Daily Archives: February 3, 2012
Oil and gas exploration and production in the Gulf of Mexico will some day return to pre-BP spill levels, the president of Chevron North America Exploration and Production Company, Gary Luquette said Thursday.
But the rigorous permitting, safety and verification requirements imposed after the April 2010 BP disaster are here to stay, Gary Luquette said during an interview with The Daily Advertiser before the Greater Lafayette Chamber of Commerce annual banquet, where he was keynote speaker.
“It’s a new normal,” Luquette said.
The industry hasn’t found its stride since the Deepwater Horizon platform operated by BP off the coast of Louisiana exploded and sunk, creating the largest oil spill in U.S. history.
That disaster, which killed 11 workers, led the federal government to impose a six-month moratorium on deepwater drilling that was followed by more stringent permitting and safety regulations.
“I think activity levels can and will return to pre-Macondo (spill) levels,” he said. “The effort and rigor in getting permits approved won’t return.”
Luquette said that’s a good thing for Louisiana and the industry. The BP disaster tainted the entire industry.
Tighter permitting, regulations and oversight will help the industry rebuild public trust, he said.
The “new normal” may be too costly for some of the small independent companies to survive, Luquette said.
“In the end,” he said, “the standards are going up. It’s your responsibility to enact them.”
The Gulf of Mexico is still a major source of oil and natural gas and Chevron maintains a presence there, in deepwater and shallow water, said Luquette, a 1978 civil engineering graduate of UL Lafayette.
More than half of the company’s 2012 budget is allocated to Gulf of Mexico activity. Today, Chevron has 10 rigs operating in shallow water, he said.
Lafayette plays an important role in the industry with numerous supply and service companies operating here.
Chevron alone has 300 workers in its Lafayette office and another 300 or so working offshore out of the Lafayette office, Luquette said.
President Obama said last week in his State of the Union address that he wants to end “subsidies” to the oil and gas industry which makes billions of dollars in profits. Luquette said the energy industry creates jobs and creates wealth for the federal government.
In 2011, the oil and gas industry paid $86 million a day to the federal government in royalties, rents and tax revenue, he said. The industry also employs more than nine million either directly or indirectly.
The industry doesn’t need bailouts and such, just a level-playing field, the same so-called subsidies and breaks the federal government provides other U.S. industries and those from foreign nations, Luquette said.
- Drilling ban had ‘hidden victims’ (mb50.wordpress.com)
The 165,500 m3 Maersk Meridian departed Hammerfest yesterday, and is expected to arrive at U.S. Sabinne Pass terminal on February 17.
Statoil said on January 20 that it has resumed production at the Hammerfest LNG plant following a temporary shutdown due to rupture of a firewater line.
The Hammerfest terminal has a capacity to produce 4.3 million mt/year of LNG.
- Norwegian LNG Cargo Bound for Spain
- Statoil Restarts Hammerfest LNG Terminal (Norway)
- Norwegian LNG Heads for Turkey
- Statoil Stops Production at Hammerfest LNG (Norway)
- Norwegian LNG Heads for Spain
- Canada: NEB Approves BC LNG Export Licence (mb50.wordpress.com)
- USA: Cheniere, KOGAS Ink Sabine Pass LNG Deal (mb50.wordpress.com)
- USA: Golden Pass LNG Plans Re-Exports (mb50.wordpress.com)
- USA: Seventeen LNG Cargoes Re-Exported in Jan-Nov (mb50.wordpress.com)
- Lithuania: Cheniere Eyes LNG Exports by 2015 (mb50.wordpress.com)
- USA: Sempra Wins DOE Approval for Cameron LNG Export (mb50.wordpress.com)
- Angola LNG Looks to Sell Liquefied Natural Gas to Non-U.S. Buyers (mb50.wordpress.com)
Piecing together sound bites to form a rough idea of what’s actually going on is about the only option available right now, so when Leon Panetta announced yesterday that he thinks Israel may strike Iran this spring it immediately made the news.
After that, Israel allegedly believes Tehran will enter a “zone of immunity” where they will have enough enriched uranium, stashed in bunkers deep enough, that only U.S. bombs will be able to penetrate and they will be helpless to act on their own.
Ignatius did not cite a source, but reported the news from Brussels where Panetta was attending a NATO Defense meeting.
It’s a reasonable argument that is bolstered by the fact that Israel cancelled its massive missile defense drill with the U.S., slated for the same period, saying that they couldn’t spare the forces at that time. The drill is said to be back on the books for October.
