Salazar and Bromwich also announced that they are establishing a permanent advisory body through which the nation’s leading scientific, engineering, and technical experts will provide input on improving offshore drilling safety, well containment, and spill response. Secretary Salazar has asked former Sandia National Laboratory Director Tom Hunter to lead the body, which will be called the Offshore Energy Safety Advisory Committee (Safety Committee).
The new Bureau of Ocean Energy Management (BOEM) will be responsible for managing development of the nation’s offshore resources in an environmentally and economically responsible way. Functions will include: Leasing, Plan Administration, Environmental Studies, National Environmental Policy Act (NEPA) Analysis, Resource Evaluation, Economic Analysis and the Renewable Energy Program.
The new Bureau of Safety and Environmental Enforcement (BSEE) will enforce safety and environmental regulations. Functions will include: All field operations including Permitting and Research, Inspections, Offshore Regulatory Programs, Oil Spill Response, and newly formed Training and Environmental Compliance functions.
Archive for the ‘Offshore Energy – General’ Category
DOI defines responsibilities of new bureaus, announces Safety Committee
Posted in Offshore Energy - General, Regulation, tagged BOEM, BOEMRE, BSEE, Department of the Interior, MMS on January 19, 2011| Leave a Comment »
Bahamian exploration to begin
Posted in cuba, Florida, Offshore Energy - General, tagged Bahamas, cuba, drilling, Florida, offshore oil on January 19, 2011| Leave a Comment »
Super-geologist Paul Post is tracking Cuban and Bahamian activity and sent this map and update.
Two thousand and eleven could be a key year for oil minnow Bahamas Petroleum Company. The AIM-quoted explorer has hired the Osprey Explorer seismic vessel, owned by Norway’s SeaBird Exploration, to shoot close-grid 2D over its four licences to the south of the Bahamas with a view to firming up a prospect for drilling in Q4. This would be the first well in Bahamian waters since 1986 and will be an acid test of BPC’s claim to be holding first mover advantage in waters that could be home to billions of barrels of oil. OilBarrel.com
Note that the area of interest is adjacent to Cuban waters, so the Cuban findings will be of great interest to the Bahamas. I don’t know if the two countries have an information sharing agreement. Perhaps the Scarabeo 9 semisubmersible will move to Bahamian waters after drilling one or more wells off Cuba.
Record Worldwide Oil Demand
Posted in energy, Offshore Energy - General, oil, tagged IEA, offshore oil, oil demand on January 18, 2011| Leave a Comment »
The International Energy Agency (IEA) said preliminary data showed oil demand hit a record high of 87.7 million barrels per day over the past 12 months.
Related Wall Street Journal story:
The Organization of Petroleum Exporting Countries Monday said demand for its oil in 2011 will be stronger than it previously forecast owing to the recovery in the global economy.
BOE Comment: The deep water sector is the only option for significant near and intermediate-term increases in US oil production. Ditto for many other non-OPEC producers. We better get our act together soon.
BP awarded Australian Bight permit
Posted in Offshore Energy - General, tagged Australia, bp, drilling, Great Australian Bight, Martin Ferguson, offshore oil on January 17, 2011| Leave a Comment »
Our energy security will be greatly enhanced by opening up new geological frontiers and reducing our dependence on imports. Resources and Energy Minister Martin Ferguson
Updated Norwegian Regulations
Posted in Norway, Offshore Energy - General, Uncategorized, tagged Norway, offshore drilling, PSA, safety on January 5, 2011| Leave a Comment »
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.
Who needs futbol? Deepwater discoveries propel Brazil
Posted in accidents, Offshore Energy - General, oil, tagged Brazil, offshore oil, P36, safety on December 15, 2010| Leave a Comment »
President-elect Dilma joked recently that the oil discoveries were just the latest proof that God is Brazilian. And economists from Goldman Sachs no less are predicting that Brazil — along with Russia, China and India — will dominate the world economy in the 21st century.
If you didn’t see the 60 Minutes story on Brazil, you can view it here. With regard to the significance of Brazil’s recent deepwater discoveries, OGX owner Eike Batista offered the following:
Oh, it, it means we should be producing in excess of six million barrels a day. So it’ll put us in among the third, fourth largest producer in the world. Massive exporting.
According to this blog entry, Batista forecasts this 6 million bopd production rate (more than double the current output) by 2020!
Like other offshore producers, Brazil has experienced its tragedies, most notably the sinking of the P-36 production platform that resulted in 11 fatalities. Petrobras and Brazil have recovered nicely from that disaster, but outstanding safety performance is critical if they are to sustain their offshore success.
The Gulf of Mexico hurricane season is over
Posted in Offshore Energy - General, tagged Gulf of Mexico, hurricanes, macondo, offshore oil, safety on December 13, 2010| Leave a Comment »
Based on the chart above, I think we can now safely declare that the 2010 hurricane season is over. While the threat of tropical storms posed some problems for the Macondo response, the Gulf of Mexico was spared any significant damage or suspensions of production.
During the post-Macondo discussion about safety and regulatory issues, not much has been said about the major disruptions caused by Hurricanes Ivan, Katrina, Rita, Gustav, and Ike, and the attention and resources that have been dedicated to hurricane issues for the past five years. Major advances have been made in mooring capabilities and assessments, design standards, securing topsides equipment, and other aspects of hurricane preparedness.
How much did hurricane issues affect the assessment and management of other operating risks? This question may merit further attention.
Shell to transport Beaufort mud and cuttings?
Posted in Alaska, offshore, Offshore Energy - General, tagged Alaska, Beaufort, cuttings, drilled solids, drilling fluids, muds, offshore, offshore oil, Shell on December 11, 2010| Leave a Comment »
Shell has agreed to transport its used drilling fluids from Beaufort Sea exploration drilling out of the Arctic if the company finally gets government permission to drill a well next summer. Alaska Journal of Commerce




President-elect Dilma joked recently that the oil discoveries were just the latest proof that God is Brazilian. And economists from Goldman Sachs no less are predicting that Brazil — along with Russia, China and India — will dominate the world economy in the 21st century.
