Among the hush, hush that seems to be surrounding the containment cap testing, a leak has been found in BP's (NYSE:BP) Macondo well. Scientist are concerned about this leak as well as what they fear is methane leaking from another source in the well.
A federal official spoke on the terms of anonymity. He said that he is familiar with the leak but would not say exactly what it was. He feels this is the reasoning behind BP's vagueness and not answering directly what their next move is. He also said that they are not complying with the government demands for stricter and more monitoring.
Meanwhile, BP has concluded their 48 hour testing of the spill containment cap. According to the live oil spill feed, no oil appears to be leaking into the ocean. It's being said that the full testing won't be completed until the end of July. When BP was asked about this they had no comment.
Showing posts with label Containment Cap. Show all posts
Showing posts with label Containment Cap. Show all posts
Sunday, July 18, 2010
Friday, July 16, 2010
BP (NYSE:BP) Changes Containment Strategy
While the new containment cap continues to do its job, and tests indicate there are no leaks, as the pressure continues to rise to the desired goal of over 8,000 a square inch.
Originally BP said they'll stop pumping oil to the surface once they get the oil well contained, but that seems to have changed now according to the Gulf response manager.
Thad Allen stated the company will probably continue to sent oil to containment ships on the surface once the tests are successfully completed.
This will continue to be done until the relief wells are in place to plug the oil well permanently.
Originally BP said they'll stop pumping oil to the surface once they get the oil well contained, but that seems to have changed now according to the Gulf response manager.
Thad Allen stated the company will probably continue to sent oil to containment ships on the surface once the tests are successfully completed.
This will continue to be done until the relief wells are in place to plug the oil well permanently.
BP (NYSE:BP) Oil: Sealing Cap Testing Shows Success
On Thursday afternoon BP (NYSE:BP) finally tested the sealing cap that was placed on the Macondo well. The test showed no oil flow and the leak found earlier in the week was successfully repaired.
Although, this is the preliminary phase of their testing. It is expected for the testing to continue on anywhere from the next six hours to two days, possibly longer. Even though there is much to be optimistic about, anything can go wrong as the pressure inside the containment cap continues to be raised. As the testing continues, it will show weather the sealing cap can handle the intense pressure of oil without breaking and causing a new leak.
This is very good new for BP, especially after prior failed attempts to contain the oil leak in the Gulf. After each failed attempt, the company's share prices continued to drop, losing over half of their market value since April 20th. Plus due to the disaster, lawmakers have taken several steps in implementing new safety measures as well as banning new offshore exploration.
Although, this is the preliminary phase of their testing. It is expected for the testing to continue on anywhere from the next six hours to two days, possibly longer. Even though there is much to be optimistic about, anything can go wrong as the pressure inside the containment cap continues to be raised. As the testing continues, it will show weather the sealing cap can handle the intense pressure of oil without breaking and causing a new leak.
This is very good new for BP, especially after prior failed attempts to contain the oil leak in the Gulf. After each failed attempt, the company's share prices continued to drop, losing over half of their market value since April 20th. Plus due to the disaster, lawmakers have taken several steps in implementing new safety measures as well as banning new offshore exploration.
Wednesday, July 14, 2010
Abu Dhabi Considering Investing in BP (NYSE:BP)
After a meeting between BP (NYSE:BP) CEO Tony Hayward and crown prince of Abu Dhabi, Sheikh Mohammed bin Zayed Al Nahyan, the prince, who is on the board of the country's sovereign wealth fund, said they are still taking into consideration acquiring a piece of BP.
If Abu Dhabi, or another significant Middle East player invests in BP, it would be a nod toward the belief they're going to survive the challenge of the Gulf oil spill, and would be considered a buy at current share price.
Even though there have been much lower entry points, as BP shares have risen about 27 percent since the beginning of July, the closer they get to capping the well, the better investors will be able to more accurately project the future of the company, along with a suitable price for shares.
If BP is able to make the new containment cap work, it will be a giant step toward generating more investment, and the soon implementation of plugging the oil with a relief well over the next several weeks puts them in an even better position.
Another country asserting interest in investing in BP has been Libya.
If Abu Dhabi, or another significant Middle East player invests in BP, it would be a nod toward the belief they're going to survive the challenge of the Gulf oil spill, and would be considered a buy at current share price.
Even though there have been much lower entry points, as BP shares have risen about 27 percent since the beginning of July, the closer they get to capping the well, the better investors will be able to more accurately project the future of the company, along with a suitable price for shares.
If BP is able to make the new containment cap work, it will be a giant step toward generating more investment, and the soon implementation of plugging the oil with a relief well over the next several weeks puts them in an even better position.
Another country asserting interest in investing in BP has been Libya.
Monday, July 12, 2010
BP (NYSE:BP) Update: Secondary Containment Cap: Removing and Replacing
BP (NYSE:BP) started the process on Saturday, of removing the containment cap from the well. Their plan is to replace it with one that is a tighter fit which will funnel more oil to the ships on the surface. This is very delicate work and there are several robotic submersibles surrounding the well.
