… Union Oil Company’s reckless well plan forever scarred the U.S. offshore program. Learn more about the details.
Santa Barbara blowout
Examinations of the Santa Barbara, Montara, and Macondo blowouts, the Piper Alpha fire, and other major incidents should be a part of every petroleum engineering curriculum, and should be mandatory for those who conduct and regulate offshore oil and gas operations.
There is no better learning experience than studying the failures that had such enormous human and economic consequences.
“In an age when energy policy is so often hostage to fierce partisanship, there is hope that geothermal can be the one clean energy solution that could satisfy climate change campaigners and the ‘drill baby drill’ lobby alike.”
Updates on Quaise Energy’s highly anticipated gyrotron field test and related information:
“Lab-test data suggest that the gyrotron’s beam will lose only around 50% of its power at a depth of six miles. To put that into perspective, the attenuation of a rotating drill string at 10 kilometers can be 98%,” Araque said. “You only get 2% of the mechanical power down to the bit.”
Quaise’s field test will take place on a disused oil drilling pad in the northern exurbs of Houston. Next month, a gyrotron 100 times as powerful as the one in the laboratory will be pointed at the earth and switched on.
By spring, Quaise will have erected another platform in a disused quarry near Marble Falls, a city on the Colorado River northwest of Austin.
Quaise’s ultimate ambition is that its drills can be “dropped-in” to existing oil and gas wells.
By 2026, Quaise should be positioned to launch its first commercial venture. Within that short timescale, an answer to the question of whether superdeep geothermal can be truly transformative should come into clearer focus.
Quaise’s Araque: “Our civilization uses 25 terawatts, and it doubles every 25 years. By 2050 we need 50 terawatts. By 2100 we need 200 terawatts. When you look at those numbers, you realize that diffuse and intermittent renewables don’t have the scale. The externalities are too high.”
Shetland News received a number of photos from the site, with the person who sent them – who wished to remain anonymous – saying there was “truly a monumental mess of fibreglass and plastic blowing through the hills.”
They said “some of the debris was as far as 700m away from the turbine.”
Shouldn’t the operators have contingency plans (ala oil spill response plans) that provide for prompt and complete cleanup after turbine system failures?
“Debris can still be seen strewn around, some distance from the turbines.”
The attached bill not only nullifies most OCS leasing bans, but fundamentally changes the OCS Lands Act provision (Sec. 12(a)) that authorizes such Presidential withdrawals.
Revoke all Presidential leasing bans except for the 2020 withdrawals, which could presumably be reversed by President Trump.
Limit withdrawals to under 150,000 acres (the equivalent of 26 lease blocks of typical size) in total or contiguous with any other withdrawal.
Limit cumulative withdrawals to 500,000 acres (87 lease blocks) without congressional approval.
Sunset withdrawals after 20 years.
Require geological, economic, and security assessments for any future withdrawals.
Give Congress the authority to review and potentially overturn future withdrawals.
Ensure that future withdrawals do not contradict an approved Five-Year Offshore Oil and Gas Leasing Program.
Does this bill have a chance? Realistically, the prospects are probably not good. Although the bill currently has an impressive list of 24 sponsors, all are Republicans and none are from Florida. Absent support from Florida Republicans and some interior state Democrats, it will be difficult to gain traction.
Interactive map showing OCS areas where oil and gas leasing is now prohibited (I.e everywhere but the Central and Western Gulf of Mexico and the Cook Inlet)
Career Minerals Management Service and BOEM stalwart Dr. Walter Cruickshank has been named Acting Secretary of the Interior pending the confirmation of Doug Burgum. Walter is a very bright guy with a balanced perspective on energy development. He has served capably on the senior management teams of both Democrat and Republican administrations. Bonus points for the Mineral Economics doctorate from Penn State and his keen interest in the Cape Cod Baseball League! 😉
Equinor’s investment of over 26 billion kroner in the Danish wind power company Ørsted has so far been a financial disaster – and now it’s going from bad to worse.
“We are very negative about the whole green initiative, as the return on the investments they make is far too low. When they also buy minority stakes in other green companies that we cannot count on, such as Ørsted, it means that we would rather own other oil companies.” Gaute Eie, Eika Kapitalforvaltning
The market has long been concerned that Equinor will throw money at renewable projects with low or no profitability.
In a recent note, Pareto analysts Tom Erik Kristiansen and Olav Haugerud point out that the Ørsted writedown does not bode well for Equinor’s own US projects either. They foresee a writedown of up to $1.1 billion, given that Equinor faces the same type of challenges as Ørsted.