For its part, Iran is doing nothing to assuage any concerns over its intentions as it launched a satellite into orbit Friday.
Nasser Karimi at the Associated Press reports the launch raises concerns not only for the satellites possible military applications, but because the rocket that delivered it uses the same technology as a ballistic missile would use. Say, an inter-continental ballistic missile fitted with a nuclear warhead.
Israel announced Thursday that Iran is developing technology that will enable it to launch such a missile that will reach the continental United States. This satellite launch only reinforces this possibility.
In an official announcement the Iranian supreme leader warned any action against Iran will have dire effects on the U.S.
CNN reports that Iran’s supreme Leader Ayatollah Khameni announced “You see every now and then in this way they say that all options are on the table. That means even the option of war.” During Friday prayers in Tehran, he continued, “This is how they make threats against us.”
“Well, these kinds of threats are detrimental to the U.S.,” he said. “The war itself will be 10 times as detrimental to the U.S.”
The Ayatollah went on to say that Iran pledges its full support to any country or organization that attacks Israel and that the U.S. and Israel will soon face defeats in a coming “great event.”
In a random aside: A South African telecom is being sued for aiding Iran’s nuclear development in exchange for an exclusive cellular license within the country.
Read more: BI
- ‘Israel to strike Iran in April, May or June’ – US Defense Sec (rt.com)
- ‘Panetta believes Israel will attack Iran this spring’ – Jerusalem Post (jpost.com)
- Panetta believes Israel may strike Iran this spring (telegraph.co.uk)
- Khamenei warns over military strike, oil embargo threat – Jerusalem Post (jpost.com)
- Barak: If sanctions fail, Iran must face military strike – Jerusalem Post (jpost.com)
- Israel could attack Iran as early as April: Panetta – New York Daily News (nydailynews.com)
- New fears over Iran’s missile capability (smh.com.au)
Speaking at a town hall at Houston Community College, Chu said a modest increase in the price of natural gas wouldn’t significantly raise its cost to U.S. consumers who use it to heat their homes and manufacturers who need it to make products.
Natural gas futures closed at $2.55, up 17 cents, in trading Thursday on the New York Mercantile Exchange. It brings much higher prices in other countries.
“Exporting natural gas means wealth comes into the United States,” Chu said.
The Energy Department’s Office of Fossil Energy is reviewing several applications to export liquefied natural gas. The exports would relieve the glut of natural gas on the domestic market and raise revenue, but also potentially increase prices for domestic consumers.
Several U.S. energy companies have announced plans to close their natural gas wells and curb spending in natural gas fields, as its price has fallen from more than $13.50 in 2008.
In his State of the Union speech last week, President Barack Obama called for an “all-of-the-above” approach to domestic energy production, including investment in oil, natural gas and renewable energy sources.
Chu said it’s important that the United States be at the forefront of innovations and technologies in renewable energy.
“We have a choice. When all these things become cost-competitive, do you want to buy or do you want to sell?” he asked. “If we are buying, that is wealth out of the country. If we are selling, that’s wealth into the country.”
Before the hour-long session with students at the college, Chu met with oil and gas executives and explored the Texas Medical Center’s energy efficiency upgrade.
Chu said the administration is open to exploring alternate routes for the pipeline that would carry oil from Canadian tar sands to Gulf Coast refineries.
It’s become a touchstone issue for supporters who say it will create jobs and reduce U.S. dependence on oil from hostile nations, and opponents who argue it could threaten water supplies and promote use of an especially dirty form of oil.
Chu said he supports construction of pipelines nationwide, particularly to relieve the glut of oil at the hub in Cushing, Okla., a major price point for domestic oil.
“There is such a shortage of pipelines between Cushing and Houston,” Chu said. “There will be major construction of pipelines in the next decade or so. All the job creation from Cushing to Houston is being done now.”
Chu touted government investment in wind, solar and other renewable energy sources, as well. He said he expects the cost of solar power to fall by 50 percent within six to eight years.
Chu also dismissed Iran’s threats to close the Strait of Hormuz, a key oil shipment channel, in retaliation for international sanctions aimed at the nation’s nuclear program.
“I don’t think they can really shut down the Strait of Hormuz,” Chu said. “We certainly have capabilities to reopen it.”
