BP finds new oil sources in Gulf of Mexico

[News_Editor]

BP finds new oil sources in Gulf of Mexico

2011-09-08 07:55:47 GMT+7 (ICT)

LONDON (BNO NEWS) -- Oil and gas company BP on Wednesday announced that it has found new oil sources in the Gulf of Mexico, 1.5 year after the Deepwater Horizon disaster.

BP said a successful appraisal well has been drilled in a previously untested northern segment of the Mad Dog field in the U.S. region of the gulf. "The well results confirm a significant resource extension for the Mad Dog Field complex, which includes the existing field, in production since 2005, and appraisal drilling of the Mad Dog South field in 2008 and 2009," the company said.

"Pending confirmation through future appraisal drilling, the total hydrocarbons initially in place in the Mad Dog field complex are now estimated to be up to four billion barrels of oil equivalent," BP confirmed.

The well is located on Gulf of Mexico Green Canyon block 738, approximately 140 miles (225 kilometers) south of Grand Isle, Lousiana, in about 4,500 feet (1,371 meters) of water.

In addition, the well, which was drilled by BHP Billiton on behalf of the unit operator BP, encountered about 166 net feet (50 meters) of hydrocarbons in the objective Miocene hydrocarbon-bearing sands and discovered an oil column of more than 300 feet (91 meters).

"Working with the industry and regulators, we will apply our enhanced standards of safety, reliability and compliance to all of our Gulf activities as we continue to provide important jobs and energy to the nation," said Bob Dudley, BP group chief executive.

BP is one of the largest producers of oil and gas in the U.S. Gulf of Mexico with net production of over 250,000 barrels of oil equivalent per day. The company maintains a 60.5 percent working interest in Mad Dog. BHP Billiton has a 23.9 percent interest, Chevron Corporation, through its subsidiary Union Oil Company of California, has a 15.6 percent interest.

On April 20, 2010, BP's Deepwater Horizon oil platform exploded, killing eleven men and ultimately releasing an estimated 4.9 million barrels of oil in the Gulf of Mexico, evidencing the vital connection between the environment and the economic health of the Gulf and the U.S.

In September 2010, BP was finally able to seal the well with cement 18,000 feet (5,486 meters) below the sea, and BP was ordered to pay for the relief efforts caused by the oil spill. The incident was the worst U.S. oil spill disaster in history.

-- © BNO News All rights reserved 2011-09-08

[maidu]

Part of the reason BP got such bad press re; the gulf spill a couple years ago was it reacted somewhat responsibly. It stood and answered questions and paid some compensation. I'm not justifying BP, but merely comparing it to how many companies which, in similar scenarios, would close down communication, and avoid compensation in any way possible.

All in all, solar is the wave of the future.

[Soutpeel]

Part of the reason BP got such bad press re; the gulf spill a couple years ago was it reacted somewhat responsibly. It stood and answered questions and paid some compensation. I'm not justifying BP, but merely comparing it to how many companies which, in similar scenarios, would close down communication, and avoid compensation in any way possible.

All in all, solar is the wave of the future.

The reason BP got such bad press in the US was that it wasn't an "American company"....

Solar....the wave of the future....not in our life times...

[zzaa09]

Solar....the wave of the future....not in our life times...

Don't be so quick to poo-poo this fast coming energy conduit.

Not getting the surface attention and promotion, is all.

Watching the Chinese and Germans [et al] change over and advance will be the subliminal surprise.

[rakman]

Solar....the wave of the future....not in our life times...

Don't be so quick to poo-poo this fast coming energy conduit.

Not getting the surface attention and promotion, is all.

Watching the Chinese and Germans [et al] change over and advance will be the subliminal surprise.

Sunshine (clear sun) gives ~1kw/sqm. Best economical panels are around 15% efficient minus heat induced reduction, (Thailand might see 5% less overall efficiency, a 30% reduction due to heat). The problem is how to store energy generated during the day for use at night, economically. The amount of land to generate sufficient power becomes quite large.

PV solar is a more practical solution if grid power is unavailable and land is available, and you don't mind the large investment and maintenance and expensive battery replacement. Then in 20-30 years (hopefully no natural disasters) you get to reinvest in new panels. Hopefully at a lower cost and better efficiency.

Power plants get their efficiency by constantly running at rated output, regardless of fuel. Gas fired turbines (jet engine technology) can cover "transient" reductions, but are less overall efficient. Integration of alternate energy production makes the job harder for the electric utility companies to provide consistent power.

Cost of thermal solar plants are higher and long term efficiency and reliability are unknown at present, and still take up a lot of space.

There is no "silver bullet" on the immediate time horizon. Ultimately, fusion is a better answer, but it's anywhere from 20 to 50 years off.

Increasing efficiency in any energy use is a wise use of resources, but it all takes time to make it to the market.

[Oberkommando]

The reason BP got such bad press in the US was that it wasn't an "American company"....

Solar....the wave of the future....not in our life times...

The reason BP got the flak was because it was an American company; Transocean, that owned and operated the rig.

BP will bring Transocean down now though, through the courts.

[TexasRanger]

Great news, get the Gulf working again. Accidents happen but we need our oil and gas.