Medco's U.S operations hit by hurricane Katrina

JSX-listed oil firm PT Medco Energi Internasional confirmed Wednesday it had temporarily shut down two producing fields of its American-based operation as hurricane Katrina barreled toward the heart of U.S. oil production and refining operations in the Gulf of Mexico.

"We will close down our operation at the Main Pass and East Cameron blocks of the Gulf of Mexico for one week," Medco's director Rashid Mangunkusumo told reporters, adding that there was no injury or fatality caused by the incident because oil crews have already evacuated from the platforms.

According to Rashid, the fields have a combined daily production of 20 million cubic feet of natural gas and around 400 barrels of oil. He added that gas production is sold at a price of US$10 per million British thermal unit.

Medco holds operatorship in four producing assets in the U.S following the acquisition of Australian oil company Novus Petroleum last year.

The hurricane, which slammed into the Gulf on Monday, shut nearly all the region's oil production, more than 80 per cent of gas operations and forced eight refineries along the coast to shut - sending crude oil prices to record highs above $70 per barrel.(alex)