American Oil and Gas Reporter - September 2023 - 23

Gulf Coast Companies
Lean On Experience
As Storm Season Nears
Every year, states across the Gulf Coast brace for hurricane
season. The Gulf Coast region experiences an average of 14
named storms, three major hurricanes and seven hurricanes each
year. Since the Gulf is one of the nation's most important areas
for oil and natural gas activities, the industry there has achieved
a well-earned reputation for a remarkable commitment to safety,
preparedness and response to severe weather events.
Despite the challenges posed by storms in the Gulf, our industry
has learned some important lessons that have helped it
improve crisis preparedness and response.
The first lesson is that safety never takes a break. Through
the years, the oil and gas industry across the Gulf has learned
to prioritize safety in its day-to-day operations, particularly
safeguarding human lives. Advancements in technology and
improved risk management assessments also allow the industry
to reduce major impacts on infrastructure that can compromise
operations.
Almost every operator along the Gulf Coast has built deliberate
resilience and preparedness plans to prioritize employees,
the environment and operations. These plans include streamlining
communication systems, conducting timely assessments, improving
emergency response and business continuity plans,
using technology such as drones for aerial inspections, and collaborating
strategically with government agencies.
Another lesson involves continuous improved preparedness.
The Gulf oil and gas sector has persevered in the face of unpredictable
weather events to emerge from hurricanes stronger and
more resilient than ever.
Following Hurricane Harvey in 2017, it took affected Gulf
operators only 29 days to fully recover to pre-storm levels, compared
with 53 days during Ike in 2008 and 91 days during Katrina
in 2005. At the same time, only 37% of Gulf Coast
production went off line during Harvey, compared with 56%
during Katrina. Being exposed to unpredictable weather events
has allowed the Gulf industry to integrate essential lessons to
continually improve safety and outcomes.
The efforts to improve preparedness paid off last year as well.
When Hurricane Ian passed through the Gulf, the speed at which
many oil and gas operators deployed their natural disaster readiness
strategies minimized market and supply chain disruptions.
Once again, the industry demonstrated its ability to swiftly and
effectively address severe weather events.
Prioritizing safety and preparedness benefits oil and gas operators
and protects local communities and workers. It is now a
standard practice among offshore Gulf operators to evacuate
nonessential personnel and shut down operations during severe
weather to ensure the safety of the local labor force and community.
Additionally, the industry's focus on worker relief efforts
ensures a quick and safe restart of operations after the storms.
During hurricanes Katrina and Rita, approximately 29%
of the total U.S. Gulf output from oil and gas operators and
refineries was shut down. Despite these storms' catastrophic
" The bottom line is, in not quite two decades,
the Gulf Coast oil and gas industry has improved
dramatically at mitigating, responding to and
restoring operations during severe weather.
"
impact-which included several destroyed platforms and
pipelines-it later was reported that no industry personnel
lost their lives, and there were no reports of spills or environmental
and biodiversity damage.
Another lesson focuses on maintaining supply. Amid severe
weather, maintaining oil and gas supplies is essential to avoid
supply chain disruptions, power outages, and spiking electricity
and gas prices. Business continuity plays a significant role in
meeting both local and national demand, preserving jobs and
minimizing economic disorder.
The bottom line is that, in not quite two decades, the Gulf
Coast oil and gas industry has improved dramatically at mitigating,
responding to and restoring operations during severe
weather. The industry has done so by embedding safety in its
culture and continuously learning from past experiences.
The commitment to safety and preparedness protects the industry's
interests and safeguards local communities and consumers.
With its significant contributions to the nation's energy
security and economic stability, the Gulf Coast oil and gas industry
is a reliable and essential energy source for the future. ❒
JEFF ESHELMAN is president
and chief executive officer of the Independent
Petroleum Association
of America and the founder/executive
vice president of Energy in
Depth. Along with more than two
decades at IPAA, he previously
worked at the Defense Logistics
Agency, the White House Office of
National Drug Control Policy and
three public affairs firms.
SEPTEMBER 2023 23
American Oil and Gas Reporter - September 2023

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