EnergyFactor By ExxonMobil | Pespectives has a new home

Safety critical to production surge in Gulf of Mexico

A good-news story ran in BloombergBusinessweek on Friday about energy production in the Gulf of Mexico.  According to the report, production is finally bouncing back three years after BP’s Deepwater Horizon accident – and the federal government’s response – brought activity to a halt.

Offshore oil production had slowed considerably as a result of what was effectively a five-month drilling moratorium following the 2010 oil spill. During that period dozens of drilling and production rigs left the Gulf for other areas on the globe. When the moratorium ended, those rigs were in service in other regions.

Today rig counts in the Gulf finally are back to 2010 levels and production is surging. Citing a Wood Mackenzie study, the article notes, “In 2014, output from the deepest parts of the Gulf, where the water is more than 1,300 feet deep, will be equivalent to about 1.5 million barrels of oil a day, fifteen percent more than this year.”

A culture of safety

There is perhaps even better news about the Gulf of Mexico on the safety front. The new director of the U.S. Bureau of Safety and Environmental Enforcement (BSEE) gave his thoughts on safe drilling practices during a recent event in Houston.

The Reuters headline says it all: “U.S. offshore regulator sees growing safety culture.”

BSEE chief Brian Salerno said, “What we mean when we talk about safety culture is that it really takes root and is built into the actual business production of the companies.” Shortly after the 2010 spill, ExxonMobil CEO Rex Tillerson made similar comments before a congressional panel.

Steps in the right direction

Salerno’s statements come amid a number of positive safety developments related to future offshore energy production.

One was spurred by BSEE, which announced the formation of the Ocean Energy Safety Institute (OESI), to be led by Texas A&M University in conjunction with the University of Houston and the University of Texas. The aim of the institute is to help regulators keep pace with the rapid technological improvements and safety developments in the offshore industry.

This effort will complement the Center for Offshore Safety that was established by the members of the American Petroleum Institute, including ExxonMobil, in 2011 to promote the highest levels of safety for offshore energy production.

A prime example of the kind of improvement I just mentioned came from the Marine Well Containment Company, the independent entity jointly formed by ExxonMobil, Shell, Chevron, and ConocoPhillips three years ago to be ready to respond to an incident in the Gulf.

Last week Marine Well Containment announced a significant milestone related to its interim containment system. Its 100-ton single-ram capping stack now can cap a well that has fluids up to 350 degrees Fahrenheit, making it the only containment provider in the world with that enhanced capability. This is just the latest example of the tremendous progress we’ve made in a short period.

More than that, it is emblematic of the commitment to safety that must be at the heart of our industry’s operations both offshore and onshore.


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