(Adds net income, share price, fourth quarter flow rates)
HOUSTON, Aug 6 (Reuters) - Genesis Energy LP expects its third-quarter earnings will be negatively impacted following a longer-than-expected delay in restarting U.S. Gulf of Mexico production in the wake of Hurricane Barry, which swept through the region last month, Chief Executive Grant Sims told investors on Tuesday.
The Gulf fully restored oil and gas production about nine days after the storm passed, instead of an expected four days, which lowered volumes on Genesis’ pipeline systems.
A third-party internet connectivity provider experienced issues restarting service in the region, Sims said.
Genesis reported net income of 17 cents per unit in the second quarter, compared with a 5 cent loss in the same period last year.
Shares were down about 5 cents at $21.17 in early trading on Tuesday.
The Houston offshore pipeline operator’s Gulf volumes are expected to return to normal in the fourth quarter, benefiting from the start of oil output at LLOG Exploration’s deep-water Buckskin project, which will have a peak flow rate of 30,000 barrels per day (bpd), Sims said. (Reporting by Collin Eaton in Houston; Editing by Bernadette Baum)