- Canada: NEB Approves BC LNG Export Licence (mb50.wordpress.com)
- An emerging player (mb50.wordpress.com)
- Gas Natural Fenosa Deals with Cheniere Energy to Buy US Shale Gas Sourced LNG (mb50.wordpress.com)
- DOE to halt issuing LNG export licenses (mb50.wordpress.com)
- Gas Exports Ignite a Feud (mb50.wordpress.com)
- President Obama’s Domestic Energy State Of Delusion (mb50.wordpress.com)
- Macquarie Vies To Sell U.S. LNG To India (mb50.wordpress.com)
- CLNG: EIA Gas Export Study Reveals Only Part of Economic Picture (USA) (mb50.wordpress.com)
- Chesapeake CEO Opposes US LNG Exports (mb50.wordpress.com)
It was pointed out to me during the selection of the second NMS Girl Of The Day that yesterday’s inaugural NMS Girl Of The Day was also a Chantel (see Chantel Fouche’s post here). My response was that the spelling is different, the hair colour is different and that they are quite clearly different people. And that they are both smoking hot entries into the NMS 2012.
I won that argument – and the second girl to win a NMS Girl Of The Day badge is the beautiful Chantelle Hamman. We’re sure you all agree that it’s the type of hotness that we like to get our weekend off to a flying start.
What you need to do now, though, is VOTE FOR CHANTELLE! That is if you’d like to see her in the Sports Illustrated Swimwear edition.
- Kate Upton Lands Cover of Sports Illustrated Swimsuit Issue After Doing the Dougie on Youtube [Video] (inquisitr.com)
- Sports Illustrated Swimsuit Covers: Kate Upton and 19 Hottest SI Models of All Time [PHOTOS] (ibtimes.com)
Some content on this page was disabled on September 26, 2017 as a result of a DMCA takedown notice from Chantelle Hammann. You can learn more about the DMCA here:
The initial contract period is for three years, with two additional one-year options (3+1+1). Aker Solutions estimates that the agreement will generate annual revenues of approximately USD 4 million.
Under the agreement Aker Solutions will provide slickline and coiled tubing equipment and services, which are conducted with the objective of maximising production of oil and gas. Aker Solutions has delivered well services to Tullow’s Jubilee field since 2008.
“Tullow is the largest independent oil and gas exploration and production company operating offshore West Africa. We are pleased to be able to support their ambitious growth plans through providing our technologies and services to increase oil recovery ratios,” says Wolfgang Puennel, head of well intervention services in Aker Solutions.
“Ghana is an up-and-coming oil nation. This new and extended contract with Tullow provides us with a solid long term outlook for our operations there. We will utilise this to set up a more permanent presence in Ghana, which will also drive the need for a larger local workforce. This will put us in a better position to secure further oil service work in the country,” adds Puennel.
Aker Solutions’ contract party is Aker Qserv Ltd.
- Expro Strengthens its Position in Ghana with Opening of New Facility
- Ghana: DOF Subsea Signs Contract with Tullow Oil to Provide Jumper/Spool Installation Services
- Norway: Aker Solutions Acquires Well Technology Business from X3M
- Norway: Aker Solutions Signs Three-Year Sub-Surface Frame Agreement with Eni Norge AS
- BP Announces Extension of Maintenance and Modification Contract With Aker Solutions (Norway)
- USA: Aker Solutions to Open Hi-Tech Drilling Equipment Simulator in – Houston (mb50.wordpress.com)
- USA: Aker Solutions to Provide Umbilicals for Anadarko’s Lucius Development (mb50.wordpress.com)
- Norway: Aker Solutions Delivers Subsea Templates for Skuld Fast-Track Development (mb50.wordpress.com)
- Norway-based Aker Solutions Increases its Middle East Presence with X3M Acquisition (mb50.wordpress.com)
- Tullow Becomes Operator of New PSC Offshore Mauritania (mb50.wordpress.com)
- Aker Solutions Plans to Strengthen its Footprint in Northern Norway (mb50.wordpress.com)
- UK: Aker Solutions to Supply Subsea Modules for Western Isles Project (mb50.wordpress.com)
While we wait for the employment report, there was another big story yesterday — the Fed treatment of savers.
Fed Chair Bernanke testified before the House Budget Committee, responding to some illuminating questions from Committee Chair Paul Ryan (R. WI). Joe Weisenthal, who is usually on the track of the biggest story, anticipated this one yesterday:
Here is Joe’s conclusion:
And while we sympathize with people not getting returns on their money, the fact of the matter is that the big problem we have right now is that people have too much debt, not an abundance of cash that’s just sitting there not returning anything.
