Tuesday, August 26, 2008

Hurricane Watch: Wunderblog Gives Gustav 60% Chance of "Significant" Disruption of U.S. Oil & Gas

First the pull-quote, then the context. Oil is trading at $115.42 + 0.31, nat gas is at $8.252 + 0.427.
From Wunderblog:
...Once in the Gulf of Mexico, Gustav is likely to intensify into a major Category 3 or higher storm. I give a 60% chance that Gustav will cause significant disruption to the oil and gas industry in the Gulf.
Here's the paragraph:
...The intensity forecast for Gustav
As long as Gustav is over water, it will intensify. Gustav is currently under moderate wind shear (15 knots) . This shear is expected to remain in the low to moderate range (0-15 knots) for the remainder of the week. Gustav is over the highest heat content waters in the Atlantic. Given these two factors, intensification is likely whenever the storm is over water, at least 50 miles from land. Expect the high mountains of Hispaniola to take a toll on Gustav. Recall in 2006 that Hurricane Ernesto hit the southwest tip of Haiti as a Category 1 hurricane with 75 mph winds. Haiti's mountains knocked Ernesto down to a tropical storm with 50 mph winds, which decreased further to 40 mph when the storm crossed over into Cuba. Expect at least a 25 mph decrease in Gustav's winds by Wednesday, after it encounters Haiti. Further weakening is likely if the storm passes close to or over Cuba. By Wednesday, Gustav will be underneath an upper-level anticyclone. These upper atmosphere high pressure systems can greatly intensify a tropical storm, since the clockwise flow of air at the top of the storm acts to efficiently vent away air pulled aloft by the storm's heavy thunderstorms. With high oceanic heat content also present in the waters off western Cuba, the potential for rapid intensification exists should the center stay more than 50 miles from the Cuban coast. Once in the Gulf of Mexico, Gustav is likely to intensify into a major Category 3 or higher storm. I give a 60% chance that Gustav will cause significant disruption to the oil and gas industry in the Gulf....MORE