BP - off the hook ? ...and a BUY ?

StevieJ

At last some good news on the oil spill situation, hope the news starts improving from here, especially for you guys who took a chance in the £4.20's oh and also for the wildlife in the gulf.

1echidna

Old_Slaphead wrote: »

Not sure why BP appears to be the only one copping the flak on this.

There are plenty of others who should be taking a share of the blame (including US Government officials who clearly haven't ensured adequate controls in place to make sure this sort of thing wouldn't happen)

BP is of course a nasty foreign company and one with large coffers which are very profitable to loot. Can't see much to stop them unfortunately, unless very quickly there was a ruthless endeavour to separate US operations and liabilities from the rest of the world. This may be impossible. It seems that Obama and other politicians are not trying to calm the situation but rather trying to inflame an already volatile public opinion in the US. Extremely punitive action against BP seems inevitable.

sabretoothtigger

BP appear lax again, http://www.marketwatch.com/story/bp-eyes-containment-shortfall-on-gulf-well-report-2010-06-07

BP decided Sunday to keep some of the four vents open on the cap over its leaking well a mile below the surface of the Gulf because it didn't have enough processing capacity to handle the mix of sea water and oil coming from the gusher, according to a New York Times report.

The newspaper cited an unnamed technician working on the operation.

The cap was already capturing about 10,000 to 15,000 barrels a day without all its vents closed, while the Discoverer Enterprise drill ship at the site is equipped to handle up to 15,000 barrels a day.

"There is no chance to close the vents when you are at maximum production," the technician said, meaning oil continues to flow in

StevieJ

1echidna wrote: »

BP is of course a nasty foreign company and one with large coffers which are very profitable to loot. .

At least they haven't got these clowns on their case,if they had it would be unbearable.

http://royaldutchshellplc.com/

Then again :eek:

97trophy

fullstop wrote: »

This is what happens when you go down the de-regulation route. One of many of GWB many triumphs.

Can you quote what de-regulation caused this event or what regulation would have prevented it? I bet not!

JamesU

StevieJ wrote: »

Then again maybe the US will use their brains for thinking with

Such optimism is harmless enough provided you do not start believing in such delusions.

James

Thrugelmir

fullstop wrote: »

Watched The Andrew Marr show this morning , had BP boss Tony Hayward on, given an easy ride but not a confident showing.

Should be on BBC i Player

Hayward looked totally drained, not surprising really.

Marr though showed his lack of financial nounce when he said the Company had lost over a third of its balance sheet. Hayward quickly pointed that market capitilisation is another thing altogether.

Politics and finance don't wash together.

sabretoothtigger

Market cap doesnt matter exactly except when issuing shares for bonuses and rights issue. BP wont have to do a rights issue over this, people wonder if they have to stop the 10bn a year dividend similar to barclays but even that isnt likely

The current disaster is obviously bad but immediate finance is not the concern so much. Will BP lose all business in usa would justify a share price in the three hundreds or two hundreds but I dont see that USA will bring criminal action against them or enact a ban. Theres no doubt they lost some business prospects already though and that'll continue to develop

Energy policy http://www.cnbc.com/id/15840232?video=1515895824&play=1

Wasnt it carter or Reagan originally who started this idea not obama at all. Its just got worse since then and the price went up contributing to trade imbalance

sabretoothtigger

Story circulating in New Orleans

With appropriate caveats:

BP contracted Schlumberger (SLB) to run the Cement Bond Log (CBL) test that was the final test on the plug that was skipped. The people testifying have been very coy about mentioning this, and you’ll see why.

SLB is an extremely highly regarded (and incredibly expensive) service company. They place a high standard on safety and train their workers to shut down unsafe operations.

SLB gets out to the Deepwater Horizon to run the CBL, and they find the well still
kicking heavily, which it should not be that late in the operation. SLB orders the
“company man” (BP’s man on the scene that runs the operation) to dump kill fluid down the well and shut-in the well. The company man refuses. SLB in the very next sentence asks for a helo to take all SLB personel back to shore. The company man says there are no more helo’s scheduled for the rest of the week (translation: you’re here to do a job, now do it). SLB gets on the horn to shore, calls SLB’s corporate HQ, and gets a helo flown out there at SLB’s expense and takes all SLB personel to shore.

6 hours later, the platform explodes.

