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Archive for the ‘Offshore Energy – General’ Category

On 9 November 2010, the Petroleum Safety Authority Norway (PSA) conducted an audit of BP Norge’s follow-up of new work processes within drilling and well activities using information and communication technology (ICT)

summary of the audit

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Brazil and Angola share more than a common language. Both aspire to be presalt production leaders.  According to Platts Oilgram News (not available online):

BP, Total, Eni and other international majors have been awarded concessions to explore in Angola’s ultra deepwater presalt blocks, a ministry of energy official told Platts January 26, as companies hope to replicate in the southwest African country the successof the pre-salt plays offshore Brazil.

Per a separate Platts article:

According to the US Energy Information Administration website as of January 2010, Angola had proven oil reserves of 9.5 billion barrels while government statements in December 2009 put total reserve numbers as high as 13.1 billion barrels.

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Unfortunately, this isn’t a Cajun joke.  According to Upstream, Noble’s Clyde Boudreaux, a deepwater semisubmersible, is being moved to Brazil to work for Shell.

We expect to see additional units leave the Gulf region, which may at some point impact the broader deepwater market. Roger Hunt, Noble

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Link

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.

 

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Super-geologist Paul Post is tracking Cuban and Bahamian activity and sent this map and update.

click on image to enlarge

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.

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From Upstream report:

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.

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Great Australian Bight

Per the Sydney Morning Herald, BP has been granted the right to explore for oil and gas in the Bight area offshore South Australia.

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

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The updated Norwegian health, safety, and environmental regulations, effective 1 January 2011, are now available online. This includes applicable regulations that other Norwegian authorities (in addition to PSA) oversee.

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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.

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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.

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