The Pondering AmericanPhotobucket - Video and Image Hosting

An average American that has some thoughts on politics, culture, and society with a conservative and Catholic twist.

Location: Louisiana, United States
Email me!

Sunday, August 06, 2006


Photobucket - Video and Image Hosting

I am going to do two more post tonight. This story bumps the LSU football story till tomorrow. A major field in Alaska is going to have to be closed down for a tad .Story on that below. Perhaps Conservative Cajun can comment on this for us since he is in the industry. But this does not sound good. I am willing to bet a Eight percent decrease in domestic production means about a 20 percent increase at the very least at the pump

Another matter to be concerned about is we are now entering the dangerous phase of hurricane season where production can be shut down in the Gulf. OF course this again brings up the importance of Louisiana and funding to stop coastland erosion. A major hit at certain place in Louisiana combined with events such as this could create big problems in a big hurry .

BP shutting down large Alaska oil field
ANCHORAGE, Alaska - BP Exploration Alaska, Inc. began shutting down the Prudhoe Bay oil field Sunday after discovering unexpectedly severe corrosion and a small spill from a transit pipeline.

Prudhoe Bay represents about half of Alaska's oil production and about 8 percent of U.S. production, according to the U.S. Energy Information Administration.
Company officials said it would take days to shut down the oil field. Once completed, it's expected to reduce oil field production by 400,000 barrels a day.
"We regret that it is necessary to take this action and we apologize to the nation and the State of Alaska for the adverse impacts it will cause," BP America Chairman and President Bob Malone said in a prepared statement.
Officials learned Friday that data from an internal sensing device found 16 anomalies in 12 locations in an oil transit line on the eastern side of the field. Follow-up inspections found "corrosion-related wall thinning appeared to exceed BP criteria for continued operation," the company said in a release.
That's when workers also found a small spill, estimated to be about 4 to 5 barrels.
BP says the spill has been contained and clean up efforts are under way. State and federal officials have been informed of the decision

BY the way, an internet froum was discussing this just a few minutes ago. Someone noted that BP stations in St Louis had raised their prices on Friday for no apparent reason. H.mmm


Blogger Nick said...

I'm not sure if this is really going to change the price at the pump. It really shouldn't as long as people don't freak out and start forming lines, which is what would happen if this story got out across the U.S. I'm in the industry, but I'm not on the forefront of the price changes. I know the factors, and speculation by oil investors plays a major role.

Let's put it this way, my wife and I won't be racing to the pump today. I just filled up yesterday on our trip back from Grand Isle.

7:46 AM  

Post a Comment

<< Home

FREE Hit Counters!