The bottom line is this: Yes, it sucks that pensioners and garden-variety savers aren’t getting returns, but it also sucks for everyone in the U.S. right now, because the economic outlook seems to be so mediocre. Welcome to the club!
Until growth and inflation return to anything that looks robust, savers will have to be stuck with the same garbage returns boat the rest of us are in.
There is a lot of buzz about the role of the Fed and also the leadership of Bernanke. The leading Republican candidates all want to fire Bernanke, and some of them even want to abolish the Fed. Some of the GOP House Budget Committee members have joined the criticism.
Here at “A Dash” I focus on investments, not politics. Years ago some readers called me a “Bush apologist” and a blatant “supply sider.” I have tried to explain that I do not have a partisan perspective, but an investment perspective. I want to find the best investments no matter who is in power. My perspective changes with the evidence.
With that in mind, let me suggest a few propositions for your consideration. If these are not obvious, I recommend more research.
- Bernanke is a Republican, with a conservative background. This is typical for Fed Chairs.
- If President Bush had been re-elected, the current GOP fiscal argument would be different. There would be support for stimulus, including both tax cuts or spending. If you do not believe this, look back in history to the end of the Bush administration.
- If President Bush had been re-elected, the GOP monetary story would be different. They would be screaming for easy money, as both parties have always done, including past GOP administrations, and including Bush senior.
- Paul Ryan is an ambitious and aspiring VP candidate who has a theme that resonates — balancing the budget. It is an effective political argument — for the party out of power.
Meanwhile, the Fed is doing a good job of ignoring politics and focusing on the economy.
I continue my plea: Look beyond politics. Most recently, look beyond the popular ploy of making a villain out of the Fed.
The Fed has a dual mandate including both price stability and employment. Here is the official statement:
The Congress established two key objectives for monetary policy–maximum employment and stable prices–in the Federal Reserve Act. These objectives are sometimes referred to as the Federal Reserve’s dual mandate.
There are many who have criticized the US approach suggesting that there should be only a single mandate – price stability.
So let us all be clear about this — very clear.
The Fed has no Third Mandate. There is no interest rate guarantee for savers!
It is difficult enough to balance economic growth and price stability. The idea that the Fed should be judged by a third criterion — maintaining interest rates for savers — is misguided, politically biased, displaying favoritism for one group, and basically wrong.
More importantly, it is not going to happen. Our investment decisions should be based upon reality, not the wishful thinking of those with a partisan agenda.
I understand the plight of savers and senior citizens. I work with such investors every day, helping them find a combination of a bond ladder, dividend stocks, and enhanced yield. Those who do not have a job at all face a more difficult problem. Until we have a stronger economic recovery, we are all in this together.
Read more: BI
- Bernanke vs. Ryan: A lesson in monetary policy (theglobeandmail.com)
- DEAR SAVERS AND RETIREES: Stop Whining About Those Lousy Rates You’re Getting From The Bank (businessinsider.com)
- Bernanke defends Fed policies against GOP critics (seattlepi.com)
- Bernanke: Recovery ‘frustratingly slow’ (thehill.com)
- Budget Committee Lawmakers Question Fed’s Dual Mandate (usnews.com)
|This week the SubseaIQ team added 7 new projects and updated 86 projects. You can see all the updates made over any time period via the Project Update History search. The latest offshore field develoment news and activities are listed below for your convenience.|
- Recap: Worldwide Field Development Jan 6 – Jan 12, 2012 (mb50.wordpress.com)
- Recap: Worldwide Field Development News (Jan 20 – Jan 26, 2012) (mb50.wordpress.com)
- Worldwide Field Development News Dec 30 – Jan 5, 2012 (mb50.wordpress.com)
- Norway: Statoil Orders Subsea Structures for Asgard (mb50.wordpress.com)
- Worldwide: Project Field Development News (mb50.wordpress.com)
- McDermott signs agreement for spool base services in Gulf of Mexico (mb50.wordpress.com)
- USA: Shell Sets World Record for Deepest Subsea O&G Well at Perdido Development (mb50.wordpress.com)
- Cuba Oil Drilling Tests U.S. on Protecting Florida or Embargo (mb50.wordpress.com)
- Ichthys: The Largest Subsea Gig for McDermott (Australia) (mb50.wordpress.com)
- UK: Reef Subsea Enters Charter Deal for Two Neptune Offshore’s Vessels (mb50.wordpress.com)
- North Falkland Basin: Rockhopper Spuds 8th Well on Sea Lion, (Offshore Falklands) (mb50.wordpress.com)