Wirelines

Posted on 10 November 2009

INDUSTRY RESPONDS TO EU ENERGY ‘VISION’

The International Association of Oil & Gas Producers (OGP) has formally replied to European Energy Commissioner Andris Piebalg’s invitation for input on the EU Commission’s draft of a “vision” statement. As part of the commission’s Second Strategic Energy Review, the statement provides a framework for where the EU’s energy base and production should be by 2050. IADC contributed to the OGP reply.

References in the commission’s review are clearly biased against hydrocarbons, and the message was recently reinforced by EU president José Manuel Barroso’s call for a “decarbonised” EU energy future. In this context, the commission has expressed its intention to prepare a “roadmap” setting out the actions necessary to achieve a zero-carbon electricity supply by 2050.

OGP’s measured response noted that oil and gas are likely to continue playing major roles in meeting energy demand for many decades. The response also highlighted technological advancements in E&P and in the mitigation of emissions to the environment. It noted the emergence of new sources of oil and gas, such as deep ocean, Arctic and shale. Of particular importance is the potential for natural gas as a preferred fuel because of its lower carbon content.

As oil is likely to remain essential as a transport fuel, the commission was also advised to foster its efficient use and continued availability.

LETTER TO MMS: EXPAND 5-YEAR OCS PLAN

In a letter to the US Minerals Management Service (MMS) addressing its 5-year OCS plan, industry groups urged the agency to expand potential lease sale areas to include “all areas of the OCS where there is an interest in hydrocarbon development.”

Sent in response to MMS’ request for comments on the draft program, the letter was drafted jointly by IADC, NOIA, IPAA, PESA, USOGA and the American Exploration & Production Council (AXPC). Leasing only 12 of the 26 total planning areas would be far too conservative, they said.

Flexibility in the plan will allow the energy industry to better respond to the nation’s energy needs. The shortsightedness and risks of limiting energy production to one small area of the OCS were already proven in hurricanes Katrina and Rita.

Industry groups also called for a full analysis of all OCS areas to determine the relative environmental risks, sensitivities and other analyses among the regions. Additionally, they advised that a predictable and reliable lease sale schedule be provided in the 2010-2015 program so companies can expeditiously explore for and develop hydrocarbons.

Leave a Reply

*

FEATURED MICROSITES


Recent Drilling News

  • 29 September 2014

    Rosneft discovers oil in Kara Sea

    Rosneft successfully completed the drilling of the Universitetskaya-1 well in the Arctic – the northernmost well in the world, according to the company, and discovered oil at the East-Prinovozemelskiy-1 license area...

  • 26 September 2014

    Statoil and PL713 partners discover gas in Pingvin prospect in Barents Sea

    Statoil has together with PL713 partners made a gas discovery in the Pingvin prospect in the Barents Sea. The discovery is a play opener in an unexplored frontier…

  • 26 September 2014

    Maersk Drilling names fourth ultra-deepwater drillship, delivery expected in Q4

    Maersk Drilling’s fourth ultra-deepwater drillship was named Thursday morning in a ceremony at the Samsung Heavy Industries (SHI) shipyard in Geoje-Si...

  • 25 September 2014

    Eni awarded 3 new exploration licenses in Egypt

    Eni was the successful bidder of three new exploration licenses in Egypt as a result of the competitive 2013 EGPC and EGAS bid rounds. The new licenses will be formally awarded after the ratification...

  • 25 September 2014

    Petrobras finds gas in Sergipe-Alagoas Basin

    While drilling extension well 3-BRSA-1022-SES (3-SES-181), Petrobras discovered gas. Poço Verde 1 well, 58 km off the coast of Aracaju, is in the Poço Verde Discovery Evaluation Plan area...

  • Read more news