Government of the Bahamas has
discontinued all warnings for the Turks and Caicos.

Entergy continues to make significant progress securing the natural gas
system and restoring service. Of the 145,000 Entergy gas customers to
date, 86,500 (60%) have been secured and 52,500 (36%) have been
restored.  The restored customers are primarily in the Algiers, Uptown,
Gentilly, Central City, Lakeshore and Lakeview areas, along with 10% of
the French Quarter and 50% of the Central Business District.

Working gas in storage increased to 2,758 Bcf as of Friday, September 9,
which is 3.7 percent above the 5-year average inventory level for the
report week, according to EIA's *Weekly Natural Gas Storage Report.* The
implied net injection of 89 Bcf is 3 percent above the 5-year average of
86 Bcf and about 7 percent less than last year's injection of 96 Bcf. It
is also the largest net injection since the beginning of July and marks
the first time since late June that the implied net injection has
exceeded the 5-year average. Despite continued natural gas production
shut-ins in the Gulf of Mexico, which reduces supplies from what they
otherwise would have been, the relatively large net injection occurred
as futures prices hold a significant premium to the Henry Hub spot price
offering a strong economic incentive to store natural gas for the winter
heating season.

DOE staff have been at the National Response Coordination Center (NRCC)
at FEMA HQ, the Interagency Incident Management Team at HQ, FEMA Region
IV, and the State Emergency Operation Centers (EOC) in Louisiana for
several weeks. Today, in response to further activation orders from
FEMA, OE deployed two staff to FEMA Region IV in Atlanta and one to the
State EOC in Tallahassee, FL, for Hurricane Rita response.

**PETROLEUM AND GAS INFORMATION**

According to MMS reports on 9/19, 10.26 percent of 819 manned platforms
and 1.49 percent of 134 rigs remain evacuated in the Gulf of Mexico
(GOM). Today's shut-in oil production is 837,648 barrels of oil per day.
The shut-in oil production is equivalent to 55.84 percent of the normal
daily oil production in the GOM, which is currently approximately 1.5
million barrels of oil per day.  Shut-in gas production is 3.375 billion
cubic feet per day. This shut-in gas production is equivalent to 33.75
percent of the normal daily gas production in the GOM, which is
currently approximately 10 billion cubic feet per day.

> **Improvement in GOM Shut-in Oil and Gas 8/30/05 -- 9/17/05**

  --------------------- -------------------------- ----------------------
  **Date**              **Percent of GOM Oil       **Percent of GOM Gas
                        Shut-in**                  Shut-in**

  August 30             95.20                      87.99

  August 31             91.45                      83.46

  September 1           90.43                      78.66

  September 2           88.53                      72.48

  September 3           78.98                      57.80

  September 4           No data reported           No data reported

  September 5           69.57                      54.13

  September 6           58.02                      41.06

  September 7           57.37                      40.36

  September 8           60.12                      40.20

  September 9           59.88                      38.29

  September 10          59.84                      38.21

  September 11          No data reported           No data reported

  September 12          57.38                      37.84

  September 13          56.45                      37.20

  September 14          56.25                      35.18

  September 15          56.14                      34.11

  September 16          56.06                      33.84

  September 17          55.84                      33.75
  --------------------- -------------------------- ----------------------

MMS has provided the following estimates of Hurricane Katrina damage to
Outer Continental Shelf Infrastructure in the Gulf of Mexico: 46
producing structures destroyed; 20 producing structures extensively
damaged; 4 drilling rigs destroyed; 9 drilling rigs extensively damaged;
and 6 rigs adrift (all adrift rigs have been located, remanned, and are
having power brought up on them).

MMS reports that most of the destroyed platforms were 30- year-old shelf
platforms with minimal production in the West Delta, Grand Isle, and
South Pass areas.

Air Products (major supplier of hydrogen) announced today that portions
of its New Orleans, La. industrial gas complex, which sustained
extensive damage from Hurricane Katrina, should begin operations within
the coming months, with substantial operations anticipated by the end of
the calendar year. The company also announced that it has secured
alternate feed gas sources and has re-established partial operations at
its Sarnia, Ontario, Canada production facility, originally shut down
due to a planned suspension of a supplier\'s feed gas. The two plants,
at New Orleans, and Sarnia represent approximately 90 percent of the
company\'s liquid hydrogen production in North America. 

