Shell halts offshore drilling as US Gulf Coast braces for hurricane

HOUSTON: Royal Dutch Shell began shutting some of its offshore drilling operations on Sunday (Sep 13) in preparation for Tropical Storm Sally, forecast to become a hurricane before making landfall on Tuesday, the company said.

Shell's offshore production was unchanged and all personnel remained on production platforms, company spokeswoman Cynthia Babski said.

Energy producers and communities along the US Gulf Coast organised evacuations of residents and offshore workers on Sunday as they prepared for the second hurricane strike in less than a month.

However, one firm, BHP does not plan to take workers from offshore facilities, a company spokeswoman said on Sunday.

Tropical Storm Sally strengthened as it crept up the warm waters of the US Gulf of Mexico on Sunday, carrying winds that could reach 145 kilometres per hour ahead of landfall on Tuesday, forecasters said.

It was about 450km east-southeast from the mouth of the Mississippi River and moving at 13 mph, according to the US National Hurricane Center. At 11am, its sustained winds had increased to 95kph, the NHC said.

Chevron Corp. and Murphy Oil Corp on Saturday began evacuations from offshore production platforms, spokespeople said. Chevron's Pascagoula, Mississippi, refinery was implementing storm preparedness procedures, the company said.

Other oil producers with drilling rigs and platforms in the area said they were monitoring the storm and prepared to take action as needed.

US Gulf of Mexico offshore oil production provides about 17 per cent of US crude oil and 5 per cent of US natural gas production. As much as 1.5 million barrels per day of oil output was shut last month as Hurricane Laura tore through the Gulf of Mexico.

Louisiana on Saturday declared a state of emergency and the city of New Orleans ordered a Sunday 6pm evacuation for residents outside the city's protective levees. Coastal Grand Isle also issued its third evacuation since July.