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Obama Okays Gulf Oil Storage For Brazil

From an unquestioning Reuters:

U.S. approves first floating deepwater storage in Gulf

By Tom Doggett and Kristen Hays
Thu Mar 17, 2011

WASHINGTON/HOUSTON (Reuters) – The U.S. Interior Department said on Thursday it gave final approval for Petrobras to use the first ever deepwater floating production storage facility in the Gulf of Mexico.

The facility will be used when the company begins oil and natural gas production at its Chinook-Cascade project in the near future, the department said. Petrobras is based in Brazil.

So a Brazilian company that is already profiting from Mr. Obama’s (illegal) oil drilling moratorium is going to profit some more from their work in the Gulf.

And, lest we forget, Petrobras has enjoyed a very cozy relationship with Obama supporter George Soros. And, oddly enough, the US is reported to be backing loans to Petrobras for off shore drilling, as well.

A Petrobras official who asked not to be identified told Reuters that production would begin in May.

Why not a little earlier, say on the one year anniversary of the BP spill itself?

The floating facility has a daily production capacity of 80,000 barrels of oil and 16 million cubic feet of gas. It can be disconnected and moved out of the path of a storm, unlike permanently moored production platforms, preventing long-term supply disruptions because of storms.

"These regulatory approvals pave the way for safe, new production of oil and gas resources in the Gulf of Mexico," said Michael Bromwich, who heads the department’s agency that oversees offshore drilling.

So there is no risk to the environment if they leak. Which, of course, could never happen. (Lest we forget, there was no storm involved in the BP leak.)

Apparently, Brazilian drilled oil is good for the environment. Unlike oil drilled by companies the US might profit from.

Such vessels are common for offshore production in other countries without seabed pipelines to transport oil and gas to shore, such as West Africa and Brazil. Petrobras has a fleet of them off Brazil’s shores, and Exxon Mobil Corp uses one of the largest units in the world at one of its fields in offshore Angola.

Gulf operators so far have had little use for the units because the basin has such an extensive pipeline network. Even companies that operate in deeper waters where that network doesn’t reach have had new pipelines built that hook into an established system, such as Royal Dutch Shell’s Perdido project.

So it sounds like an unnecessary risk, altogether.

Cascade-Chinook is 165 miles off the Louisiana coastline in 8,200 feet of water, while Perdido is 220 miles south of Galveston in 8,000 feet of water.

Cascade and Chinook each have one production well that is ready to produce. Petrobras aimed to drill a second production well in Cascade last year, but was postponed by the temporary drilling ban after BP Plc’s Macondo well ruptured.

Matt Pickard, analyst with Quest Offshore, said more of the units, known as FPSOs, could follow now that Petrobras is the first to clear the lengthy regulatory hurdle. Regulators approved Petrobras’ development plan three years ago, but final approval came Thursday.

"We won’t see an influx of FPSOs yet, but it’s a step in that direction," Pickard said. "It’s always good for operators to have another option on the table." …

Well, let’s say it’s good for non-US operators, anyway.

This article was posted by Steve on Friday, March 18th, 2011. Comments are currently closed.

3 Responses to “Obama Okays Gulf Oil Storage For Brazil”

  1. proreason says:

    Gangsta gubamint

    • wildfire66 says:

      THIS ENTIRE OBAMA AGENDA IS ONE GIGANTIC NIGHTMARE.CAN YOU IMAGINE, OUR OIL COMPANIES ARE RESTRICTED, BUT FORIGNERS HAVE THE RIGHT TO DRILL WHERE WE CAN’T. WHAT IN HELL IS GOING ON???WHEN IS SOMETHING LIKE THIS GOING TO BRING AMERICANS OUT SWINGING FOR JUSTICE? THIS PRESIDENT COULD GIVE A FIG ABOUT THE CITIZENS, AND THE COUNTRY. HIS AGENDA IS TO DESTORY OUR FREEDOMS, CAPITALISM, JOBS, AND THE RIGHT TO DEFEND OURSELFS. HE LEAVES THE DOOR OPEN ON THE BORDERS. WHY IN THE NAME OF GOD ARE WE SENDING OUR SOLDIERS TO WAR, WHEN WE IMPORT WHOLE VILLAGES OF MUSLIM SOMALIANS IN TO THIS COUNTRY? WE ARE IMPORTING OUR OWN TERROSITS.WHO BY THE WAY LIVE OFF THE TAX PAYER.

    • canary says:

      Houstan Oil company OKed to drill off LA coast. Also, it was my understanding that the U.S. is going to deep water drill in Brazil and possibly allow Brazil into the UN over the deal.

      Anyways, I read 2 different articles on this drilling. One is 120 feet off the Louisiana Cost at approx 4800 feet, and this article I believe says 70 miles from the coast 6500 feet.

      http://www.ecoseed.org/en/business-article-list/article/1-business/9160-first-deepwater-drilling-permit-approved-after-gulf-oil-spill


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