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Tropical Disturbance #35 – Update #2

Shell GoM Deep Water Operations

(This information is up-to-date as of 11:00 A.M. Central, September 1, 2011.  Further updates will be provided as needed)

Given the continued uncertain forecast for Tropical Disturbance #35, Shell is moving forward with a plan to reduce the number of employees for most of our operations.  Weather conditions are already impairing staff movement, but we are using all available resources to safely evacuate employees. The number of evacuated personnel will depend on weather conditions, and we will only transport personnel if safe to do so.

Shell has begun to take some actions to shut in production.  Those actions are focused on some of our subsea fields that require specific treatments to ensure the production can be restored after the storm passes. The impacts are minimal at this point and we are monitoring Shell non-operated downstream infrastructure for further impacts to our production that may occur.  Our priorities at this time continue to be ensuring the safety of personnel, protecting the environment and minimizing production and operational impact.

We will continue to monitor weather reports and respond accordingly.  The information on this site will be updated as necessary. To find out more about our hurricane preparedness and evacuation and shut in procedures, please visit the Shell Hurricane Center:  www.shell.us/stormcenter

NOTES AND DISCLAIMERS:  Customers of Shell and its affiliates may have other specific inquiries related to storm or hurricane impacts and should contact their account manager with those questions. Nothing herein shall be construed as a declaration of force majeure.  All declarations of force majeure will be made and related notices given in accordance with the provisions of the affected contracts.

Shell-specific production shut-in numbers are not issued externally.  You can contact the Bureau of Ocean Energy Management, Regulation, and Enforcement (BOEMRE) for overall Gulf of Mexico shut-in status, as of the previous day.