Senior Vice President of BP, Kent Wells said, "Over the next four to seven days, depending on how things go, we should get that sealing cap on. That's our plan." If everything goes as planned, all of the oil could be being collected as soon as Monday. It is only another temporary solution until the relief wells are completed, but if successful it would cut the oil that is leaking into the Gulf way down.
The process involves engineers removing a bolted flange below the dome. The flange has to be removed so another piece called the flange spool can be put over the pipe where the sealing cap will be connected. The flange was successfully removed Saturday. BP officials said they are behind schedule for the placement of the sealing cap but are still optimistic.
"Everything done at that site is very much harder than anyone expects, is replacing the cap going to do more damage than leaving it in place, or are you going to cause problems that you can't take care of," said Ed Overton, a Louisiana State University environmental sciences professor.
Senior Vice President of BP, Kent Wells said, "Over the next four to seven days, depending on how things go, we should get that sealing cap on. That's our plan." If everything goes as planned, all of the oil could be being collected as soon as Monday. It is only another temporary solution until the relief wells are completed, but if successful it would cut the oil that is leaking into the Gulf way down.
The process involves engineers removing a bolted flange below the dome. The flange has to be removed so another piece called the flange spool can be put over the pipe where the sealing cap will be connected. The flange was successfully removed Saturday. BP officials said they are behind schedule for the placement of the sealing cap but are still optimistic.
"Everything done at that site is very much harder than anyone expects, is replacing the cap going to do more damage than leaving it in place, or are you going to cause problems that you can't take care of," said Ed Overton, a Louisiana State University environmental sciences professor.
Saturday, July 3, 2010
BP (NYSE:BP) Gulf Oil Leak Update: Containment Cap Loosens
As BP (NYSE:BP) continues on with their efforts to get control of the Gulf oil leak, the oil containment cap is coming loose. By observing the live oil spill feed, the oil is flowing out stronger than ever. The cap appears to be wobbling and bouncing around in the water.
Officials are saying that less oil has been captured over the last couple of days. The cause of which is being blamed on the high winds of Hurricane Alex. It doesn't appear that the weather is going to get any better. All weekend around the Gulf region thunderstorms are expected. There is also another tropical storm forming over the oil leak area.
Meanwhile, on Thursday the House of Representatives removed the damages award limit. This will greatly effect BP. It opens the door for the families of the 11 deceased workers, among others, to sue for pain and suffering. Prior to this action, the amount of money that was able to be recovered for damages was significantly lower.
Tar balls continue to be spotted in new areas around the Gulf Coast. In Pensacola Beach, Florida there have been several sightings of tar balls the size of plates. With the Fourth of July holiday weekend, this has dampened the spirits of many that were looking forward to relaxing days on the beach.
Officials are saying that less oil has been captured over the last couple of days. The cause of which is being blamed on the high winds of Hurricane Alex. It doesn't appear that the weather is going to get any better. All weekend around the Gulf region thunderstorms are expected. There is also another tropical storm forming over the oil leak area.
Meanwhile, on Thursday the House of Representatives removed the damages award limit. This will greatly effect BP. It opens the door for the families of the 11 deceased workers, among others, to sue for pain and suffering. Prior to this action, the amount of money that was able to be recovered for damages was significantly lower.
Tar balls continue to be spotted in new areas around the Gulf Coast. In Pensacola Beach, Florida there have been several sightings of tar balls the size of plates. With the Fourth of July holiday weekend, this has dampened the spirits of many that were looking forward to relaxing days on the beach.
Thursday, June 24, 2010
BP's (NYSE:BP) Spill Containment Cap Back In Place
BP (NYSE:BP) said they have been successful in putting the spill containment cap back onto the Macondo well. Oil and gas has resumed being taken to the drillship Discoverer Enterprise at the surface.
Thad Allen, Coast Guard Admiral said the containment cap was removed by Transocean after an ROV hit the cap. The drillship Discoverer Enterprise was then moved off the site so that repair could begin. What happened was the ROV accidentally closed a vent which regulates the gas and oil flow and prevents pressure from building.
The vent closure than caused the pressure to build and hydrocarbons started bubbling up through the line which purpose is to inject warm water as oil is being brought to the surface. This water prevents hydrate crystals from forming and clogging the line.
Thad Allen, Coast Guard Admiral said the containment cap was removed by Transocean after an ROV hit the cap. The drillship Discoverer Enterprise was then moved off the site so that repair could begin. What happened was the ROV accidentally closed a vent which regulates the gas and oil flow and prevents pressure from building.
The vent closure than caused the pressure to build and hydrocarbons started bubbling up through the line which purpose is to inject warm water as oil is being brought to the surface. This water prevents hydrate crystals from forming and clogging the line.
