Secretary Salazar will appear before the Senate Energy and Natural Resources Committee on Wednesday (2 March) at 10:00 am ET and the House Natural Resources on Thursday (3 March) at 10:00 am ET. Expect deepwater drilling and other offshore energy questions. Both hearings will be streamed live at the respective websites.
Archive for the ‘drilling’ Category
Hearings of interest
Posted in drilling, Offshore Energy - General, Uncategorized, tagged House Natural Resources Committee, Senate Energy and Natural Resources on March 1, 2011| Leave a Comment »
Steven Chu – not your typical Cabinet Secretary
Posted in accidents, drilling, Offshore Energy - General, well control incidents, tagged DOE, drilling, macondo, safety, Secretary Chu, Ultra-Deepwater, well control on February 24, 2011| Leave a Comment »
Few Cabinet Secretaries are scientists or engineers, and none has been a Nobel Prize winner. We expect Secretary Chu to be different and yesterday’s meeting with DOE’s Ultra-Deepwater Advisory Committee was not your typical Washington “hit and run” performance. Rather than making a quick speech and running along to his next appointment, Secretary Chu engaged in technical dialogue with our committee for a full hour, offering insights and responding to questions. Among the topics discussed were BOP instrumentation and monitoring, well integrity, ROV/AUV issues, and Macondo findings.
Kudos to Secretary Chu for his commitment to offshore safety.
Gary Gentile published this report on the meeting in Platts Oilgram News. (click on the story to enlarge)
Bahamas Petroleum Co. Announcement
Posted in cuba, drilling, offshore, tagged Bahamas, cuba, drilling, offshore oil on February 6, 2011| Leave a Comment »
Bahamas Petroleum, the oil and gas exploration company with licences in The Bahamas, is pleased to announce that the company has completed the acquisition of 1120 km of long-cable (8km) 2D seismic in its southern licences. The new seismic survey has confirmed the presence of multiple prospects, some of which are 4-way closure in nature and some of which are combination stratigraphic-structural traps.
I’ll defer to the geologists regarding the significance of this announcement, but the results would seem to provide further encouragement for the island nation’s exploratory drilling plans. Will Florida politicians try to bully the Bahamas the way they have been bullying Cuba?
Scientific Drilling Controversy in Anarctica
Posted in drilling, Uncategorized, tagged Anarctica, Lake Vostok, Russia, scientific drilling on February 4, 2011| Leave a Comment »
Russian scientists are on the verge of punching a hole into a vast Antarctic lake that’s buried under more than two miles of ice. If the Russians break through, they may tap into and disturb a primitive and pristine ecosystem has been untouched for millions of years.
One major concern is the Russians have filled the hole they’re drilling with more than 14,000 gallons of kerosene and Freon to prevent it from freezing shut. The Russians have engineered their system so that when they break through into the lake, water pressure from below is supposed to push the drilling fluids up the hole, rather than letting them pour into the lake and contaminate it.
Cuba drilling to begin in March?
Posted in cuba, drilling, offshore, tagged cuba, drilling, Florida, offshore oil, Repsol, Saipem, Scarabeo 9 on January 5, 2011| Leave a Comment »
Well, well. In early March, Cuba will commence with deep water drilling under contract with Repsol and Statoil ASA, using an older rig that was recently rehabbed by the Chinese. Reports indicate that it has fewer safety features than the BP’s infamous Deepwater Horizon. The site is located a scant sixty miles southeast of Key West, Florida. Benzinga.com
There are some errors and unsupported opinions in this article, so I would take the March spud date with a grain of salt. As confirmed by Rigzone, the Saipem Scarabeo 9 is a new rig, not a rebuild. It was built in China and commissioned in Singapore. The inflammatory comment about the rig having fewer safety features than the Deepwater Horizon is also without substance. Everything about the Scarabeo 9 appears to be state-of-the-art.
While a projected 2011 spud date has been reported and appears likely, Cuba’s deepwater drilling program has been marked by repeated delays. BOE has seen no confirmation that the rig has arrived or is en route to Cuba. We would appreciate any updates that others might be able to provide.
Cleaning up their act, but where was the leadership?
Posted in drilling, tagged Marcellus Shale, Pennsylvania, shale gas, wastewater on January 5, 2011| Leave a Comment »
Associated Press story forwarded by Cheryl Anderson:
In the two years since the frenzy of activity began in the vast underground rock formation known as the Marcellus Shale, Pennsylvania has been the only state allowing waterways to serve as the primary disposal place for the huge amounts of wastewater produced by a drilling technique called hydraulic fracturing, or fracking.
State regulators, initially caught flat-footed, tightened the rules this year for any new water treatment plants but allowed any existing operations to continue discharging water into rivers.
Pennsylvania shale gas producers seem to be getting the message, but the industry is once again in a reactive mode. Where was the leadership during the critical first two years? Why were new regulations needed to address the obvious?
