Back chat: The lessons learned from hurricane Katrina

The repercussions on the oil and gas industry were massive and far-reaching, but what lessons have been learned from the disaster? R. Michael Lyons, Manager of Legal and Environmental Affairs for the Louisiana Mid-Continent Oil and Gas Association, takes a look…

The combination of Hurricanes Katrina and Rita had an extraordinary impact on the offshore oil and gas industry in the Gulf of Mexico. The Minerals Management Service (MMS) estimates that 3050 of the 4000 platforms in the Gulf and 22,000 of the 33,000 miles of GOM pipelines were in the direct path of either
Hurricane Katrina or Hurricane Rita.

It is notable that there was no loss of life or significant oil spills from wells on the OCS attributed to either storm. However, 46 platforms were destroyed and 20 others damaged by Hurricane Katrina. Hurricane Rita destroyed 69 platforms and damaged an additional 32. Some 457 pipelines were damaged by the storms. 100 percent of Gulf oil production was shut in during both storms and 94 percent of Gulf natural gas production was shut in during Katrina.

One of the remarkable stories of these storms is the way the industry responded to restoring oil and gas production in the Gulf of Mexico after the hurricanes of 2005. In spite of the significant damage to oil and gas infrastructure (including platforms, rigs, shore bases, pipelines, and natural gas processing plants), an estimated 88 percent of pre-hurricane daily oil production and 91 percent of pre-hurricane daily natural gas production is back online. All but two of 47 natural gas processing plants in the area are operating. Given the loss of platforms and damage to pipelines and other infrastructure, this is an extraordinary recovery. Unfortunately, we also know that it is unlikely that some of this lost production will ever be recovered.

Finally, I want to call attention to the remarkable effort of the employees of the oil and gas industry in this recovery, many of whom who had also experienced the loss of their homes and personal property as a result of the hurricanes. The response and recovery of the Gulf of Mexico oil and gas industry has been a great success story and a tribute to the industry’s capabilities. Extraordinary measures were taken to engineer and do the work necessary to repair platforms with severe damage. This magnitude of effort is true of all segments of the industry.

Recovery and restoration

There is still work to be done in the Gulf. How much can be recovered of the 12 percent of daily oil production and nine percent of daily natural gas production currently shut in is a question yet to be answered. Some natural gas processing plants are still operating at reduced capacity. A number of damaged pipelines have not yet been brought back online. Shut in production will continue to come back on line as infrastructure is repaired. Assessments and repair of pipelines and processing equipment is continuing as expeditiously as possible.

The oil and gas industry has been incorporating new technology in platform construction systematically for many, many years. Most of the platforms destroyed by the hurricanes were over 20 years old. The industry is constantly working with the MMS to upgrade platform design standards, mooring systems, and assessment procedures.

The lessons learned

Among the lessons learned from the 2005 hurricane season were:

1. One cannot underestimate the importance of pre-planning for emergency events, such a hurricanes.
2. Coordination between industry and government agencies with respect to all aspects of offshore operations is imperative.
3. Platform upgrades, mooring system improvements and improved monitoring of evacuated facilities are being assessed and incorporated in OCS GOM operations