The Captain of the Port of New Orleans re-opened the Inner Harbor
Navigation Canal (IHNC) on the Gulf Intra Coastal Waterway (GICW) north
of the Turning Basin. The IHNC remains closed south of the Turning Basin
due to salvage operations at the Florida Avenue Bridge. Vessels can
continue to access the GICW east of the IHNC via the Baptiste Collette
alternate route. The opening of this waterway will now allow access from
Lake Pontchatrain to the Gulf of Mexico through the IHNC, GICW and/or
the Mississippi River Gulf Outlet (MRGO).

The Gulf Intracoastal Waterway (GICW) is now open from mile 55, West of
Harvey Lock (Houma) westward through the Harvey Lock, which is
operational. The Algiers Lock, while operational, may be closed to
navigation until further notice due to lock operator safety concerns.
Currently, the GICW remains closed from the Inner Harbor Navigational
Canal eastward to mile 60, East of Harvey Lock.

The U.S. Coast Guard reports that of the estimated 6.8 million gallons
of oil released into the environment due to Hurricane Katrina, 98% of it
has been recovered, contained, evaporated, or has dispersed naturally.

Entergy Gas Operations has repaired a total of 215 gas leaks and has
reduced gas leakage in the system by 75 percent since the hurricane
hit. They continue gas leak detection and repair throughout the New
Orleans area, with 82% assessed. Some of the areas in the lower parts of
the New Orleans \"bowl\" have significant mud (1-3 feet deep), which
makes it difficult to access. 

The tables below show no change for the four refineries shutdown as a
result of damage from Hurricane Katrina.

> Table 1. Shutdown Refineries

+------------+----------+-----+----------+----------------------------+
| **         | **Lo     | **S | **Ca     | **Current Status**         |
| Refinery** | cation** | tat | pacity** |                            |
|            |          | e** |          |                            |
|            |          |     | **(bb    |                            |
|            |          |     | l/day)** |                            |
+------------+----------+-----+----------+----------------------------+
| Conoco     | Belle    | LA  | 247,000  | No power - major damage    |
| Phillips\* | Chasse   |     |          |                            |
+------------+----------+-----+----------+----------------------------+
| ExxonMobil | C        | LA  | 187,200  | No power - water damage    |
|            | halmette |     |          |                            |
+------------+----------+-----+----------+----------------------------+
| Murphy     | Meraux   | LA  | 120,000  | No power -- water is       |
|            |          |     |          | starting to recede,        |
|            |          |     |          | currently making           |
|            |          |     |          | assessment of damage,      |
|            |          |     |          | leaking crude oil tank     |
|            |          |     |          | repaired                   |
+------------+----------+-----+----------+----------------------------+
| Chevr      | Pa       | MS  | 325,000  | Damage unknown --          |
| onTexaco\* | scagoula |     |          | assessment being made      |
+------------+----------+-----+----------+----------------------------+

**ELECTRICITY INFORMATION**

### STATE OUTAGE DATA 

+---------------------+--------------------+---------------------------+
| **Utility**         | **Customers w/o    | **% Customers w/o Power** |
|                     | Power**            |                           |
|                     |                    | **from Katrina**          |
+---------------------+--------------------+---------------------------+
| Louisiana\*         | 243,884            | 22%                       |
+---------------------+--------------------+---------------------------+
| Mississippi         | 31,547             | 2%                        |
+---------------------+--------------------+---------------------------+

\*Louisiana data is reported by the Louisiana Public Service Commission
and their percentage outage numbers are used in calculating the
percentage of total outage.

**STATE REPORTS**

####### Mississippi and Louisiana 

In Louisiana 243,884 customers remain without power, as reported by the
Louisiana Public Service Commission (LAPSC) (10:00 PM, 9/18/05 latest
report).

Louisiana Outage Data by Utilities with Significant Outages (10:00 PM
9/18/05)

  --------------------------------------- ------------- -----------------
  **UTILITY**                             **OUTAGES**   **% customers w/o
                                                        power**

  **Entergy Louisiana**                   48,086        10%

  **Entergy New Orleans**                 167,268       81%

  **Wash-St. Tammany**                    15,756        35%

  **CLECO**                               12,412        15%

  **Total for state shown includes        **243,884**   **22%**
  companies with low percentage outages                 
  not shown in the Table**                              
  --------------------------------------- ------------- -----------------

\*Louisiana data and percentages are reported by the Louisiana Public
Service Commission.

