Chevron Halts Production as Mt. Redoubt Erupts

Chevron has halted oil production in Alaska's Cook Inlet because of continuing threats from Mount Redoubt eruptions at the Drift River terminal, where the company stores its oil.

About 3.7 million gallons of oil have been removed from two terminal tanks and transferred to the tanker Seabulk Arctic.

The overnight transfer was completed shortly before 9:30 a.m. Monday. Petty Officer Sara Francis with the Coast Guard says another 2.5 million gallons of oil remain in the tanks.

To keep the tanks from floating away, crews were adding 840,000 gallons of Cook Inlet water to them.

After the work in completed, the tanker was to head to the Tesoro refinery in Nikiski.

Chevron spokeswoman Roxanne Sinz says production has to be suspended because the company has no where to store the oil.