Pick your jaw up off the floor now. No CBL was run after the pressure tests because the
contractor high-tailed it out of there. If this story is true, the company man (who
survived) should go to jail for 11 counts of negligent homicide.

http://adropofrain.net/2010/05/rumor-schlumberger-exits-deep-horizon-hours-before-blowout/

http://www.nola.com/news/gulf-oil-spill/index.ssf/2010/05/costly_time-consuming_test_of.html

Release date: 07 June 2010

BP today provided an update on developments in the response to the MC252 oil well incident in the Gulf of Mexico.

Quote:
Subsea Source Control and Containment

The lower marine riser package (LMRP) containment cap, installed on June 3, continues to collect oil and gas flowing from the well and transport them to the Discoverer Enterprise drillship on the surface. On June 5, a total of 10,500 barrels of oil was collected and 22 million standard cubic feet of natural gas was flared. From June 3 through June 5, the volume of oil collected was 16,600 barrels and 32.7 million standard cubic feet of natural gas was flared.

Optimization continues and improvement in oil collection is expected over the next several days. It will be a few days before an assessment can be made as to the success of this containment effort.
This is a complex operation, involving risks and uncertainties, being carried out 5,000 feet under water. The LMRP containment cap never before has been deployed at these depths and conditions, and its efficiency and ability to contain the oil and gas cannot be assured.

The volume of oil captured and gas flared is being updated daily on BP’s website, https://www.bp.com
Preparations for additional planned enhancements to the LMRP cap containment system continue to progress.

The first planned addition will use the hoses and manifold that were deployed for the “top kill” operation to take oil and gas from the failed Deepwater Horizon blow-out preventer (BOP) through a separate riser to the Q4000 vessel on the surface, in addition to the LMRP cap system. This system is intended to increase the overall efficiency of the containment operation by possibly increasing the amount of oil and gas that can be captured from the well and is currently expected to be available for deployment in mid-June.

The second planned addition is intended to provide a more permanent LMRP containment cap system by directing the oil and gas to a new free-floating riser ending approximately 300 feet below sea level. A flexible hose then will be attached to a containment vessel. This long-term containment option is designed to permit more effective disconnection and reconnection of the riser to provide the greatest flexibility for operations during a hurricane and is expected to be implemented in early July.

In the meantime, work on the first relief well, which started May 2, continues and has currently reached a depth of 12,956 feet. The second relief well, which started May 16, is at 8,576 feet, and testing of the BOP is continuing. Both wells are still estimated to take approximately three months to complete from commencement of drilling.

Surface Spill Response and Containment

Work continues to collect and disperse oil that has reached the surface of the sea, to protect the shoreline of the Gulf of Mexico, and to collect and clean up any oil that has reached shore.

More than 2,600 vessels are now involved in the response effort, including skimmers, tugs, barges and recovery vessels. Operations to skim oil from the surface of the water now have recovered, in total, approximately 368,000 barrels (15.5 million gallons) of oily liquid.

The total length of containment boom deployed as part of efforts to prevent oil from reaching the coast is now over 2.2 million feet, and an additional 2.4 million feet of sorbent boom also has been deployed.

To date, approximately 37,000 claims have been submitted and more than 18,000 payments already have been made, totalling approximately $48 million. BP has received more than 152,000 calls into its help lines.

Additional information

The cost of the response to date amounts to approximately $1,250 million, including the cost of the spill response, containment, relief well drilling, grants to the Gulf states, claims paid, and federal costs. This excludes the $360 million in funds for the Louisiana barrier islands construction project. It is too early to quantify other potential costs and liabilities associated with the incident.

Further information:
BP Press Office London: +44 20 7496 4076
BP Press office, US: +1 281 366 0265
Unified Command Joint Information Center:+1 985-902-5231
https://www.deepwaterhorizonresponse.com
https://www.bp.com/gulfofmexicoresponse

simulatorman wrote: »

Skandi ROV1 has a new view:

matthewhotdude wrote: »

.....4 hours later



What?




Bolt too big for the tool

simulatorman wrote: »

Viking Poseidon ROV 1 is checking the caps again:

matthewhotdude wrote: »

simulatorman wrote: »

Close-up of the other cap:

The top of one of the caps:

The two “trays” with the caps and an empty one are resting on those concrete mats from a few pages back:

worldtraveller

BP London close today 408.90, with a low price of 397.90.

The two lowest previous closing prices in the past 10 years were 376.25 in October, 2008 and 369.00 in January, 2003, around 5% & 7% below todays low, respectively.