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As we approach the 4th of July, remember this:

In 1979 Gulf of Mexico oil production had declined to 263 million barrels and many believed that further declines were inevitable. 40 years later, a record 693 million barrels were produced.

Onshore, lateral drilling and hydraulic fracturing capabilities are continuing. As a result, Exxon and others are predicting projecting higher recovery factors in the Permian Basin. Per Exxon CEO Darren Woods: “We are beginning to see the signs of some very promising new technologies that will significantly improve recovery.”

Opportunity + Ingenuity ➡ Energy Independence + Prosperity

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Ill-fated OceanGate Titan (Reuters photo)

Titanic tourism in manned vehicles was, of course, completely unnecessary and too risky to pass any serious risk assessment. Advanced offshore technology is providing exceptional images of the Titanic that can be viewed anywhere.

From the outset, deepwater oil and gas exploration and development were not dependent on divers or manned submersibles – far too dangerous. UUVs are used for maintenance, inspections, surveys, positioning equipment, and other operational purposes.

UUV technology advanced with demand as deepwater discoveries drove worldwide exploration and production. In 2021, deepwater (>1000′) leases accounted for 93% of GoM oil production and 76% of the gas production. For comparison, in 1985 only 6.0% of the oil and 0.8% of the gas were from deepwater leases.

In 2021, TechnipFMC won NOIA’s Safety in Seas Award for the Gemini® ROV System which can dive for a month at a time and change tools subsea instead of on deck. The Gemini® ROV System also includes a blowout preventer intervention system that supports well control and pipe shearing functions.

Below is a taxonomy for UUVs. The linked article provides further details. Gliders are particularly useful for surveying given the large distances they can cover (last image).

liquidgrid.com
Glider operation range compared to ROV and AUV. No close vessel required during a glider mission

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Last week I had the privilege of attending a retirement party for Jim Bennett. Jim spent most of his 43 year Federal career in the OCS program focusing on environmental reviews and offshore wind. Most recently he served as Chief of the Offshore Renewable Energy Program. Congratulations to Jim on a long and very successful career!

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Per an announcement by his family, former Secretary of the Interior James Watt passed away on May 27. The Washington Post provides a good overview of his tenure at DOI during the Reagan administration.

Watt was an outspoken and controversial figure. His aggressive mineral leasing policies proved not to be in the best long-term interest of the OCS program. As their principal target, Watt became an unintended fundraiser for opponents of energy development.

Watt’s indirect Beach Boys ban, which didn’t sit well with Ronald and Nancy Reagan, was perhaps his best remembered faux pas. Per the WP:

He did not explicitly mention the Beach Boys, but they had performed at previous July 4 events, and the group became the focus of outrage over Mr. Watt’s pronouncement. President Reagan called the interior secretary to the Oval Office and presented him with a plaster foot bearing a bullet hole to humorously — but unambiguously — convey the message that he had shot himself in the foot.

Watt’s hideous and insensitive comment about the composition of the Linowes Commission seemed to be the final straw, and he resigned shortly after he made those comments. The “cripple” in that remark happened to be someone I knew, a highly regarded mineral economist named Richard Gordon who was one of my favorite graduate school professors.

Lots of James Watt jokes circulated during his tenure. One that I found amusing went something like this: James loved baseball and dreamed of someday standing in center field at Yankee Stadium ….. drilling for oil 😀.

RIP Secretary Watt.

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Grateful for those who gave their lives to protect our freedoms, as expressed in the Bill of Rights.

Wary of political and media campaigns that tell us what and how to think, and threaten our freedom to speak openly and express contrary opinions. In that regard, this video posted by Elon Musk is disturbing.

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Photo courtesy of our Mexican correspondent Andrew Konczvald.

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The Supreme Court will hear a case that could significantly scale back federal agencies’ authority, with implications for regulations affecting the US offshore program. The court could overturn a precedent known as the “Chevron doctrine” that instructs judges to defer to federal agencies when interpreting ambiguous federal laws.

Few Supreme Court doctrines have been stretched more by regulators and lower-court judges than Chevron deference, which says judges should defer to regulators’ interpretations when laws are supposedly ambiguous. The High Court agreed Monday to give Chevron a much-needed legal review.

WSJ

About the Chevron doctrine:

One of the most important principles in administrative law, the “Chevron deference” was coined after a landmark case, Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc., 468 U.S. 837 (1984). The Chevron deference is referring to the doctrine of judicial deference given to administrative actions. In Chevron, the Supreme Court set forth a legal test as to when the court should defer to the agency’s answer or interpretation, holding that such judicial deference is appropriate where the agency’s answer was not unreasonable, so long as Congress had not spoken directly to the precise issue at question. 

Cornell Law
Market Chess

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Old York Road near West Olney Avenue. December 14th, 1914.

I saw this old picture and was intrigued by the “Mobiloils” sign. I didn’t think Standard of New York had already evolved into Mobil in 1914. A couple of Wiki excerpts explain:

Following the break-up of Standard Oil in 1911, the “Standard Oil Company of New York” (or ‘Socony’) was founded, along with 33 other successor companies.

Socony merged with Vacuum Oil Company to form Socony-Vacuum. Vacuum Oil had used “Mobiloil” automobile lubricating oil brand since 1904, and by 1918 it became recognizable enough that the company filed it for registration as a trademark (it was registered in 1920)

Note that the Mobil Pegasus was trademarked by Vacuum Oil Company of South Africa.

Mobil Pegasus

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