Posts Tagged ‘Economy of Alaska’

Low-pressure air in the southeastern United States will move toward the Gulf of Mexico, and potentially 50 percent turned into a tropical storm within 48 hours. According to the U.S. National Hurricane Center about the threat of bad weather in the area of the location of the worst oil spill in American history,According to weather forecasts, the low air pressure will cause the flow of warm water in the Gulf on Monday morning local time, and will be able to produce locally heavy rain and strong winds along the central Gulf Coast region.

Commander of the National Disaster Management Agency Thad Alen, who heads the government’s response in tackling the oil spill, said at the weekend, the activity of disposal wells that are designed to permanently block the oil wells will be finished after the giant energy company BP to end the period of testing and planning some time ago.Disposal wells by BP, the owner of the well which was leaked last week, also suspended because of bad weather.

Energy giant BP Plc said on Tuesday it had sharply increased the amount of oil it was capturing from its blown-out Gulf of Mexico well, but U.S. officials want to know exactly how much oil is still gushing out.The London-based company’s share price fell 6 percent in London trading after U.S. President Barack Obama said he wanted to know “whose ass to kick” over the massive spill.He told NBC News’ “Today” show that if BP Chief Executive Tony Hayward worked for him, he would have fired him by now over his response to the 50-day-old spill, the worst environmental disaster in U.S. history.

brown pelicanBP already faces a criminal investigation and lawsuits over the April 20 explosion aboard the Deepwater Horizon oil rig that killed 11 workers and triggered the massive spill. Some 120 miles of U.S. coastline have been soiled in the disaster that threatens the Gulf Coast’s lucrative fishing industry.

The company said on Tuesday it had collected 14,800 barrels of oil on Monday, 33 percent higher than the amount collected on Sunday and the highest capture rate since it installed a new system to contain the oil spill last week.The latest attempt involves a containment cap placed on top of the gushing pipe on the ocean floor. The total amount of oil collected over four days was about 42,500 barrels, BP said.

“We continue to optimize production and make sure we can take much oil out of that stream as we can,” said Coast Guard Admiral Thad Allen, the top U.S. official overseeing the cleanup effort, speaking at a briefing in Washington.Allen said on Monday neither BP nor the government knew just how much oil was gushing out of the well in the first place. “That’s the big unknown right now,” he told a White House briefing on Monday.

BP has given conservative estimates of the oil flow that have been ridiculed by scientists and U.S. lawmakers. Even the government’s much higher estimates of 12,000-19,000 barrels a day seemed on the low side after Allen said the company planned to double its collection of oil from the well to 20,000 bpd (840,000 gallons/3.18 million liters).BP and government officials have said a definitive solution will not come until August when a relief well is drilled.

OBAMA HITS BACK AT CRITICS

The spill has fouled wildlife refuges in Louisiana and barrier islands in Mississippi and Alabama and also sent tar balls ashore on northwest beaches of Florida, where the $60 billion-a-year tourism industry accounts for nearly 1 million jobs.One-third of the Gulf’s federal waters, or 78,000 square miles (200,000 square km), remains closed to fishing, and the toll of dead and injured birds and marine animals is climbing.U.S. weather forecasters gave their first confirmation that some of the oil leaking from BP’s well has lingered beneath the surface rather than rising to the surface. Undersea oil depletes the water’s oxygen content and threatens marine life like mussels, clams, crabs, eels, jellyfish and shrimp.

Jane Lubchenco, administrator of the National Oceanic and Atmospheric Administration, said at the Washington briefing: “NOAA is confirming the presence of very low concentrations of subsurface oil.”Obama, who faces growing criticism that he has appeared detached from the economic and ecological catastrophe hitting four U.S. Gulf states, sharpened his criticism of BP in the NBC interview and hit back at his critics.”I was down there a month ago, before most of these talking heads were even paying attention to the Gulf,” he said.

“And I don’t sit around just talking to experts because this is a college seminar; we talk to these folks because they potentially have the best answers, so I know whose ass to kick,” he added.Fadel Gheit, an analyst at Oppenheimer and Co, said it was “not a coincidence” that BP’s shares were down after Obama’s “kick ass” comment.

The European oils sector was down overall, however, on the back of lower oil prices due to economic worries. BP shares were trading down about 5 percent, against a drop of 2.13 percent in the STOXX Europe 600 Oil and Gas index at 1600 GMT.In New York, the company’s American depositary shares were down nearly 5 percent. BP shares have lost about a third of their value since the crisis erupted.

Away from the action in the Gulf, the political heat remained intense in Washington with yet another congressional hearing to bring BP and its peers under renewed scrutiny.The Senate Judiciary Committee was holding a hearing titled: “The Risky Business of Big Oil: Have Recent Court Decisions and Liability Caps Encouraged Irresponsible Corporate Behavior?”Democrats in Congress have been looking at lifting such caps.

