Companies to Develop GOM Shuttle Tanker Technology

Friday, August 18, 2000
Conoco Inc. and Maritrans Inc. are jointly developing advanced shuttle tanker technologies to safely transport newly discovered deepwater Gulf of Mexico crude oil reserves to U.S. refineries more economically than current pipeline alternatives.

Technologies being evaluated have the potential to greatly reduce the time between discovery and production of deepwater crude reserves.

"The industry is actively exploring for the 10 billion barrels of crude oil reserves that are estimated to be contained in the deepwater Gulf of Mexico," said Rob McKee, Conoco executive vice president for exploration production. "Operations in deepwater are expensive, and we are continuously seeking ways to improve the economics of our deepwater program. Reducing the time between investment and the return on that investment makes deepwater exploration even more attractive than it is today," he emphasized.

The companies said they had decided to proceed with development plans as the Minerals Management Service (MMS) continues to evaluate the use of shuttle tankers to transport crude oil production in the Gulf of Mexico. The MMS is expected to make a final decision next year.

"We are hopeful the safety and performance records of shuttle tankers used in other parts of the world will help convince the MMS the concept is suitable for use in the Gulf of Mexico," said Eric L. (Rick) Oshlo, Conoco vice president and general manager of supply and trading. "If the MMS does approve the concept for use in the Gulf, Conoco and Maritrans will have state-of-the-art technologies ready for deployment," he said. "If they don't, we will have some very innovative ideas that would be applicable to help other nations develop their deepwater reserves, quickly, safely and economically," Oshlo added.

Oshlo said the companies were evaluating variations of shuttle tankers and deepwater loading systems successfully used elsewhere in the world to transport remote crude oil reserves to determine their applicability in the Gulf of Mexico.

Conoco's worldwide fleet of double-hulled ships includes the Rangrid, a specially designed, state-of-technology shuttle tanker used to transport crude oil from the Heidrun field in the Norwegian Sea to European markets. The Heidrun field, located north of the Arctic Circle and in some of the world's stormiest seas, could not have been economically developed without the use of shuttle tankers and proprietary loading systems. Direct shuttle loading from Heidrun to the Rangrid and other shuttle tankers boasts an unprecedented 100 percent uptime since first oil was produced in 1995.

Over 25 years ago, Maritrans pioneered the lightering system that supplies almost 100 million barrels of crude oil each year to eight refineries in the Northeast United States. Maritrans' sophisticated vessel allocation process is designed to reduce on shore crude storage and keep deliveries on a consistent, reliable schedule. Maritrans' multi-vessel system for unloading cargo directly from large oil tankers situated offshore and in the Delaware Bay remains the most cost-effective alternative for delivering foreign crudes.


People & Company News

Japanese Yards Mull Shipbuilding Alliance

Four major Japanese shipbuilders are in discussions to form an alliance in hopes of riding out the industry slump.   Mitsubishi Heavy Industries, Ltd. (MHI) announced

MN100: Scienco/FAST

The Company: Scienco/FAST is an original equipment manufacturer specializing in marine sewage devices, environmentally-friendly cleaners and other industrial water management technologies.

MN100: MOPS Marine License Insurance

The Company: Since 1935, MOPS Marine License Insurance has defended the USCG licenses of mariners operating in every maritime sector in the United States. Its network of over 80 maritime law firms,

Contracts

Banks Halt Support for Hanjin

A bankruptcy would be biggest ever for a container shipper. Hanjin Shipping Co's banks are halting support for the South Korean company, its lead creditor said,

Austal Dives into Loss

Australia’s largest shipbuilder Austal posted a full year loss of $84.28 million because a program to build war ships for the US Navy took longer than expected.

Russian Shipbuilder Signs $1 bln Oil Rigs Contract with Iran

Russian shipbuilder Krasnye Barrikady and Iran's Tasdid Offshore Development Company (TODC)  have signed a deal worth $1 billion to build five offshore drilling

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Standards Navigation Pod Propulsion Salvage Ship Electronics Ship Simulators Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1001 sec (10 req/sec)