Records verifying industry claims of a major dropoff in wastewater discharges to rivers will not be available until midwinter, but John Hanger, secretary of Pennsylvania’s Department of Environmental Protection, said he believed that the amount of drilling wastewater being recycled is now about 70 percent — an achievement he credits to tighter state regulation pushing the industry to change its ways.
“The new rules, so far, appear to be working,” he said. “If our rules were not changed … we would have all of it being dumped in the environment, because it is the lowest cost option,” Hanger said.
That last sentence must be painful reading for industry’s true safety and environmental leaders. The Marcellus Coalition, and the rest of us, need to remember this message:
We’re all in this together. We’re all only as good as whoever had a mistake this morning.
Operations to resume on suspended GoM deepwater wells
Posted in drilling, Offshore Energy - General, tagged BOEMRE, drilling, Gulf of Mexico, offshore oil on January 4, 2011| Leave a Comment »
Encouraging and prudent decision:
The Bureau of Ocean Energy Management, Regulation and Enforcement (BOEMRE) today notified 13 companies whose deepwater drilling activities were suspended by last year’s deepwater drilling moratorium that they may be able to resume those previously-approved activities without the need to submit revised exploration or development plans for supplemental National Environmental Policy Act (NEPA) reviews. Before resuming those activities without additional NEPA review, however, the companies must comply with BOEMRE’s new policies and regulations.
The resumption of operations on suspended wells was the major concern of some operators and had the potential to delay anticipated new production.
US tension, UK resolve
Posted in drilling, Offshore Energy - General, tagged Deepwater Horizon, drilling, Gulf of Mexico, offshore oil, UK on January 3, 2011| Leave a Comment »
Wall Street Journal on on Gulf delays
The Energy Information Administration, the research arm of the Department of Energy, last month predicted that domestic offshore oil production will fall 13% this year from 2010 due to the moratorium and the slow return to drilling; a year ago, the agency predicted offshore production would rise 6% in 2011. The difference: a loss of about 220,000 barrels of oil a day.
UK moves ahead with deepwater drilling
MPs have ruled out a moratorium on deep water drilling in the North Sea, despite concerns it could lead to a disaster worse than BP’s oil spill in the Gulf of Mexico last year.
Shallow water struggle (Wall Street Journal)
From bad to worse for shelf operations:
“We were on our knees when Macondo hit,” said Jim Noe, senior vice president and general counsel for Hercules.
First Well to Be Drilled Off New South Wales (Australia) Coast
Posted in drilling, Offshore Energy - General, tagged Australia, drilling, Montara, offshore on December 8, 2010| Leave a Comment »
It looks like Montara has not affected frontier exploratory drilling offshore Australia. Per Upstream:
New Seaclem-1 will be the first well to be drilled off the New South Wales coast and will target an estimated 6 trillion cubic feet of gas in the Great White & Marlin prospects.
Long Overdue: Failure Reporting System for BOPE
Posted in drilling, Uncategorized, tagged BOP, BOPE, Deepwater Horizon, drilling, failure reporting, macondo, Malcolm Sharples, offshore oil, safety, well control on November 23, 2010| Leave a Comment »
In my 11 May 2010 testimony before the Senate Energy and Natural Resources Committee, I made ten recommendations. While many of the issues raised in that testimony are being addressed, one of the more important recommendations (no. 4) has received little or no attention. This recommendation calls for a public or private system for collecting and assessing failure date for blowout prevention equipment. To the best of my knowledge, the only publicly available performance data for BOPE were collected by MMS and SINTEF and pertain to failures during BOP pressure testing, not failures during other operations. How can we have a credible safety system without comprehensive failure data for such critical well control equipment?
Dr. Malcolm Sharples, an important BOE contributor, identified a number of BOP performance issues since Macondo. Here are a few examples:
- During routine tests on the device, the locking system of one of the rams jammed in a locked position. Sevan is working with Petrobras and the supplier, Cameron, to find a solution.
- Reliance suspended all drilling work in the block after the Transocean rig Deepwater Expedition developed technical problems in its BOP. Reliance was drilling the KGV-D3-W1 well in the contract area since April 2010.
- The rig was offshore Australia for Shell early last month when newly installed BOP components failed during operations. Following several unsuccessful attempts to rectify the problems in the field, the failing BOP component is currently undergoing repairs in Singapore.
How is this information not important to every operator, regulator, and drilling contractor? A comprehensive BOP failure reporting system should be a high and immediate priority for the offshore industry. The information should be verified and published so that all may learn and future performance improved. Requirements for providing such information should be included in contracts and, if necessary, regulations.
An other major void that I have been talking about for years, without much success, is the absence of a comprehensive and verified international incident reporting system. I assumed this would be universally recognized immediate necessity, and a critical element of the offshore industry’s initiatives agenda. Apparently that is not the case. More on this to follow.






