Shell PLC is curtailing offshore operations and evacuating all personnel from five Gulf of Mexico platforms, including Mars, Olympus, and Appomattox, as Tropical Storm Isaias approaches. The company is shutting in production at the assets as a precaution. The storm is expected to strengthen into a hurricane before making landfall.
Production cuts by Shell and other major operators, including Chevron, have contributed to a rise in oil prices. As of midday Wednesday, about 25% of Gulf oil production had been shut in because of the storm.
Such shutdowns are common during hurricane season but cause a significant, temporary disruption to supply.