Daily Archives: February 2, 2012
President Obama’s ambiguous call to “open” 75 percent of the country’s potential offshore oil and natural gas resources to exploration may sound generous, but the truth is, the areas containing those resources are technically already included in the upcoming 2012 to 2017 offshore leasing plan, and they are virtually the same areas where exploration and production have been allowed for decades.
Look beyond the president’s rhetoric to his record and it becomes clear that jobs and energy security are not high priorities for this administration. The shortsighted decision to deny the Keystone XL pipeline and the unnecessarily long moratorium on drilling in the deep waters of the Gulf of Mexico are but two examples.
Political uprisings and social unrest over the past year have highlighted the instability of oil-producing regions in the Middle East and North Africa, and the situation shows no signs of improvement. Just a few weeks ago, Iran threatened to shut the Strait of Hormuz, a critical transport route for 40 percent of the world’s oil. A robust domestic oil and natural gas industry can shield the U.S. market from such events and protect the American consumer. Unfortunately, our current policies have failed.
Around the same time as the Iranian announcement, the American Petroleum Institute unveiled a Quest Offshore Resources study showing that the deep-water drilling moratorium and subsequent permit slowdown forced 11 deep-water rigs to leave the Gulf of Mexico since 2010, taking their jobs and investments to the shores of Brazil, Africa and elsewhere. Those moves translated to a loss of $21.4 billion for our economy and an estimated 72,000 jobs in 2010 and 90,000 jobs in 2011, according to the study. We must do better.
An earlier Quest study rolled out by the National Ocean Industries Association showed that if permitting rates surpassed pre-2010 levels, 190,000 offshore industry-supported jobs could be created nationwide within the next two years without a single dime of government stimulus. The positive benefits of returning the Gulf-permitting rates to higher, more consistent levels are clear. But the Gulf represents only a portion of our nation’s offshore resources. Alaska’s outer continental shelf holds immense potential, with almost 10 billion barrels of oil and 15 trillion cubic feet of natural gas lying untapped beneath the ocean floor. Approval of exploration permits would mean 55,000 new jobs and $145 billion in new wages. The federal government would also see a significant amount of new revenue – approximately $193 billion.
There are also considerable resources off the coast of Virginia, where residents and state leadership support exploration. Unfortunately, the Department of the Interior has yet to allow the industry to move forward there. In addition to denying Virginia’s desire for an offshore lease sale, the department’s 2012 to 2017 proposed oil and gas leasing program keeps the eastern Gulf and the Atlantic and Pacific coasts off-limits to exploration and delays development in Alaska. This sends job creation elsewhere, and closes the door on economic growth.
Despite the vital revenue generated, jobs created, wages paid and increased energy security, less than 3 percent of the federal outer continental shelf is leased, leaving more than 97 percent of these resource-rich areas devoid of any permits. I cannot think of a more glaring, missed opportunity. We simply cannot continually place our nation at the mercy of hostile nations while we ignore our own energy potential. Significant oil and natural gas resources lie off our coasts and across our northern border, waiting to enhance our energy security and help stabilize fuel prices. We need to go get them. The time has come for Congress and the president to put aside rhetoric and ideological debates, pass meaningful legislation that will open our offshore domestic resources for exploration and development, stop sending our hard-earned dollars to hostile and unfriendly nations, and invest in America’s future.
- President Obama’s Domestic Energy State Of Delusion (mb50.wordpress.com)
- Obama’s Words Don’t Match with Action on Oil and Gas (mb50.wordpress.com)
- Natural gas sector set up by Obama to be sabotaged? (mb50.wordpress.com)
- 38 Million Acres Up For Grabs in Latest (and Last) GoM Lease Sale (gcaptain.com)
Bergen Group Offshore has, through its subsidiary Bergen Group Rosenberg AS, been awarded a contract by Statoil for fabrication of subsea structures for the Åsgard Subsea Compression Project with an estimated value of 50 MNOK.
The project involves delivery of 12 off PLEM structures (Pipeline End Manifold) and one riser base with a total estimated weight of 850 tonnes. The contract includes project management, shop engineering, planning and work preparation, procurement, fabrication and testing of the structures. The work will commence immediately and final delivery shall take place in May 2013.
The project organization will be mobilized at Buøy, Stavanger where all project activities will be undertaken.
“Bergen Group Rosenberg very pleased to be awarded this contract. We are well positioned for the growing subsea market with our excellent track record for quality deliveries. Through recent investments in fabrication facilities and equipment we shall achieve further improvements in productivity and quality.” says Kristin Færøvik, Executive Vice President of Bergen Group Offshore and CEO of Bergen Group Rosenberg.
Statoil and its partners on Åsgard field have opted for subsea gas compression to help recover the big remaining reserves in this Norwegian Sea field. Subsea compression is expected to increase the recovery factor and producing life of Åsgard. By carrying out compression on the seabed, Asgard partners will achieve benefits in the form of improved energy efficiency and lower costs compared with carrying out compression on platforms or on land.
- Norway: Bergen Group Wins Eldfisk Bravo Gig from ConocoPhillips
- Norway: Bergen Group to Dismantle Deck Cranes at Gullfaks Platforms
- Norway: Aker Solutions Wins Asgard Modifications Work
- Norway: Bergen Group Offshore Bags EPCI Modification Contract on Statfjord B&C
- Norway: Nemo Engineering Wins Contract from Statoil to Deliver Hot Tap Goosneck Spools for Asgard
- Norway: Aker Solutions Delivers Subsea Templates for Skuld Fast-Track Development (mb50.wordpress.com)
- Norway: DOF Subsea to Provide Offshore Survey & Construction Services to Statoil (mb50.wordpress.com)
- Norway: Subsea 7 Charters Island Intervention Vessel (mb50.wordpress.com)
- Norway: Technip Participates in Statoil’s Vilje and Visund Developments (mb50.wordpress.com)
Under the revised terms of the option agreement, the delivery of the drillship will be no later than May 17, 2014. The commercial terms of the option agreement are unchanged.
Pacific Drilling is a growing offshore drilling company that provides global drilling services to the oil and natural gas industry through the use of ultra-deepwater drillships. Pacific Drilling’s fleet of six ultra-deepwater drillships will represent one of the youngest and most technologically advanced fleets in the world. The company currently operates four recently delivered drillships and has two additional drillships on order at Samsung.
- USA: Pride Extends Option for 6th Ultra Deepwater Drillship
- USA: Pacific Drilling S.A Extends Option for Seventh Drillship
- USA: Pacific Drilling Takes Delivery of UDW Drillship
- Total Enters LOI for Use of Pacific Scirocco Drillship in Nigeria
- USA: Pacific Santa Ana Drillship Hits the Water
- Pacific Scirocco Drillship Begins Work in Nigeria (mb50.wordpress.com)
- USA: Busy December Ahead of Pacific Drilling’s Drillships (mb50.wordpress.com)
- Dolphin Drilling to Provide Two Drillships for Anadarko’s Mozambique Operations (mb50.wordpress.com)
- Is the Industry Ready to Drill in the Arctic? Stena Drillmax Ice Nears Delivery (mb50.wordpress.com)
- Drillship animation in the Gulf of Mexico (video) (mb50.wordpress.com)
- South Korea: Naming Ceremony for Odfjell Drilling’s New UDW Drillship (mb50.wordpress.com)
- South Korea: Rowan Companies Inc, Announces Option to Build GustoMSC Drillship (mb50.wordpress.com)