The Senate hearing follows one in Chalmette, Louisiana, where two women who lost their husbands in the explosion that unleashed the crisis urged members of Congress to hold BP accountable.”I am asking you to please consider harsh punishments on companies who choose to ignore safety standards before other families are destroyed,” said Courtney Kemp, whose husband, Wyatt, was killed in the explosion.(Reuters)

A drilling rig explosion on April 20 left 11 workers missing and presumed dead, and the rig’s subsequent collapse unleashed a major oil spill that threatens the ecosystems and economy of the U.S. Gulf of Mexico.Also threatened is the heart of U.S. energy production, as a giant, unprecedented underwater leak spreads oil across the northern Gulf of Mexico, threatening areas from Florida to points west of the of the Mississippi River.

President Barack Obama’s plans to widen offshore drilling have been suspended, and energy giant BP Plc (BP.N) (BP.L) faces another blow to its reputation and a multibillion-dollar bill for cleaning up the mess and paying damages.

Below is a chronology of the spill and its impact:

* April 20, 2010 – Explosion and fire on Transocean Ltd’s (RIG.N) (RIGN.S) drilling rig Deepwater Horizon licensed to BP; 11 workers missing, 17 injured. The rig was drilling in BP’s Macondo project 42 miles (68 km) southeast of Venice, Louisiana, beneath about 5,000 feet (1,525 metres) of water and 13,000 feet (4 km) under the seabed. A blowout preventer, intended to prevent release of crude oil, failed to activate.

* April 22 – The Deepwater Horizon rig, valued at more than $560 million, sinks and a five-mile long oil slick is seen.

* April 23 – The U.S. Coast Guard suspends search for missing workers.

* April 25 – The Coast Guard says remote underwater cameras detect the well is leaking 1,000 barrels of crude oil per day. The agency calls the leak a “very serious spill” that threatens ecosystems along the Gulf Coast. It approves a plan to have remote underwater vehicles activate a blowout preventer and stop leak, but the effort fails.

* April 26 – BP’s shares fall 2 percent on fears the cost of cleanup and legal claims will deal the London-based energy giant a heavy financial blow.

* April 27 – U.S. departments of Interior and Homeland Security announce joint investigation. Coast Guard says leaking crude may be set ablaze to slow the spread of oil in the Gulf.

* April 28 – The Coast Guard says the flow of oil is 5,000 barrels per day (bpd) (210,000 gallons/795,000 litres) — five times greater than first estimated. A controlled burn is held on the giant oil slick.

* April 29 – Obama pledges “every single available resource,” including the U.S. military, to contain the spill, which Homeland Security Secretary Janet Napolitano says is of “national significance.” Obama also says BP is responsible for the cleanup. Louisiana declares state of emergency due to the threat to the state’s natural resources.

* April 30 – An Obama aide says no drilling will be allowed in new areas, as the president had recently proposed, until the cause of the Deepwater Horizon accident is known.

* BP Chairman Tony Hayward says the company takes full responsibility and will pay all legitimate claims and the cost of the cleanup. The Interior Department orders safety inspections of all 30 deepwater drilling rigs and 47 deepwater production platforms.

* May 1 – Coast Guard says leak will affect the Gulf shore.

* May 2 – Obama visits the Gulf Coast to see cleanup efforts first hand. U.S. officials close areas affected by the spill to fishing for an initial period of 10 days. BP starts to drill a relief well alongside the failed well, a process that could take two to three months to complete.

* May 5 – A barge begins towing a 98-ton containment chamber to the site of the leak. BP says one of the three leaks has been shut off by capping a valve, but that would not cut the amount of oil gushing out.

* May 6 – Oil washes ashore on the Chandeleur Islands off the Louisiana coast, uninhabited barrier islands that are part of the Breton National Wildlife Refuge and important nesting and breeding areas for many bird species.

* May 7 – BP engineers use undersea robots to move the containment chamber over the larger of the two remaining leaks on the seabed. A fishing ban for federal waters off the Gulf is modified, expanded and extended to May 17.

* May 8 – BP’s containment dome hits a snag when a buildup of crystallized gas forces engineers to postpone efforts to place the chamber over the oil leak and siphon oil to the surface. “Tar balls” suspected to come from the leak wash up along a half-mile stretch of Dauphin Island, Alabama.

* May 9 – BP says it might try to plug the undersea leak by pumping materials such as shredded up tires and golf balls into the well at high pressure, a method called a “junk shot.”

* May 10 – Forecasts suggest the oil spill could move significantly west of the Mississippi River delta as brisk onshore winds prevail. BP announces plans to place a small containment dome, known as a “top hat,” over the blown out well to funnel oil to the surface.

* May 11 – Executives with BP, Transocean and Halliburton appear at congressional hearings in Washington, where Senators criticize their safety records. The executives blame each other’s companies for the explosion. The oil slick washes ashore on a third land mass: Louisiana’s Port Eads area, on the southern edge of the Mississippi Delta.(Reuters)