Hurricane Gustav has hit US Gulf, and in its consequence, oil production has been affected badly. Prices of Oil soared nearly $2 to over $117 on September 1, 2008 as energy companies had to shut down offshore oil production and flood-prone refineries in the Gulf Coast ahead of Hurricane Gustav. According to U.S. Minerals Management Service 82 per cent of natural gas production had been closed as of Sunday afternoon.

 

On the other hand, reports from Cuba show that hurricane Gustav smashed tens of thousands of homes, toppled trees and telephone poles and washed out roads in Cuba. However, there are no reports about any casualty. The major target of Gustav was the Isla de la Juventud located in south of the Cuban mainland. After hitting Cuba, Gustav headed towards the southern United States.

 

Hurricane Gustav on its way to US Gulf has killed 94 people by triggering floods and landslides in Haiti, the Dominican Republic and Jamaica. According to forecasters' prediction Gustav would be a major Category 3 hurricane by Monday morning local time. It will slam Louisiana coast with wind speed of 200 kph. Reports confirm that Gustav's winds have done the most damage, but some areas experienced flooding too.