Deepwater Oil Production News

Global deepwater oil production was expected to grow 700,000 barrels  per day (b/d) this year to hit a record high of more than 10 million b/d.Norwegian research group Rystad Energy said that it "expects global deepwater production to reach record high level and surpass 10 million bb/d.""With new fields starting up in Brazil and Gulf of Mexico, we expect the total deepwater liquid production to reach 10.3 million bbl/d in 2019. This is an increase of 700 kbbl/d compared to 2018," it said.In addition to Brazil and the US, Angola, Norway and Nigeria are the largest deepwater producers.Meanwhile, the International Energy Agency has estimated that the share of deepwater in total offshore production will rise to 30% in 2040…

U.S. Coast Guard's Safety Strategy Incorporates Tightly Focused Training at Carefully Chosen Venues. The U.S. Coast Guard opened seven National Centers of Expertise in 2009, locating three alone on the busy Gulf Coast, The concept of national centers of expertise – or “centers of excellence” – dates back to the 1960s when technology became more advanced and required new skill sets. The U.S. Army, Navy, Air Force and Marine Corps all operate such hubs, as do federal agencies, foreign governments and industries ranging from manufacturing to health care.

More than a decade ago, deepwater oil production in the Gulf of Mexico surpassed shallow water output for the first time ever. These days, rigs are found hundreds of miles offshore. Companies need to get equipment, employees, fuel and mud to those sites economically and usually on a tight schedule. Gulf marine companies are trying to meet those requirements by increasing the speed, size and energy efficiency of their vessels--though not necessarily all at once. Shane Guidry, Chief Executive Officer of Harvey Gulf International Marine…

Speaking at the IADC World Drilling Conference in Copenhagen, Douglas-Westwood’s CEO, Andrew Reid, outlined the impact emerging markets will have on global drilling activity in the coming years. The Arctic is the next frontier in offshore discovery. Reid commented: “More than 400 fields have been discovered to date in the Arctic, providing reserves in excess of 240 billion boe. There is no doubt that further drilling activity in this region could have a major impact on offshore production in the foreseeable future”. Estimates suggest that a further 412 billion boe in undiscovered resources may be lurking beneath the surface, 84% of which are in offshore fields.

When Beemar, LLC rolled out a fleet of Dynamic Positioning 2 (DP-2) Platform Supply Vessels (PSVs), they needed a global broadband maritime communications solution that could match the high-tech demands of these new vessels and of their customers. BEEMAR chose Hughes Network Systems, LLC and Environmental Safety Systems International, Inc (ESSI) to fulfill this mission. Hughes is equipping BEEMAR's entire fleet of platform supply vessels with its fully managed maritime solution in partnership with ESSI Corporation, a systems integrator specializing in maritime industries. The Hughes solution includes high-speed Internet access, voice, email, video, and on-board Wi-Fi.

Deep Down, Inc. is an oilfield services company specializing in complex deepwater and ultra-deepwater oil production distribution system support services. In response to recent investor inquires, the company commented that the recently announced 180-day moratorium on exploration drilling in water depths in excess of 500 ft in the Gulf of Mexico has had no material negative impact on our current operations. However, we have seen an increase in activity in our operations related to cleanup and subsea monitoring in the U.S. Gulf of Mexico. Additionally, we do not envision that the Drilling Moratorium will have a material impact on the operations of Cuming Corporation. On May 3, 2010, we announced that we had entered into a conditional purchase agreement to acquire Cuming Corporation.

Deep Down, Inc. (OTC Bulletin Board: DPDW), an oilfield services company specializing in complex deepwater and ultra-deepwater oil production distribution system support services, announced that it has completed the design and has begun construction of a 3,200 metric ton Carousel System, which is scheduled for completion early in the third quarter of 2010. Upon completion the Carousel System will be located in the Gulf Coast, to facilitate the handling of umbilicals from transportation vessels onto the Carousel, and with the ability to store up to three separate steel tube umbilicals for projects in the region.

