News and Media Releases

Media Alert: Eugene Island Incident

25/07/2009

Saturday, July 25, 6 p.m. CDT

At 6 p.m. CDT on Saturday, July 25, Shell Pipeline Company shut-in the Eugene Island Pipeline System due to loss of pressure and release of crude oil from the system's 20-inch diameter line into the Gulf of Mexico.

A helicopter flyover on Saturday evening confirmed the release approximately 33 miles offshore, 60 miles southwest of Houma, La.  Depth of water at the release point is approximately 60 feet.

An emergency response plan was activated and notifications were made to the National Response Center, U.S. Coast Guard and other regulatory agencies.

Based on Shell pipeline control center calculations, an estimated 1,400 barrels (42 gallons per barrel) were released into the Gulf.  Given the mild weather, calm sea and location of the release area, the oil is not expected to reach the shoreline.

Response and cleanup involve dispatching a Marine Spill Response Center vessel to the impacted area by early Monday morning to begin oil-water recovery operations. Other response options such as use of dispersants are currently being evaluated.  The Coast Guard will approve treatment and cleanup methods. 

Cause of the release is under investigation. The Eugene system will be restarted following any needed maintenance and a thorough inspection.  At this time, we cannot forecast when restart will occur.  Our top priorities during the response and restart phases are safety and the environment.

The Eugene Island Pipeline System moves crude oil from offshore through a 20-inch diameter line to Caillou Island, La., then in a 16-inch diameter line to the Houma terminal, a distance of approximately 154 miles. Shell Pipeline Company LP is the operator and has a 23 percent ownership interest in the system.   

Shell Pipeline Company LP operates more than 1,200 miles of offshore pipelines, more than 600 miles of onshore pipelines, and over 10 terminals throughout the Gulf of Mexico and southern Louisiana with a capacity exceeding 1.5 million barrels of crude per day.  We typically bring to market more than 1 million barrels per day (b/d) of crude from approximately 150 offshore production platforms in shallow and deep waters.   The company is a wholly owned subsidiary of Shell Oil Products US, a unit of Shell Oil Company.

Impact area:  Ship Shoal blocks 140 to 142.
 
Size of sheen and oil patches as of 9:40 a.m. CDT Sunday:  4.9 miles x 4 miles.

Eugene system 20-inch pipeline was inspected via "smart pig" technology in 2008-09 and 2003.  Results from both inspections were "clean runs."
System has a capacity of 173.000 barrels a day, but was operating at about 100,000 barrels a day at the time of the release.

Owners of the Eugene system in addition to Shell: Mobil Eugene Island Pipeline Company, ExxonMobil Pipeline Company, Marathon Offshore Pipeline Company LLC, Chevron Pipeline Company, and Conoco Offshore Pipeline Company. 

Shell Media Line:  713-241-4544