Australian Oil Company Begins Drilling In Phichit

[webfact]

Australian Oil Company Begins Drilling in Phichit

An Australian company has begun an oil drilling operation in Phichit province where they expect to find deposits containing approximately 16.6 million barrels of crude oil.

Deputy Prime Minister Sanan Kachornprasart, Australian Ambassador to Thailand James Wise and Governor of Phichit province Suwit Watcharoteyangkul presided over the ceremony to commence drilling at the CVN5 oil well in Bueng Narang, Phichit province.

The Australian owned Carnavon Thailand has been granted the petroleum exploration and drilling concessions in Phichit province.

Three sites have already been identified as possibly having oil deposits.

CVN5 is the first site being drilled.

Experts expect to find oil and natural gas reserves between 1,800 and 2,000 meters underground.

This may prove to be an additional energy source for the country.

Even though the deposits may be insignificant compared to the amount of oil being consumed in the country, it would reduce some need to import expensive petroleum from abroad.

Surveying has revealed that the deposit contains at least 16.6 million barrels of crude oil.

-- Tan Network 2011-01-24

[spiderleghead]

there goes the remaining clean sea water

[lannarebirth]

there goes the remaining clean sea water

Phichit is located between Nakhon Sawan and Phitsanulok. Nowhere near the sea.

[chuang]

there goes the remaining clean sea water

Phichit is located between Nakhon Sawan and Phitsanulok. Nowhere near the sea.

He means 'well water'..

[Soutpeel]

there goes the remaining clean sea water

Phichit is located between Nakhon Sawan and Phitsanulok. Nowhere near the sea.

Obviously geography is not of "spiderleghead" strong suits..... ....maybe someone needs to tell him he is Thailand...

Carnavon has been active in this area for years, so no real news, just a new lease/new well....goes on every day in the Gulf of Thailand

[tigermonkey]

there goes the remaining clean sea water

Phichit is located between Nakhon Sawan and Phitsanulok. Nowhere near the sea.

Obviously geography is not of "spiderleghead" strong suits..... ....maybe someone needs to tell him he is Thailand...

Carnavon has been active in this area for years, so no real news, just a new lease/new well....goes on every day in the Gulf of Thailand

At least Carnavon has ( to the best of my knowledge) shown itself to be an environmentally responsible operator in their previous work in Thailand. This is far more than can be said for PTTEP, which was responsible for one of the worst environmental disasters in Australia in 2009 -- the blowout at Montana H1, there was blamed entirely on incompetence by the Thai company.

[thailandbluegrass]

Something not right with this report or something is fishy here. 16.6 million barrels is nothing. Most large refineries process 350,000+ barrels PER DAY. so get your calculators out and see if the cost of drilling ='s the proffits.

[RKASA]

drill baby - drill! Black gold! Phitchit tea!

[Soutpeel]

Something not right with this report or something is fishy here. 16.6 million barrels is nothing. Most large refineries process 350,000+ barrels PER DAY. so get your calculators out and see if the cost of drilling ='s the proffits.

What has a refining got to do with this ?.....Carnavon dont refine anything...they drill and produce, cost of refining and cost of drilling not the same thing.

So provided you can keep the drilling/prduction costs down.....16.6 million barrels can very profitable at todays barrel cost.

nothing fishy at all, only thing fishy are the people making comments about a subject they very obviously know nothing about...

[Soutpeel]

This is far more than can be said for PTTEP, which was responsible for one of the worst environmental disasters in Australia in 2009 -- the blowout at Montana H1, there was blamed entirely on incompetence by the Thai company.

Although you are correct in saying PTTEP are ultimately accountable for the spill, responsibility for the spill, if the story is true, rests with our friends from Halliburton who are supposed to have done a cr*ppy cermenting job... ....if we are saying an incompentant Thai company, we must also add assisted by an incompentant American company..

[powderpuff]

You would like to blame Halliburton for BP's taking shortcuts & behaving in a hugely unsafe manner as well.

Once that cement goes below the rig floor - it belongs to you. A subject you know nothing about.

[Soutpeel]

You would like to blame Halliburton for BP's taking shortcuts & behaving in a hugely unsafe manner as well.

Once that cement goes below the rig floor - it belongs to you. A subject you know nothing about.

Yes why not....if they along with BP were part of the whole fiasco in the Gulf of Mexico.

Work for Halliburton or an American by any chance Powder puff ???....

On your last sentence....no comment...

[asiawatcher]

Well the Aussies should be able to make it work in an environmentally friendly way - they have had a sh*tload of experience and know the difference between Thai standards and international.

[Soutpeel]

Well the Aussies should be able to make it work in an environmentally friendly way - they have had a sh*tload of experience and know the difference between Thai standards and international.

Are you suggesting that BP et al were working to Thai standards as well in the Gulf of Mexico..?...confused..!!!

[BarnicaleBob]

Something not right with this report or something is fishy here. 16.6 million barrels is nothing. Most large refineries process 350,000+ barrels PER DAY. so get your calculators out and see if the cost of drilling ='s the proffits.

