The Oil Drum: Katrina, Gulf Oil, and Why it is a Bad Thing

Katrina is the Event that introduces the US to Peak Oil.

This thing WILL be a big deal, not just because New Orleans is a prime target (remember water has to be pumped out of NO because it is under sea level, and right now with Katrina as a category 5, the estimates are 30 feet of water) under the current models for Katrina, but she could also disrupt Gulf supplies of petroleum (the GOM supplies around 1.3mbpd) from rigs, etc., for a while. Many refineries are also located within this area (see LA refinery link below), as well as pipeline stations and tanker stops.

With supply and demand balanced on a knife’s edge as it is, this could lead to huge amounts of volatilty in the oil markets for weeks to come.
Updated maps, charts, GOMEX projections, and talk after the jump at The Oil Drum.