OIL company Shell said full production from its rigs in the Gulf of Mexico may not be restored until next year because of damage caused by Hurricane Katrina.
Shell said the next three months should see output back at 60 per cent of levels before the hurricane struck.
But the Anglo-Dutch group confirmed it was continuing to assess a string of sites in the Gulf, including its Mars rig which pumped around 147,000 barrels of oil a day last year.
Hurricane Katrina shut down 90 per cent of the Gulf's oil output and several refineries operated by Shell and other international companies.
The storm led to the evacuation of more than 700 offshore platforms and rigs and came when producers were struggling to cope with demand. The Gulf normally produces 1.5 million barrels of crude oil a day.
Oil prices surged to record highs above 70 US dollars a barrel in the wake of the destructive path blazed by the hurricane, while prices at petrol pumps also rose.
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