It's an ill wind that blows no good
Sunday September 04 2005
JOHN Teeling's Pan Andean Resources has escaped the devastation brought to the oil sector in the Mississippi Delta - not because it wasn't in the path of the terrifying Hurricane Katrina, but because it has yet to overcome the problems brought about by last year's Hurricane Ivan.
However the tragic consequences of the hurricane that devastated New Orleans last week has had some spin-off for Pan Andean in terms of soaring energy prices.
Chairman Dr Teeling said yesterday that the High Island production platform in East Texas (located just across the border from Louisiana), in which Pan Andean has a tiny 1.7 per cent royalty interest, is yielding an income of $300,000 a month.
In the Gulf itself, however Pan Andean had been forced to vacate offshore oil and gas properties last year, following the havoc created by Hurricane Ivan.
And though willing to replace the damaged pipeline and reinstate production, it was unable to do so because it could not get the local service network to do this.
"We needed supply boats to complete this reinstatement work, but they have not been available," said the chairman.
"And given what's happened over the past week, who knows when the services will now be available to complete that work."
