[/caption]Not always is it true that people can't learn from history. After examining the consequences of the recent oil spill in the Gulf of Mexico, the four other oil companies Chevron, ConocoPhillips, ExxonMobil and Shell agreed to build and deploy a rapid response system that will be available to capture and contain oil in the event of a potential future underwater well blowout in the deepwater Gulf of Mexico.
It is planned, that the new system should be flexible ready for deployment within 24 hours. It should be constructed in a way that it should fit a wide range of well designs and equipment, oil and natural gas flow rates and weather conditions. The system will be usable in depth of up to 10,000 feet and the initial capacity should be 100,000 barrels per day with room for expansion as needed.
The four companies agreed to set aside $1 billion to build the system. It is understood, that there will be also operational and maintenance cost for the subsea and modular processing equipment, contracts with existing operating vessels in the Gulf of Mexico and any potential new vessels that may be constructed.
The current response equipment was obviously not able to handle the situation. The oil companies are smarter now and pre-engineer and test the system so that it can be deployed rapidly in the deepwater Gulf of Mexico and will work in the given environment. Each of the four oil companies will send engineers to man the team to build the system.
[caption id="attachment_4942" align="aligncenter" width="600" caption="New Containment System by Chevron, ConocoPhillips, ExxonMobil and Shell"]
[/caption]Here are statements of the four oil companies:
“Chevron knows that it can only operate with the public’s confidence that the energy we need will be produced safely and reliably,” said John Watson, chairman and chief executive officer of Chevron. “We are committed to advancing safe operations through enhanced prevention, better well containment and intervention and improved spill response. This new system significantly enhances the industry’s ability to effectively respond to any unforeseen incidents.”
"The oil and gas industry has long been recognized as a technological leader, and the American public expects us to improve our ability to respond immediately to offshore incidents," said Jim Mulva, ConocoPhillips chairman and chief executive officer. "The creation and development of this sophisticated system will greatly enhance industry's ability to ensure a quick and effective response."
“If we all do our jobs properly, this system will never be used,” said Rex Tillerson, chairman and chief executive officer of ExxonMobil. “The extensive experience of industry shows that when the focus remains on safe operations and risk management, tragic incidents like the one we are witnessing in the Gulf of Mexico today should not occur.”
“As an industry, we must rebuild trust with the American people in order to demonstrate that we can produce energy in a safe and environmentally responsible manner,” said Marvin Odum, president, Shell Oil Company. “Beyond Shell’s absolute commitment to oil spill prevention and robust well designs, additional safeguards must be strengthened across the industry to develop the capacity to quickly respond and resolve a deepwater well blowout in the Gulf of Mexico, regardless of how unlikely it is that this situation will reoccur.”
A non-profit organization, the Marine Well Containment Company will be founded by the four oil companies with the purpose to operate and maintain the response system. Other oil companies will be given the chnace to participate in this venture.
About 1/3 of the oil and gas production of the US comes from the Gulf of Mexico and about 170,000 jobs directly depend on this part of the industry. ExxonMobil will start immediately on behalf of the other three companies to buy equipment and begin with the engineering of the system. Key officials of federal Administration and Congress were also involved in the decisions.
More details can be found in the New Containment System Fact Sheet.
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