My calculator shows 16.6 barrels crude oil sells currently for about 1.473 billion dollars give or take a few million. I would think that it might only cost a few million dollar to drill a hole in the ground and pump it out so there should be a profit WELL OVER a billion dollars, not bad in my book.

[Dooler]

Well the Aussies should be able to make it work in an environmentally friendly way - they have had a sh*tload of experience and know the difference between Thai standards and international.

Are you suggesting that BP et al were working to Thai standards as well in the Gulf of Mexico..?...confused..!!!

Its not the standards that is normally OK for all oil companies, but the hunt for the money and maybe the blame culture what is the underlaying problem in general.

so no report about deficiencies are to be made and risk and lost and integrities management fail.

so why is fear direct our decisions in this?

[rotary]

Power Puff is right. No way to blame Halliburton for that cement job for BP. Howco does lab test and gives advice on cement procedures and content but.........................in the end the operator(BP) are responsible for all work. Now if the drilling contractor showed bad procedures in well control or poor equip maintenence then the drilling contractor also shares the blame. Like it ot not Howco is not even in the picture. As far as I know this is Carnarvons 1st go at being an operator in Thailand. They were hands off partners in some Thai concessions in the past but not the hands on operators.

You would like to blame Halliburton for BP's taking shortcuts & behaving in a hugely unsafe manner as well.

Once that cement goes below the rig floor - it belongs to you. A subject you know nothing about.

Yes why not....if they along with BP were part of the whole fiasco in the Gulf of Mexico.

Work for Halliburton or an American by any chance Powder puff ???....

On your last sentence....no comment...

[Soutpeel]

Power Puff is right. No way to blame Halliburton for that cement job for BP. Howco does lab test and gives advice on cement procedures and content but.........................in the end the operator(BP) are responsible for all work. Now if the drilling contractor showed bad procedures in well control or poor equip maintenence then the drilling contractor also shares the blame. Like it ot not Howco is not even in the picture. As far as I know this is Carnarvons 1st go at being an operator in Thailand. They were hands off partners in some Thai concessions in the past but not the hands on operators

I agree, nobody blamed Halliburton for a cement job at BP, that reference was to do with the PTTEP/Tasmin sea fiasco...

I think we have to define responsibility and accountability.

PTTEP, BP et al....are accountable for their operations and consessions and in both cases cited are being held accountable for both leaks by both the Aussie and US goverments and rightly so.

Responsibility on the other hand can/could be attributed to other parties/companies who are working for the operators, which was the point of my original post,

It is very simplist in cases like this just to point the finger and say its all BP's, PTTEP's fault....Yes they are accountable, but maybe not responsible in certain cases...if as is rumoured, that the company man took short cuts in the case of BP, then yes in this case BP is both accountable and responsible, but this may not always be the case.

Under existing Thai and based concessions, believe it has been Pan Orient/Canarvon with a 40/60% respectively, I may be wrong but the new concession I believe is under the same structure.

[bigphil30uk]

Is there a Somchai Clampett out there already making plans to build a "Ceement Pond" at his new home ?

[TPI]

You would like to blame Halliburton for BP's taking shortcuts & behaving in a hugely unsafe manner as well.

Once that cement goes below the rig floor - it belongs to you. A subject you know nothing about.

Gently my friend, gently! Not everyone has spent their life offshore, some of us have spent a large proportion of our lives wildcatting onshore. Be nice to the people, they're the ones that buy the product? Or are you shi##y because you're too old to "spud in"??

[needforspeed]

Something not right with this report or something is fishy here. 16.6 million barrels is nothing. Most large refineries process 350,000+ barrels PER DAY. so get your calculators out and see if the cost of drilling ='s the proffits.

My calculator shows 16.6 barrels crude oil sells currently for about 1.473 billion dollars give or take a few million. I would think that it might only cost a few million dollar to drill a hole in the ground and pump it out so there should be a profit WELL OVER a billion dollars, not bad in my book.

To only drill the well, yes a few millions but to get the oil out takes about 200 days and together with transport and rigg down costs is little bit more than only a few million, still enough profit with this oilprices .

[Soutpeel]

You would like to blame Halliburton for BP's taking shortcuts & behaving in a hugely unsafe manner as well.

Once that cement goes below the rig floor - it belongs to you. A subject you know nothing about.

Gently my friend, gently! Not everyone has spent their life offshore, some of us have spent a large proportion of our lives wildcatting onshore. Be nice to the people, they're the ones that buy the product? Or are you shi##y because you're too old to "spud in"??

Or may be he has just been run off.....

[Otis]

Something not right with this report or something is fishy here. 16.6 million barrels is nothing. Most large refineries process 350,000+ barrels PER DAY. so get your calculators out and see if the cost of drilling ='s the proffits.

What has a refining got to do with this ?.....Carnavon dont refine anything...they drill and produce, cost of refining and cost of drilling not the same thing.

So provided you can keep the drilling/prduction costs down.....16.6 million barrels can very profitable at todays barrel cost.

nothing fishy at all, only thing fishy are the people making comments about a subject they very obviously know nothing about...

