Business

Monday, Nov. 09, 2009

Chevron in Pascagoula continues operations as Ida nears

Chevron Pascagoula Refinery will continue normal operations as Tropical Storm Ida nears the Mississippi Coast, plant officials said.

Chevron Refinery spokesman Steve Renfro said, "We are carefully monitoring the track and forecast of Hurricane Ida. We're continuing to operate as we take all necessary steps to safely secure the refinery in advance of the storm.

"We expect to continue to operate safely as Hurricane Ida passes near the Mississippi Coast."

In the Gulf of Mexico, oil companies are evacuating workers from operations Ida approaches.

Chevron Corp. said today it has removed enough employees to affect oil production in the Gulf.

Ida was moving north-northwest about 185 miles off of the Mississippi River early Monday with winds reaching 70 mph. It was downgraded from a Category 1 hurricane earlier in the day.

The storm trajectory would put it east of New Orleans and the majority of oil and gas facilities in the Gulf, but that can change quickly. Oil fields in the Gulf of Mexico account for about 25 percent of U.S. crude production and 15 percent of natural gas production.

Oil and gas producers pull workers off of platforms and from other facilities as a matter of policy if a serious storm threatens. How that affects production, and energy prices, depends on the severity of the storm.