Offshore Industry Archives
Horizon Marine, Inc. Provides Fine-Scale Ocean Current Data for Eddy Franklin and Seismic Testing at the Macondo Well Site
Ever since the explosion and subsequent sinking of the Deepwater Horizon, BP and the federal government have been concerned with potential pathways for oil to migrate to the far field. In support of the environmental monitoring efforts, Horizon Marine deployed drifting GPS buoys and its ‘FAST Eddy’ ocean current surveying system mounted on Tidewater’s War Admiral. The system was deployed to monitor the location and migration pattern of Eddy Franklin (Horizon Marine has been naming Gulf of Mexico eddies since 1984) by measuring ocean current speed and direction in real time from just below the keel of the vessel to 550m below the sea surface.
NOAA’s Emergency Response Division’s Technical Services Branch Chief Debbie Payton said, “Having the FAST Eddy vessel constantly monitoring the location of the Loop Current and nearby features provided critical and timely information for our forecasters. The FAST Eddy crew also provided qualitative assessments when they saw or smelled oil, which was useful for spot checks on what we were forecasting.”
David Driver, BP’s Metocean Technical Authority for the Gulf of Mexico, praised Horizon Marine by saying, “I couldn’t be happier with the work that FAST Eddy has done in monitoring the Loop Current, Eddy Franklin, and the general nature of the currents in the MC 252 vicinity. The response was quick and the data was crucial in determining the potential for oil getting caught up in the Loop and possibly exiting the Gulf.”
As BP gained control of the well, concerns over the integrity of the Macondo well required the seismic survey vessel Geco Topaz to tow a 2.5km long cable through a 400m wide corridor between the congested field of drilling rigs and support vessels. The cable (known as a ‘streamer’) is sensitive to the influence of currents and could easily become entangled with vessels in the field. By knowing the direction and intensity of the surface currents, technicians aboard the Geco Topaz were able to ‘feather’ the streamer to fly over the wellhead and make measurements to confirm the integrity of the well. FAST Eddy continues to monitor ocean currents in the region, and these data are being used to assist with ongoing current-sensitive operations at the wellhead.
For the past 26 years, Horizon Marine has been providing the oil and gas industry with situational awareness of ocean currents in the Gulf of Mexico through their Eddy Watchtm program. This unique service utilizes both public and proprietary data to assist the offshore oil and gas industry in managing their assets in relation to strong ocean currents associated with the Loop Current and Loop Current eddies.
For additional information on Horizon Marine, please contact Patrice Coholan or visit www.horizonmarine.com.
Newfield Exploration Resumes Oil Production Following Pipeline Repair Offshore Malaysia
Newfield Exploration Company has announced that oil production from its East Belumut Field, located on PM 323 offshore Malaysia, had resumed following repairs to a damaged export pipeline. Field production has been returned to more than 20,000 BOPD (gross).
The East Belumut field was offline for four weeks, following damage to an oil pipeline connecting the East Belumut platform on PM 323 to the Tinggi platform (located approximately 17 miles from East Belumut). The damage was caused by the activities of an unidentified marine vessel unrelated to Newfield's operations. East Belumut is located approximately 160 miles offshore Peninsular Malaysia in 240 feet of water. Newfield operates PM 323 with a 60% interest.
Newfield's deferred production in the third quarter of 2010 as a result of the damaged pipeline is estimated to be approximately 0.3 million barrels (original estimate of deferred production was 0.5 - 0.6 million barrels).
"Our Malaysian team did a fantastic job of identifying the damaged line, minimizing the impact on the environment and quickly returning the line to service," said Lee K. Boothby, Newfield Chairman, President and CEO. "In the second half of 2010, we will continue to focus our investments toward the oil assets in our portfolio, live within cash flow from operations and maintain our original capital budget of $1.6 billion."
Newfield expects that its 2010 total company production will be 283 - 288 billion cubic feet equivalent, an increase of at least 10% over 2009 production.
Newfield Exploration Company is an independent crude oil and natural gas exploration and production company. The Company relies on a proven growth strategy of growing reserves through an active drilling program and select acquisitions. Newfield's domestic areas of operation include the Mid-Continent, the Rocky Mountains, onshore Texas and the Gulf of Mexico. The Company has international operations in Malaysia and China.
www.newfield,com
**This release contains forward-looking information. All information other than historical facts included in this release, such as information regarding estimated or anticipated production volumes and timing of repairs and other activities, is forward-looking information. Although Newfield believes that these expectations are reasonable, this information is based upon assumptions and anticipated
BP Forms Gulf of Mexico Oil Spill Escrow Trust
BP announced today that it has established a trust and made a $3 billion initial deposit of the previously-announced $20 billion escrow account to pay legitimate claims arising from the Deepwater Horizon incident and the resulting oil and gas spill.
“The purpose of the escrow account was to assure those adversely affected by the spill that we indeed intend to stand behind our commitment to them and to the American taxpayers,” said Bob Dudley, CEO of BP’s Gulf Coast Restoration Organization. “Establishing this trust and making the initial deposit ahead of schedule further demonstrates our commitment to making it right in the Gulf Coast.”
Two individual trustees have been named to the newly-established trust that will administer the account: the Honorable John S. Martin, a former U.S. District Judge for the Southern District of New York, and Kent Syverud, Dean of the Washington University School of Law.
