Gulf Energy Industry Just Can't Shake Off 2 Hurricanes' Blow; Few Oil, Gas Rigs Back Up; Even tougher to absorb is the 15% capacity dent in the tight refining sector.(A)

Publication: Investor's Business Daily

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COPYRIGHT 2005 Investor's Business Daily, Inc.

Byline: LAURA MANDARO

After back-to-back hurricanes rampaged through the Gulf of Mexico, the region is pumping hardly any oil or natural gas while many refineries remain down.

As of Thursday afternoon, 98.59% of all oil and 79.97% of natural gas production in the Gulf remained closed, said the Minerals Management Service.

When Hurricane Katrina hit Louisiana on Aug. 29, production was running at similarly low levels.

Extracting any crude from the Gulf was actually an improvement from the prior five days, when evacuated or damaged rigs shuttered 100% of Gulf oil production.

But the Gulf is far from its full output,...

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