Stone Energy to close Gulf facilities ahead of Ike

Independent petroleum producer Stone Energy Corp. planned to shut down facilities in the Gulf of Mexico Wednesday as Hurricane Ike headed toward the south Texas coast.

The Lafayette, La.-based company expected some minimal volume to continue to flow after the shutdown and said it will continue to monitor the storm situation.

Stone Energy suspended production of the equivalent of 310 million cubic feet of natural gas Aug. 30 due to Hurricane Gustav.

It sustained minor damage from that storm but initial production was restored within a few days. Volume as of Tuesday was estimated at more than 120 million cubic feet per day.

The condition of pipelines and gas-processing plants operated by a third party and restoration of electrical power at outside facilities will determine when production returns to normal, the company said.

Shares rose $2.32, or 5.7 percent, to $42.81 in Wednesday afternoon trading.