Citigroup will serve as corporate trustee and paying agent for the account. Arrangements have been made for checks drawn on the fund to be cashed free of charge at any of the 160 Whitney National Bank branches across the Gulf Coast region. On June 16, following consultations with the U. S. Government, BP announced that it would transition the claims process required under the Oil Pollution Act of 1990 to an independent claims facility managed by Kenneth Feinberg and create a $20 billion escrow account to satisfy claims resolved by that facility and certain other claims, including natural resource damages and state and local response costs. BP announced at the time that the first deposit of $3 billion to the account would occur by the end of the third quarter. BP has decided to make this deposit early to demonstrate its commitment to meet its pledge to restore both the livelihoods of those affected by the oil spill and the environment. An additional $2 billion deposit will be made in the fourth quarter of 2010. Thereafter, $1.25 billion will be deposited per quarter until a total of $20 billion has been deposited. BP Gulf of Mexico response: www.bp.com/gulfofmexicoresponse
Contract Awarded to Wood Group Kenny for Design of New UK Oil Spill Capping and Containment Solutions
Oil & Gas UK, on behalf of the UK’s Oil Spill Advisory Group has announced that it has awarded the contract for engineering services to assess subsea capping and containment options for the UK continental shelf (UKCS) to Wood Group Kenny, following the incident in the Gulf of Mexico.
Wood Group Kenny will work closely with the OSPRAG Technical Review Group (TRG) and recommendations will be presented in September 2010. These recommendations will allow OSPRAG to make an informed decision about the potential contingency options for subsea capping and containment that should be put in place in the UK.
Brian Kinkead, Oil & Gas UK’s supply chain director and leader of OSPRAG’s TRG, said: “The UK oil and gas industry has successfully drilled around 7,000 wells under a robust, fit for purpose regulatory regime which is held in the highest esteem globally. However, following the Gulf of Mexico incident, we have been asked to consider additional tertiary capping and containment options. These will augment our existing, well-developed oil spill response plans which include an industry mutual agreement to respond through Oil Spill Response (OSR), which provides for surveillance aircraft, aerial dispersant application and large stocks of containment equipment.
Bob MacDonald, Wood Group Kenny’s operations director, said: “Wood Group Kenny is pleased to be able to offer its expertise in the important task of augmenting the UK’s capability to respond to oil spills in its particular operating environment. In light of the Gulf of Mexico incident, we are fully aware how important it is for the UK to ensure and demonstrate that it can effectively cap and contain spills in a timely manner and as a result, we will be assigning significant resources to this project.”
Importantly, OSPRAG is liaising very closely with the Gulf of Mexico Joint Industry Task Force to ensure technology developments and lessons learned are shared. In addition to contact with that group in the US, the group continues to work closely with industry across Europe and other parts of the world through the International Association of Oil and Gas Producers (OGP).”
Source: Oil and Gas UK
Expro Secures Vessel for Subsea Well Intervention
international oilfield service company Expro has announced the signing of a $100million, multi-year contract with TS Marine Asia Pacific, to supply the Havila Phoenix vessel, together with ROV and other associated services, to deploy the AX-S™ subsea well intervention system.
The broad technical capability of the AX-S system (pronounced ‘access’) is now on the threshold of commercial availability globally to all subsea operators. The signing of this significant contract highlights Expro’s commitment to the future development of its people, technology and infrastructure to position itself for subsea and deepwater growth opportunities.
AX-S is a unique, remotely-operated, inherently safe and cost-effective intervention system which will change the way in which oil and gas companies can access and intervene on their subsea well stock at any depth, improving their cash flow and minimising risk.
There are approximately 4,000 oil and gas producing subsea wells across the globe and this number is ever increasing. With many now over a decade old, these wells require ‘servicing’ to allow for maximum oil and gas recovery. Current methods generally require the use of a rig which is a time-consuming, costly activity, especially with rig costs running at up to $1 million a day.
The AX-S system will be remotely operated from a mono hull vessel and can be rapidly deployed to virtually any subsea well, in any water depth. This allows Expro’s AX-S system to provide a safer and more cost-effective alternative to what is available today.
Improved safety has been a key driver in the development of AX-S and the system, its deployment and operation incorporate many unique and inherently safer design features. The entire AX-S well intervention system is deployed on to the subsea well head within a completely self-contained pressure envelope, removing any leak potential.
Expro’s AX-S managing director David Shand said: “I am extremely pleased to have signed this important contract with our new vessel and subsea support partner, TS Marine Asia Pacific, bringing AX-S to the brink of deployment. I am confident that both companies will become a successful team globally and our plans for AX-S will allow us to safely deliver subsea operations to the highest standards for our customers.”
TS Marine Asia Pacific’s chief executive John Edwards said: “TS Marine is very pleased to enter into this important contract with Expro and the AX-S technology. We believe we will prove the ideal partner for Expro’s well intervention strategy by combining our integrated services of vessel, ROV, subsea positioning and marine operations with our own well intervention experience from ongoing operations in Asia Pacific.”
Expro’s AX-S team has moved to new offices, in Westhill, Aberdeen. The team now consists of more than 60 employees, dedicated to AX-S. The decision to move to new offices means all project activity, including engineering, HSEQC, procurement and design work can be monitored and co-ordinated from a fully-integrated facility. The facility provides efficient work areas and can expand with greater ease as future operations dictate.
www.exprogroup.com
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