Cat modelling agency expects onshore losses from Tropical Storm Edouard to be less than $100m. Offshore, newer platforms OK. Strength increasing to hurricane force.

EQECAT does not expect Edouard to cause significant onshore losses (exceeding $100m) or offshore energy production losses.

"As it heads west it will be impacting more natural gas production than oil production," EQECAT said. "The significant wave height from Edouard is estimated to be 8 to 12 feet, with maximum wave heights twice that (up to 24 feet). Some limited damage to facilities could occur, but newer platforms are not expected to be functionally damaged from this event."

Meanwhile, some elevated oil rigs south of the Louisiana coast have been reporting wind gusts of near hurricane force.

At 1am CDT today the US National Hurricane Center said that rain bands with tropical force winds were spreading over the coast of Louisiana. The National Hurricane Center's Tropical Storm warning remains in effect from Grand Isle westward to Port O'Connor, Texas. A Hurricane Watch remains in effect from west of intracoastal city Louisiana to Port O'Connor.

At 1am CDT the centre of Edouard was near Lat 29N Long 92.8W, or about 90 miles southeat of Port Arthur, Texas, and about 120 miles east of Galveston, Texas.

Edouard is moving west-northwest at 10mph. The centre of the storm is expected to be near the upper Texas or southwestern Loisiana coasts by midday CDT today. It is expected to increase in strength, attaining hurricane strenth by the time it reaches the coastline.