Monday, June 21, 2010
YOU WILL PAY: BP (NYSE:BP), Transocean (NYSE:RIG), Halliburton (NYSE:HAL), and Cameron (NYSE:CAM)
You will pay is what is being told to BP (NYSE:BP), Transocean (NYSE:RIG), Halliburton (NYSE:HAL), and Cameron (NYSE:CAM). This demand is coming from 11 East Coast states that have already told BP they put the full responsibility of the damage from the oil spill disaster onto their shoulders.
Connecticut's Attorney General, Richard Blumenthal said, "even without oil actually reaching the Connecticut shoreline, this massive oil spill could still impose damage and destruction to the entire Atlantic coastline." Marine life and birds are likely to be "severely damaged."
Blumenthal added, "Connecticut and a coalition of states are putting BP and affiliated companies on notice that we will not pay the price for their monumental failures." This request seems a little premature considering there has yet to be any damage or destruction done.
Meanwhile, the containment cap that BP is using to contain the oil on Sunday captured 14,570 barrels of oil. While using a secondary containment system to burn off oil, burned 8,720 barrels on Sunday. Between the two systems there is a daily average of 28,000 barrels being captured.
Connecticut's Attorney General, Richard Blumenthal said, "even without oil actually reaching the Connecticut shoreline, this massive oil spill could still impose damage and destruction to the entire Atlantic coastline." Marine life and birds are likely to be "severely damaged."
Blumenthal added, "Connecticut and a coalition of states are putting BP and affiliated companies on notice that we will not pay the price for their monumental failures." This request seems a little premature considering there has yet to be any damage or destruction done.
Meanwhile, the containment cap that BP is using to contain the oil on Sunday captured 14,570 barrels of oil. While using a secondary containment system to burn off oil, burned 8,720 barrels on Sunday. Between the two systems there is a daily average of 28,000 barrels being captured.
Wednesday, June 9, 2010
BP (NYSE:BP) Capturing More Oil
BP (NYSE:BP) attempts to capture more oil are improving, now standing at about 630,000 gallons a day, with the possibility of increasing to 756,000 a day, before a second tanker arrives to expand the capture rate.
Original estimates as to how much the existing tanker in the are can process has been upwardly revised, giving the company better results than expected in the short term.
There is another vessel coming into assist as well, in this case a shuttle tanker from the North Sea which will help in transporting the oil, along with a device which will be used to burn off excess oil they can't process.
Efforts are under way to build an even better containment cap which is expected to be ready sometime in July.
Original estimates as to how much the existing tanker in the are can process has been upwardly revised, giving the company better results than expected in the short term.
There is another vessel coming into assist as well, in this case a shuttle tanker from the North Sea which will help in transporting the oil, along with a device which will be used to burn off excess oil they can't process.
Efforts are under way to build an even better containment cap which is expected to be ready sometime in July.
Sunday, June 6, 2010
BP (NYSE:BP) UPDATE: Fuel Spill Containment, Secondary Containment System Planned
After so much hype and build up on BP's (NYSE:BP) fuel spill containment efforts, they have finally had success. At least in preventing some of the crude oil to continue to flow into the ocean. The device known as the containment cap, has been successfully placed on top of the pipe that BP was able to cut with giant sheers.
Tony Hayward, BP's chief executive, said on Sunday that his belief is the cap would most likely capture "the majority, probably the vast majority" of the oil still spewing out of the well. BP is purposefully gradually increasing the amount of oil being captured, this is in order to hopefully minimize the amount of water getting in and creating a frozen slushy sort of consistency. This has happened before in a different oil containment attempt.
On Saturday, the cap was able to capture about 441,000 gallons of spilling oil, this is a considerable rise from Fridays estimate of close to 250,000 gallons of oil being contained, according to BP spokesman Mark Proegler. Although nobody has any definite numbers on how much oil is leaking daily into the Gulf, the estimate is anywhere from 500,000 to 1 million gallons of crude oil being lost everyday close to the sea floor.
Hayward told BBC that they are planning a secondary containment system, expected to be completed by next weekend. BP is also hoping to set up additional hoses and pipes which would help increase the amount of oil being captured.
Tony Hayward, BP's chief executive, said on Sunday that his belief is the cap would most likely capture "the majority, probably the vast majority" of the oil still spewing out of the well. BP is purposefully gradually increasing the amount of oil being captured, this is in order to hopefully minimize the amount of water getting in and creating a frozen slushy sort of consistency. This has happened before in a different oil containment attempt.
On Saturday, the cap was able to capture about 441,000 gallons of spilling oil, this is a considerable rise from Fridays estimate of close to 250,000 gallons of oil being contained, according to BP spokesman Mark Proegler. Although nobody has any definite numbers on how much oil is leaking daily into the Gulf, the estimate is anywhere from 500,000 to 1 million gallons of crude oil being lost everyday close to the sea floor.
Hayward told BBC that they are planning a secondary containment system, expected to be completed by next weekend. BP is also hoping to set up additional hoses and pipes which would help increase the amount of oil being captured.
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