MIAMI (Reuters):

Tropical Storm Dean charged through the open Atlantic toward the Caribbean islands yesterday, while a troublesome tropical weather system brewed in the Gulf of Mexico, causing concern in energy markets.

The fifth tropical depression of the year formed late on Tuesday in the central Gulf and was likely to strengthen into a tropical storm before hitting the oil and gas-producing south Texas coast, the United States National Hurricane Center said.

On edge

Energy markets have been on edge since the devastating Atlantic hurricane seasons of 2004 and 2005, when a series of powerful hurricanes, including Ivan, Katrina and Rita, ravaged the United States Gulf coast. Roughly one third of U.S. domestic oil and gas production comes from the Gulf of Mexico.

The depression, which was upgraded to Tropical Storm Erin, was located about 275 miles (443 km) east-southeast of Brownsville, Texas, yesterday morning, and was headed toward the west-northwest at roughly 13 mph, the hurricane centre said.

It had top winds of 30 mph (48 kph) and was forecast to strengthen in the next 24 hours.

On its current track, the storm would move ashore on the Texas coast by this afternoon.

A tropical storm watch, alerting residents to possible storm conditions within 36 hours, was in effect from Freeport, Texas, south to Rio San Fernando, Mexico.

Days away from land

Tropical Storm Dean was still far out in the Atlantic, days away from land. At 5:00 a.m. EDT (0900 GMT) yesterday its centre was located 1,170 miles (1,880 km) east of the Lesser Antilles, the string of Caribbean islands that stretches from Trinidad in the south to the Virgin Islands in the north.

It was moving to the west at about 18 mph (29 kph) and had 50 mph (80 kph) winds.

The hurricane centre's long-range forecast had it crossing the Lesser Antilles near St. Lucia and Martinique late Friday as a Category 1 hurricane with top winds up to 95 mph (153 kph).

It was thenexpected to become a Category 3 hurricane with winds topping 110 mph (177 kph) as it headed through the Caribbean Sea toward Jamaica and Cuba early next week.