PYX Resources: Achieving volume and diversification milestones. Watch the video here.

Less Ads, More Data, More Tools Register for FREE
Stephen Yiu, FM at WS Blue Whale, discusses Nvidia, Visa/Mastercard, Lam Research & Allied Materials
Stephen Yiu, FM at WS Blue Whale, discusses Nvidia, Visa/Mastercard, Lam Research & Allied MaterialsView Video
Ben Turney, CEO at Kavango Resources, explains the company's progress from exploration to mining
Ben Turney, CEO at Kavango Resources, explains the company's progress from exploration to miningView Video

Latest Share Chat

BP touts improved U.S. offshore drilling oversight since spill

Tue, 12th Feb 2013 22:26

By Kristen Hays

HOUSTON, Feb 12 (Reuters) - BP Plc has sevencontracted rigs drilling wells in the Gulf of Mexico nearlythree years after its disastrous Macondo oil spill - and moreeyes and ears on each well than ever before, the company says.

As part of its repeated promises to shore up safety in theaftermath of the worst offshore oil spill in U.S. history, BPhas added a layer of oversight at a monitoring center in Houstonwith experts watching the wells day and night.

Rig operations are still controlled aboard each rig, but theonshore experts can stop the work if they detect irregularpressure or some other anomaly.

The intent is to watch more closely for the kinds ofproblems that led to Macondo's rupture in April 2010, whichcaused an explosion that killed 11 men and spewed nearly 5million barrels of crude from the runaway well.

Before the spill, BP had planned to add a monitoring centerat its global exploration and production hub in Houston, Butsince Macondo, the focus changed from operational updates andcost oversight to well integrity.

"The actual makeup and role came from the learnings of theaccident," BP well operations manager Chris Harder toldreporters Tuesday during a tour of the center.

BP is slated to go to trial in federal court in New OrleansFeb. 25 on potentially massive spill-related civil claims fromthe U.S. Justice Department, states along the U.S. Gulf Coast,and others.

The key issue in the case is the level of BP's negligence inthe spill. A gross negligence finding could quadruple damagesowed by BP under the Clean Water Act to $21 billion.

Before Macondo, BP connected onshore and offshore engineersvia satellite for daily updates on Gulf operations, productivityand cost oversight -- but not well control.

Macondo changed the center's focus. Well site engineers andexperts watch computer screens in 12-hour shifts -- the samehours as rig workers -- to monitor pumps, pressure, and pits, orthe tanks on rigs that hold liquids used in drilling.

"We're weaving a safety net," said Richard Morrison, BP'shead of Gulf operations.

Overall BP has committed $37 billion to settle spill-relatedclaims in the years after the disaster. That includes a record$4 billion in criminal penalties that accompanied BP's guiltyplea to 11 felony counts stemming from workers' deaths, felonyobstruction of Congress and two misdemeanors.

It also includes an uncapped estimated $7.8 billionclass-action settlement to resolve claims from more than 100,000individuals and businesses claiming economic and medical damagesfrom the spill.

Transocean, owner of the Deepwater Horizon rig thatexploded when Macondo ruptured, has a hearing on Thursday in NewOrleans on its proposed federal criminal settlement.

Related Shares

More News
16 May 2024 16:54

LONDON MARKET CLOSE: Europe struggles but record highs in New York

(Alliance News) - Large-cap European equities closed lower on Thursday, underperforming New York counterparts, which continued to push higher followin...

16 May 2024 16:53

London close: Stocks mixed as ex-divs drag on FTSE

(Sharecast News) - London stocks ended mixed on Thursday, following a flurry of corporate news and a focus on US unemployment figures.

16 May 2024 12:53

Costain says confident of long-term prospects amid contract wins

(Alliance News) - Costain Group PLC on Thursday said trading in the year to date is in line with expectations, underpinned by a number of contract win...

14 May 2024 21:40

Federal regulators sign off Venture Global's repairs at Louisiana plant

HOUSTON, May 14 (Reuters) - U.S. federal regulators said on Tuesday they are satisfied that Venture Global LNG is trying to correct faults at the he...

14 May 2024 18:47

Federal regulators sign off Venture Global's repairs at Louisiana plant

HOUSTON, May 14 (Reuters) - U.S. federal regulators said on Tuesday that they are satisfied Venture Global LNG is trying to correct faults at its he...

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.