As of reporting 9/17/05 Mississippi had 31,547 customers without power,
which represents 2 percent of customers in the state, including 18,776
Mississippi Power customers and 12,771 customers of the Electric Power
Associations of Mississippi (EPAOFMS).

Entergy has almost 6,000 line and vegetation workers supporting
restoration activities.

Entergy Transmission reports 29 lines and 23 substations out of service
as of 5:00 PM 9/18/05. This is down from 181 lines and 263 substations
out of service following Katrina\'s hit.

**Additional Information**

**Hurricane Katrina/Tropical Storm Rita\
Evacuation and Production Shut-in Statistics Report\
as of Monday, September 19, 2005**

Next Report will be issued on Tuesday, September 20, 2005 at 1:00 PM
CDT** **

For information concerning the storm click on
[**www.mms.gov**](http://www.mms.gov/)

**This survey reflects 54 companies' reports as of 11:30 a.m. Central
Daily Time.**

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

  **Platforms     0           0           0               2           81          83
  Evacuated**                                                                     

  **Rigs          0           0           0               1           5           5
  Evacuated**                                                                     

                                                                                  

  **Oil, BOPD     0           620         913             57,932      778,183     837,648
  Shut-in**                                                                       

  **Gas, MMCF/D   0           22.00       2.80            433.59      2,916.45    3,374.84
  Shut-In**                                                                       
  --------------- ----------- ----------- --------------- ----------- ----------- -----------

<http://www.mms.gov/ooc/press/2005/press0919.htm>

These 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.

######## Electricity

######## Thunderstorms Leave 37,000 Without Power in Connecticut September 17

28,000 Connecticut Light and Power and 9,000 United Illuminating
customers lost power as a result of thunderstorms passing through
southwestern Connecticut Saturday evening. No estimate was made as to
when power would be restored.

<http://www.connpost.com/news/ci_3040178>

# TVA's Browns Ferry 3 Nuke in Alabama Ramps up to 23 Percent September 19

The unit shut on Sept. 17 during maintenance to repair a moisture level
control valve.

Reuters, 15:38 September 19, 2005

# Exelon's Braidwood 1 Nuke in Illinois Ramps up to 99 Percent September 19

The unit was shut on Sept. 11 to repair a seal on a reactor coolant
pump.

Reuters, 15:38 September 19, 2005

### Quad Cities 1 Nuclear-Power Production At 98%, NRC

Bloomberg, 08:01 September 19, 2005

### Limerick 2 Nuclear-Power Production At 77%, NRC

Bloomberg, 08:01 September 19, 2005

**Update -Output at Diablo Canyon Back up to Full Capacity**

PG&E's two 1,087 MW reactors were brought back to full capacity on
Sunday after they were reduced to 25% last week due to rough seas.

Bloomberg, 12:03 September 19, 2005

### Update - Entergy's Fitzpatrick Nuclear Generating Station Returned to Full Power

Reuters 15:38, September 19, 2005

**Update - Exelon's 1,112 Unit 2 at its Peach Bottom Nuclear Generating
Station in Pennsylvania** **Returned to Full Power**

Reuters 15:38, September 19, 2005

**Ameran's Callaway Reactor in Missouri Idled For Refueling and
Upgrade**

The plant will be idled for 70 to 75 days, double the normal amount of
time for a refueling; in addition to the refueling, all four steam
generators will be replaced.

Bloomberg, 09:38 September 19, 2005

**Progress Energy's 710 MW Robinson Nuke in South Carolina Shut for
Refueling and Upgrade**

The shut down will last an extra week to replace the reactor vessel
head.

Bloomberg, 12:31 September 19, 2005

**Topaz's 632 MW Coal-fired Coleto Creek Unit in Texas Shut September
19**

Reuters 16:28 September 19, 2005

**NRG/Dynergy's 335 MW Gas-fired El Segundo 3 Unit in CA Shut September
19**

Reuters 16:28 September 19, 2005

**OPG's 494 MW Lambton 3 Coal-fired Unit in Ontario Shutdown September
19\
**Reuters, 15:38 September 19, 2005

### Groundbreaking for New Power Plant in Nebraska City, NE

Construction began last week on Omaha Public Power District's first new
power plant in 25 years. The coal-fired plant will generate 663 MW of
electricity. The plant is scheduled for completion in 2009.