That would be 47.43 days of refining. At $90./barrel, that would be about $1.494 Billion. Drilling and pumping time are an unknown. Sounds hardly worth the effort. Have seen frequent stories about oil reserves of 500 billion + barrel estimates in northern US (Baaken field), and nothing is being done. Just have to conclude oil is not in short supply. It is production determination and technology that is in short supply. The capped BP well just south of the US is just waiting to be reopened. Yes, I know we have fallen off the horse but, must we kill the horse? OC

[rotary]

Also I am not 100% sure but the way it is worded in news releases I think this new drilling is Carnarvon without Pan Orient. I am just going by the news release wording now.

Power Puff is right. No way to blame Halliburton for that cement job for BP. Howco does lab test and gives advice on cement procedures and content but.........................in the end the operator(BP) are responsible for all work. Now if the drilling contractor showed bad procedures in well control or poor equip maintenence then the drilling contractor also shares the blame. Like it ot not Howco is not even in the picture. As far as I know this is Carnarvons 1st go at being an operator in Thailand. They were hands off partners in some Thai concessions in the past but not the hands on operators

I agree, nobody blamed Halliburton for a cement job at BP, that reference was to do with the PTTEP/Tasmin sea fiasco...

I think we have to define responsibility and accountability.

PTTEP, BP et al....are accountable for their operations and consessions and in both cases cited are being held accountable for both leaks by both the Aussie and US goverments and rightly so.

Responsibility on the other hand can/could be attributed to other parties/companies who are working for the operators, which was the point of my original post,

It is very simplist in cases like this just to point the finger and say its all BP's, PTTEP's fault....Yes they are accountable, but maybe not responsible in certain cases...if as is rumoured, that the company man took short cuts in the case of BP, then yes in this case BP is both accountable and responsible, but this may not always be the case.

Under existing Thai and based concessions, believe it has been Pan Orient/Canarvon with a 40/60% respectively, I may be wrong but the new concession I believe is under the same structure.

[Humphrey Bear]

Something not right with this report or something is fishy here. 16.6 million barrels is nothing. Most large refineries process 350,000+ barrels PER DAY. so get your calculators out and see if the cost of drilling ='s the proffits.

My calculator shows 16.6 barrels crude oil sells currently for about 1.473 billion dollars give or take a few million. I would think that it might only cost a few million dollar to drill a hole in the ground and pump it out so there should be a profit WELL OVER a billion dollars, not bad in my book.

The price of WTC (West Texas Crude) is the benchmark quoted universally, with Tapis crude also quoted in Asia.

That is delivered crude - to your refinery. So it needs to be discovered, drilled-for, got out of the ground, brought to the coast, loaded on a tanker.

As much exploratory work is non-productive, then there is a large cost there. Drilling is expensive, especially if over two kilometres deep (very expensive at 4 kilometres), pipelines and pump stations have to be built over land which needs right-of-way waivers, so on and so on. 16 1/2 million barrels is less than a week of Saudi production, not worth investing in.

This is just a publicity squib to keep the oil exploration companies name in front of the right people, so they get more work.

[powderpuff]

I agree, nobody blamed Halliburton for a cement job at BP WRONG, YES they did., that reference was to do with the PTTEP/Tasmin sea fiasco...

I think we have to define responsibility and accountability. BOTH the same

PTTEP, BP et al....are accountable for their operations and consessions and in both cases cited are being held accountable for both leaks by both the Aussie and US goverments and rightly so.

Responsibility on the other hand can/could be attributed to other parties/companies who are working for the operators, which was the point of my original post,

It is very simplist in cases like this just to point the finger and say its all BP's, PTTEP's fault....Yes they are accountable, but maybe not responsible in certain cases...if as is rumoured, that the company man took short cuts in the case of BP Boy O Boy you don't know jack about drilling. The cement design is agreed in the office & a drilling engineer is present on the mixing unit while the cement is blended & pumped subsurface to insure it complies with the preagreed receipe. The Company Man is a glorified radio operator who has to call the Drilling Sup if ANY deviation from the program is encountered., then yes in this case BP is both accountable and responsible, but this may not always be the case.

The more you yap the more you reveal what you don't know. If Halliburton Schlumberger BJ Services are unable to supply cement as per design then I would agree they are liable. If you are unfamiliar with American ligtgation procedures then step back. They'll blame the lady who mops the floors if they can collect money. Luckily BP have deep pockets & can pay the damages themselves. A liner & a tie back would have ensured the safe completion of the Hondo #1 well.

But British Petroleum/AMOCO decided to take a shortcut. Again nothing to do with the company man or anyone else on the drilling rig. Be glad to straighten you out further if necessary.

100,000 barrels per day. An amazing discovery. Too bad they <deleted>^&ed it up.

[powderpuff]

My calculator shows 16.6 barrels crude oil sells currently for about 1.473 billion dollars give or take a few million. I would think that it might only cost a few million dollar to drill a hole in the ground and pump it out so there should be a profit WELL OVER a billion dollars, not bad in my book.

So you figure the Thai government doesn't want a cut of the action?