Deep Down, Inc. (OTC Bulletin Board: DPDW), an oilfield services company specializing in complex deepwater and ultra-deepwater oil production distribution system support services, announced that Mark R. Hollinger has joined its Board of Directors, effective April 12, 2010. Hollinger has joined the board as an independent director and was appointed Chairman of the Audit Committee of the Board of Directors. Hollinger is currently President of Offshore Solutions at MacDermid, Inc., which provides specialty fluids to hydraulic controls of valves in the offshore drilling and production systems, a position he has held since September 2007.

The Minerals Management Service (MMS), Gulf of Mexico Region, released new oil and gas daily production rate projections that encompass the year 2006. According to the new report, Daily Oil and Gas Production Rate Projections From 2002 Through 2006, Gulf of Mexico Outer Continental Shelf, MMS is forecasting a daily oil production rate of between 2.00 and 2.47 million barrels by the end of 2006, and a daily gas production rate of between 10.97 and 16.39 billion cu. ft. by the end of the same year. These represent high case and low case estimates. MMS Director Johnnie Burton called the new projections "a healthy, sizeable increase in the range of possible oil production.

The Minerals Management Service (MMS), Gulf of Mexico Region, released new oil and gas daily production rate projections that encompass the year 2006. According to the new report, Daily Oil and Gas Production Rate Projections From 2002 Through 2006, Gulf of Mexico Outer Continental Shelf, MMS is forecasting a daily oil production rate of between 2.00 and 2.47 million barrels by the end of 2006, and a daily gas production rate of between 10.97 and 16.39 billion cu. ft. by the end of the same year. These represent high case and low case estimates. MMS Director Johnnie Burton called the new projections "a healthy, sizeable increase in the range of possible oil production.

A new study published today by analysts Douglas-Westwood The World Deepwater Market Report 2008-2012 forecasts that nearly $25 billion will be spent annually in deepwater capital expenditure by 2012. Speaking at the Deep Offshore Technology International Conference 2007, Stavanger, today, John Westwood, Douglas-Westwood MD commented that “the deepwater oil & gas industry is set for continued growth through to 2012, with over 30% growth forecast for the 2008-2012 period when compared with the previous five years. ”Deepwater oil production currently accounts for almost 15% of total offshore production, but over the next few years its share relative to shallow water output will grow – accounting for around 20% of offshore production by 2011.

The Washington Times has reported that the boom in Singapore's offshore oil and gas rig industry is expected to last another decade. Keppel FELS, says energy companies are expected to increase spending on oil exploration and production, especially in deeper waters, Channel News Asia reported Monday. Keppel FELS says some of these companies are signing drilling contracts for up to five years starting in 2009, a sign that the current boom cycle for the offshore rig industry is not slowing down anytime soon. Meanwhile, Britain's Douglas-Westwood research firm says deepwater oil production now makes up only one-tenth of total offshore oil production output. But that is expected to grow sharply. Source: Washington Times

The elections held on November 6th have helped to focus on some significant issues that have been mired within the halls of Congress for the past year. It is now clear that our President will get his agenda accomplished in short order. The lame-duck session of Congress has been tasked with creating the Department of Homeland Security. This will probably be done almost exactly in the manner the White House originally requested. It also seems extremely likely that we will see a strong port security statute out of the same Congressional lame-duck session. The next round of port security grant money is also nigh, with predictions that it will contain $120 million in grants. Submission deadlines are rumored to be before the first of the year.

The elections held on November 6th have helped to focus on some significant issues that have been mired within the halls of Congress for the past year. It is now clear that our President will get his agenda accomplished in short order. The lame-duck session of Congress has been tasked with creating the Department of Homeland Security. This will probably be done almost exactly in the manner the White House originally requested. It also seems extremely likely that we will see a strong port security statute out of the same Congressional lame-duck session. The next round of port security grant money is also nigh, with predictions that it will contain $120 million in grants. Submission deadlines are rumored to be before the first of the year.

The loss of the world’s largest floating deepwater production platform, Petrobras’ P-36, last month off the coast of Brazil with the loss of 10 men will reverberate throughout the oil industry for years to come. We do not yet know what happened to the unit other than that there were reported to be three separate explosions after which the unit took on severe list of about 24 degrees and sank several days later. Was the unit unsafe? Was it operated improperly? We do not yet know the answers and may never know all the answers. Here in the U.S., the USCG continues to go forward with the regulatory project that would modify the rules on the US Outer Continental Shelf (OCS).