######## [**http://powermarketers.netcontentinc.net/newsreader.asp?ppa=8knpp%5E%5BeimmsusWTmj%27%40%3E%20bfek%5Cv**](http://powermarketers.netcontentinc.net/newsreader.asp?ppa=8knpp^%5BeimmsusWTmj'@> bfek\v)

######## Petroleum

**Workers Being Evacuated from Gulf as Rita approaches**

By Monday morning a number of companies including Shell, Transocean,
Chevron, Diamond Offshore, and BP were evacuating staff from offshore
oil and gas facilities in the Gulf of Mexico as Hurricane Rita
approached. Other companies indicated that they would evacuate by
Tuesday or were monitoring the situation and might evacuate depending on
the eventual path of the storm.

Reuters 13:48, September 19, 2005

Reuters 11:59, September 19, 2005

Reuters 12:14, September 19, 2005

Reuters 12:15, September 19, 2005

**Fatal Fire at Teppco Ohio Propane Storage Facility**

A propane fire at a dehydration unit at the Teppco Todhunter propane
storage facility near Middletown, Ohio killed one worker. Teppco
indicated that the facility has been shut down and that an investigation
is underway.

Reuters 13:251, September 19, 2005.

**OPEC to Offer Spare Production Capacity**

At its meeting on September 20, OPEC members will finalize an agreement
to maintain the current level of production and in addition will make
available any spare production to any customer that requests additional
supply.

Reuters 13:51, September 19, 2005.

For additional information on petroleum, see Highlights/Major
Developments

**Natural Gas**

**Natural Gas Futures at Record High**

Fears that tropical storm Rita will hit major producing regions in the
Gulf propelled natural gas futures prices to a record \$12.58 per
million btu Monday. The previous record of \$12.30 per million btu was
set August 31. Several companies have already begun evacuating rigs and
platforms in anticipation of the storm, for details, see the Petroleum
section.

Bloomberg, 13:52 September 19, 2005

**Natural Gas Line Explodes in Livingston, MT September 15**

A natural gas line exploded Thursday in Livingston, MT, causing a fire
which damaged several homes and injured four people. Work was being done
on sewer lines in the vicinity, but whether this was the cause of the
explosion is unknown.

<http://www.dhs.gov/interweb/assetlibrary/DHS_Daily_Report_2005-09-19.pdf>

**AES Proposes LNG Terminal in Boston Harbor**

On Friday, AES Corp announced a plan to build an LNG import terminal on
an island in Boston Harbor. The company says proposed site has two
advantages: it would provide more storage than the existing Distrigas
terminal, and be farther from residential areas than the proposed Fall
River facility.

Source: [NGI\'s Daily Gas Price
Index](http://intelligencepress.com/subscribers/daily/)

<http://intelligencepress.com/>

<http://pro.energycentral.com/professional/news/gas/news_article.cfm?id=5956536>

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

######## 

######## Other News

**Hoist Accident Forces Consol Energy to Close Mine -- Force Majeure
Declared**

An accident on September 18 has forced Consol Energy to close its
Buchanan mine and to declare force majeure. A hoist failed causing a
load of coal to drop more than 1,500 feet. The repairs to the lift
system are expected to take several weeks. Force majeure became
necessary since the mine has no inventory and produces between 350,000
and 400,000 tons of coal per month.

Reuters 10:40, September 19, 2005.

Bloomberg 10:59, September 19, 2005.

**New Mexico Issues Permit for new Surface Coal Mine**

The energy minerals and natural Resources Department issued a permit for
El Segundo Surface Coal Mine to begin operations. The mine is expected
to produce some 102 million tons of coal over a period of 30 years.

<http://pro.energycentral.com/professional/news/power/news_article.cfm?id=5956910>

######## 

######## Energy Prices 

+-------------------------------+-----------+-----------+------------+
|                               | **Latest  | **Week    | **Year     |
|                               | (09       | Ago**     | Ago**      |
|                               | /19/05)** |           |            |
+-------------------------------+-----------+-----------+------------+
| **CRUDE OIL**                 | 67.21     | 63.29     | 46.33      |
|                               |           |           |            |
| **West Texas Intermediate     |           |           |            |
| US**                          |           |           |            |
|                               |           |           |            |
| \$/Barrel                     |           |           |            |
+-------------------------------+-----------+-----------+------------+
| **NATURAL GAS**               | 11.99     | 10.68     | 5.22       |
|                               |           |           |            |
| **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/)