Saturday, July 30, 2005


Thanks to alert reader here, Daliwood, comes this breaking news: the most expensive and probably biggest new oil platform in the Gulf of Mexico is collapsing after being hit by Hurricane Dennis.

Before hurricane hit

This is what the Titanic sinking looks like, energy-wise. Exxon/Mobile claim the hurricane didn't do this. So what did it? Sharks? Beach bums? Ecoterrorists? Bin Laden?

Well, whoever did this, if they can't fix it, this will be a major blow. The platform costs over a billion dollars to build, about what we spend a week in Iraq trying to pump oil there.

Gads. This world has gone daft, hasn't it?

Train carrying oil was blown up just yesterday in Iraq. And Americans killed, too. I passed by a website with a photo of this but can't find it certainly isn't in American news! Nor is this platform collapse! You would imagine this would rate some level of interest but there is zero on the mainstream media but tons of talk about it on the net, on forums and blogs like mine which is where breaking news goes!

Bet it will make the news when the turtles carrying bottles arrive some day.

The scandal of the EPA holding onto a bad report card about CAFE standards, namely, we guzzle more gas than ever per vehicle since Ronnie Reagan sold his soul to Tokyo! We are fucked up and down and all around.

Here: From Rednova:
THE world's international oil giants must be hoping accidents don't come in threes: At the start of the week BP's $1bn (Pounds 560m, E820m) Thunderhorse oil platform in the Gulf of Mexico was spotted at a terrifying 20% tilt and feared to be sinking. Royal Dutch/Shell then revealed on Thursday that costs had doubled at its Sakhalin II gas project to $20bn.

Both are flagship projects of such scale that such mishaps would seriously hurt even BP and Shell's bulging balance sheets. Since the 1990s, oil companies have tended to concentrate their spending on fewer and bigger projects. This is partly in search for sheer economies of scale, and partly the result of pushing into Arctic and deep water territory where only giant projects make sense.

Their skill in managing massive projects is also the main advantage international oil firms have left to offer the national oil and gas companies of Russia or the Middle East.

Last week's scares underline the risk of the approach. If BP lost Thunderhorse, its growth in oil output for next year would be slashed from 8.9% to 5.4%. If Shell's Sakhalin project's profitability took a major dive, it could drag on company's financial performance for over a decade.

Thankfully, BP's alarm was turning to relief in the run up to the weekend. Oil platforms do sink - Norwegian firm Statoil's Sleipner platform sunk like a stone at its launching ceremony, and Brazilian oil firm Petrobras's platforms seem to keel over with alarming frequency. But Thunderhorse now looks unlikely to be one of them.
Oh, it hasn't sunk..yet. They will try to "right" it, right?

Then there is the flagging oil strikes in the former Soviet Union. Bad news all around.

Here is a chat room I lurked upon: Too cool fishing
The BP Thunderhorse semi took a hit from Dennis. It's listing 20-30 degrees with the topsides almost in the water. Check out the press release on the BP website

Pics to follow ....
Don't you know the CEO of BP is having a scotch straight up right about now between the refinerys going up and now this ....

Look out at the next share holders meeting !!!!


Pics ...

I was schduled to go out in the next 2 weeks and do some final commissioning on some equipment. Guess I don't have to worry about that for a while now.
Better yet how would you like to be the person who was incharge of closeing the valve that was flooding the legs ......This very well could be a major human mistake !!!

Game On!
Rumor around the indusrty is that it is now at the bottom of the ocean.....
Gas is going up again to pay for that one!
"Rumor around the indusrty is that it is now at the bottom of the ocean....."
-This is simply a rumor.
The platform is still listing and the platform is still completely evacuated. Once the company finds means of safely placing personel on the platform to turn on the pumps to remove the water from the rig legs it will do so. Rumor on this end is that Dennis had no affect on the platform since the swells were only about 10 to 12 feet. Something evidently happened during the three days that the rig was left evacuated.
Seems these are rig workers! So, interesting seeing their chat about this. Sort of like listening in on police radio talk.

From BBC news:
Oil prices have soared back above $61 a barrel after fires at two US oil refineries and a North Sea rig.
US light sweet crude closed at $60.57, up 1% having hit $61.05 earlier in the day. London's Brent crude ended the day at $59.52.

The fresh rise came as the US Senate passed President George W Bush's energy bill, giving $14.5bn in tax breaks and subsidies to US energy firms.

The bill is unlikely to have any short term effect on US energy costs.

The White House insists that it will, however, make a difference in years to come by opening up drilling for oil in Alaska, subsidising new nuclear power plants, and doubling production of corn-based ethanol used as a petrol additive.
Prime the pumps for USS Titanic! If we are sinking we might as well be pumping. I had the oil well in India pictures on my laptop but that is in Texas tonight, being repaired after the last big thunderstorm kind of toasted the hard drive.
Meanwhile, the breakdowns in two US refineries thanks to fires were taken in some quarters as evidence that energy supply lines in the US were overstretched by current high demand.
I had pictures of the two refineries burning, too. Now I can't find them.From Reuters:
Oil prices surged a dollar to $61 a barrel on Friday as U.S. refinery fires and an oilfield outage in the North Sea underlined concerns about stretched global refining and crude production capacity.

Here is the Arabian Sea oil rig burning merrily. I feel like playing "Goetterdaemmerung" now.

I saw pictures of the oil refineries blowing up. Looked like huge bombs. Arg. What if bin Laden's prayers are working? Gads. Seems like the gods don't like us right now? Or is it Mother Nature? Is She finally roused to take action against us? One can only wonder.

Amazing. Like in the Holy Grail, the castle not only falls into the swamp but catches on fire, too.

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