HAMILTON (Reuters) - Tropical Storm Colin weakened
to a tropical depression in the Atlantic Ocean Sunday as it
passed west of Bermuda, the National Hurricane Center (NHC)
said, adding the system could dissipate later in the day.

Colin became the third named storm of the 2010 Atlantic
hurricane season last week, but had already downgraded once
before to a tropical depression on its faltering trajectory out
in the Atlantic, staying away from the U.S. East Coast.

The Miami-based NHC said the depression now had maximum
sustained winds near 35 miles per hour as it passed
about 45 miles west of the Atlantic island of Bermuda,
a British overseas territory that is a center for the global
insurance industry.

Bermuda residents reported some rain, but no really severe

"Colin could dissipate as a tropical cyclone later today,"
the NHC said, adding the system would move away from Bermuda
later Sunday.

Colin had posed no threat to the the Gulf of Mexico, where
U.S. oil and natural gas operations are concentrated and where
BP is working to permanently seal a ruptured oil
well that caused the world's worst offshore spill.

Separately, the NHC reported that another low pressure
area, located out in the Atlantic about 1,150 miles
east-northeast of the Leeward Islands, had a 70 percent chance
of becoming a tropical depression in the next few days.
(Reporting by Samantha Strangeways, Editing by Pascal
Fletcher and Sandra Maler)