Eie believes there is no reason why Equinor in particular should have a green initiative:
Aker BP is not doing green, Vår Energi is not doing green, and all the big oil companies are going back on this. Then we’ll see if Equinor has the guts to buy even more Ørsted shares, because now it’s 35 percent cheaper. If they do, we’ll have even fewer Equinor shares.
Sissener believes Equinor should rather focus on dividends and concentrate on oil and gas projects.
– We generally stay away from companies where the state is a major owner, because there you have to be so politically correct all the time. What we need are shareholder-friendly board representatives who know how to run a business and maintain control. In a broader perspective, this helps to destroy trust in Norwegian business.
Withdrawal from the Paris Climate Change Agreement:The US Ambassador to the UN shall immediately submit formal written notification of the US withdrawal from the Paris Agreement under the United Nations Framework Convention on Climate Change.
Regulatory Freeze: Agencies may not propose or issue a rule until approved by a Presidential appointee. OMB may exempt emergency or urgent rules (déjà vu for regulators 😉).
Alaska: Withdraws a Secretarial Order intended to halt ANWR oil and gas leasing. Rescinds cancellation of ANWR leases.
Encourage energy exploration and production on Federal lands and waters, including on the Outer Continental Shelf.
Eliminate the electric vehicle (EV) mandate.
Requires immediate review of actions that could burden the development of energy resources.
Develop and begin implementing action plans to suspend, revise, or rescind all unduly burdensome agency actions.
Revoke climate change and “clean energy” EOs.
Terminate all activities, programs, and operations associated with the American Climate Corps (RIP 😉).
Expedite and simplify permitting processes.
Facilitate the permitting and construction of interstate energy transportation and other critical energy infrastructure, including pipelines.
Disband the Interagency Working Group on the Social Cost of Greenhouse Gases.
Terminate the Green New Deal.All agencies must immediately pause the disbursement of funds appropriated through the Inflation Reduction Act of 2022 (Public Law 117-169) or the Infrastructure Investment and Jobs Act (Public Law 117-58).
The Secretary of Energy is directed to restart reviews of applications for LNG export projects as expeditiously as possible.
Title: Temporary Withdrawal of All Areas on the Outer Continental Shelf from Offshore Wind Leasing and Review of the Federal Government’s Leasing and Permitting Practices for Wind Projects
Main points:
New leases: Immediately withdraws all OCS areas from wind leasing
Existing leases: Secretary of the Interior shall conduct a comprehensive review of the ecological, economic, and environmental necessity of terminating or amending any existing wind energy leases, identifying any legal bases for such removal, and submit a report with recommendations to the President
Review of Leasing and Permitting Practices: The Secretary of the Interior, the Secretary of Agriculture, the Secretary of Energy, the Administrator of the Environmental Protection Agency, and the heads of all other relevant agencies, shall not issue new or renewed approvals, rights of way, permits, leases, or loans for onshore or offshore wind projects pending the completion of a comprehensive assessment and review of Federal wind leasing and permitting practices.
A senior administration official who is familiar with the executive actions and authorized to brief Fox News Digital said Trump on day one will end “Catch and Release;” pause all offshore wind leases; terminate the electric vehicle mandate; abolish the Green New Deal; withdraw from the Paris Climate Accord; and take several major steps to assert presidential control over the federal bureaucracy.
The senior official told Fox News Digital that the energy executive order deals with “every single energy policy,” andaddresses liquid natural gas, ports, fracking, pipelines, permitting and more, while also terminating President Biden polices he said “have constrained U.S. energy supply.”
estimated peak production:100,000 barrels of oil equivalent per day (boe/d)
water depth – 8600 ft
200 miles south of Houston
estimated recoverable resource: 480 million boe.
first oil only 7.5 years after discovery (includes COVID delay)
Vito clone: replicates 99% of the hull design and 80% of the topsides from Vito.
high efficiency gas turbines and compression systems
~ 30% lower greenhouse gas (GHG) intensity over its life cycle than the already efficient levels being achieved at Vito. (Why the push to run electric cables from shore to North Sea platforms with ample gas production?)
This is all good, but what is next? Will technological advances once again sustain GoM production? The short answer appears to be yes!
The efficiencies achieved with the simpler platform designs combined with the high pressure (>15,000 psi) technology developed over the past 2 decades will facilitate production from the highly prospective Paleogene (Wilcox) deepwater fans. (For those interested in learning more about the geology, see the excellent presentation by Dr. Mike Sweet, Univ. of Texas, that is embedded in this post.)
Bud's Offshore Energy (BOE) 