US upstream news

The API has responded to the Trump administration’s announcement to extend the existing offshore moratorium in the Eastern Gulf of Mexico to include additional areas off the Atlantic Outer Continental Shelf (OCS) through the year 2032.

The companies will cooperate globally to focus on revolutionising well integrity during the construction phase by bringing to market the first ever integration of Managed Pressure Drilling (MPD) solutions and Automated Well Control technology.

The study will examine specific economic parameters used by BOEM and BSEE for new and high-cost technologies like extended-reach subsea tiebacks.

The contract will start in 4Q20 with an expected duration of about three months.

The survey is anticipated to start in December 2020 with a project duration of approximately 80 days.

Oil prices declined today as the market is correcting the exaggerated price levels reached in yesterday’s session. Meanwhile, Covid-19 demand concerns and US supply return.

The US government said 21%, or nearly 396 000 bpd, of offshore crude oil production and 25%, or 685 million ft3/d, of natural gas output were shut in the US Gulf of Mexico.

Effective 12 October 2020, Girish K. Saligram will be the company’s President and CEO.

The API has said the extension of the moratorium on the Eastern Gulf of Mexico (EGOM) and expanding it to the South Atlantic "is the wrong approach at the wrong time".

Oil prices are continuing to fall, with most concerns focusing on the US, where Covid-19 isn’t slowing down and road fuel demand trembles.