Economic Calendar

Friday, August 29, 2008

Exxon Mobil Refineries, Chemical Plants Prepare for Gustav

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By Jim Polson

Aug. 29 (Bloomberg) -- Exxon Mobil Corp., the world's biggest oil company, said its refineries and chemical works along the Gulf of Mexico began preparing for Tropical Storm Gustav, which is forecast to hit Louisiana as a hurricane in about five days.

Production hasn't been affected at refineries, offshore oil and natural-gas platforms or the chemical plants, Irving, Texas- based Exxon Mobil said in a notice posted on its Web site at 8 p.m. New York time yesterday. No offshore workers have been evacuated, the company said.

Gustav will strike the central Louisiana coast as a hurricane Sept. 2, the U.S. National Weather Service has forecast.

The storm pounded Jamaica today with rain and sustained winds of 65 miles per hour (105 kilometers per hour) and will intensify into a major hurricane with winds of at least 111 miles per hour before entering the Gulf on Aug. 31, the U.S. National Hurricane Center forecast. Gustav killed 50 people in Haiti and the Dominican Republic.

Exxon Mobil said it completed plans for staged evacuation of offshore personnel from its platforms, beginning with those not needed to maintain production.

Chevron Corp., the second-largest U.S. energy company, said yesterday it had begun evacuating workers from some platforms. ConocoPhillips, the third-biggest energy company, said Aug. 27 it had shut its only platform in the Gulf, which is about 150 miles southwest of New Orleans.

BP Plc, Europe's second-largest oil company, said yesterday in a recorded message that it was completing evacuation of non- essential personnel from offshore installations. Production was undiminished, the company said.

To contact the reporter on this story: Jim Polson in New York at jpolson@bloomberg.net.


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