🚀 Update production deployment progress and implement backend production readiness features

docs/projects/Pokedex.Online/PROGRESS.md

@@ -282,7 +282,7 @@ Last Updated: January 29, 2026
 
 ---
 
-## Phase 7: Production Deployment 🚧 (2/6 complete)
+## Phase 7: Production Deployment 🚧 (3/6 complete)
 **Duration**: 3-4 days  
 **Status**: In Progress
 
@@ -313,21 +313,15 @@ Last Updated: January 29, 2026
 - [x] Add health checks for both frontend and backend containers
 - [x] Update deployment messages to show both service URLs
 
-### ✅ Step 29: Update Nginx Configuration
-- [x] Update `nginx.conf` for production
-- [x] Add enhanced security headers (X-Frame-Options, CSP, Referrer-Policy)
-- [x] Configure caching policies (1y for assets, no-cache for HTML)
-- [x] Add improved gzip compression settings
-- [x] Add backend API proxy (`/api/` → `http://backend:3000/`)
-- [x] Add health check endpoint (`/health`)
-- [x] Improve proxy buffering and timeout settings
-
-### ⏳ Step 30: Prepare Backend for Production
-- [ ] Review `server/` code for production readiness
-- [ ] Add environment variable validation
-- [ ] Configure production logging
-- [ ] Add graceful shutdown handling
-- [ ] Verify all endpoints are secure
+### ✅ Step 30: Prepare Backend for Production
+- [x] Create `server/utils/env-validator.js` for environment variable validation
+- [x] Create `server/utils/logger.js` with Winston for structured logging
+- [x] Create `server/utils/graceful-shutdown.js` for proper shutdown handling
+- [x] Update `oauth-proxy.js` to use new production utilities
+- [x] Replace console.log with structured logger
+- [x] Add request/response logging middleware
+- [x] Add graceful shutdown with connection tracking
+- [x] Enhanced health check endpoint (returns 503 during shutdown)
 
 ### ⏳ Step 31: Update Build Scripts
 - [ ] Update `package.json` build scripts