Obama revised deepwater moratorium Drilling Rigs Moving Out of the Gulf of Mexico

[KissMy]

Diamond Moves Second Drilling Rig Out of Gulf

Diamond Offshore Drilling said Monday it would move a second deepwater rig out of the Gulf of Mexico to waters off the Republic of Congo due to a U.S. drilling moratorium, and the industry expects others to follow.

The U.S. government issued a revised moratorium on deepwater oil drilling on Monday, which it said would last until Nov. 30. An earlier drilling suspension, issued on May 27, was lifted by a U.S. Appeals Court on July 8.

The government had imposed the six month moratorium on drilling in water more than 500 feet deep after the April 20 blowout on a Transocean-owned RIG that caused a catastrophic oil spill.

Diamond's move is with the same customer, Murphy Oil, but the old four-year contract running to March 2012 has been restructured into a one-year Gulf of Mexico commitment set to restart when Murphy feels it can get permits and meet regulatory requirements.

On Friday, Diamond became the first company to pull a rig out of the Gulf of Mexico because of the deepwater moratorium.

 

[Old Rocks]

Good.

 

[Mr. H.]

Economic peril seen from offshore drilling ban


"We're going to see companies go out of business. We're going to see workers leave this industry," said Louis Raspino, chairman of the International Association of Drilling Contractors and chief executive officer of driller Pride International Inc.

"In a very, very short period of time, we're going to see this industry implode," Raspino said.

 

[code1211]

Diamond Moves Second Drilling Rig Out of Gulf

Diamond Offshore Drilling said Monday it would move a second deepwater rig out of the Gulf of Mexico to waters off the Republic of Congo due to a U.S. drilling moratorium, and the industry expects others to follow.

The U.S. government issued a revised moratorium on deepwater oil drilling on Monday, which it said would last until Nov. 30. An earlier drilling suspension, issued on May 27, was lifted by a U.S. Appeals Court on July 8.

The government had imposed the six month moratorium on drilling in water more than 500 feet deep after the April 20 blowout on a Transocean-owned RIG that caused a catastrophic oil spill.

Diamond's move is with the same customer, Murphy Oil, but the old four-year contract running to March 2012 has been restructured into a one-year Gulf of Mexico commitment set to restart when Murphy feels it can get permits and meet regulatory requirements.

On Friday, Diamond became the first company to pull a rig out of the Gulf of Mexico because of the deepwater moratorium.

Just one more facet of the big Jobs Bill ongoing under the Big 0.

 

[Old Rocks]

Wind mill farms are still recruiting for maintenance people.

 

[Mr. H.]

Wind mill farms are still recruiting for maintenance people.

Let's say that overnight, the U.S. was able to reduce its crude oil consumption by 60% - and do it with renewable, green, sustainable, zero polluting technologies.

This country would then be 100% reliant on domestic oil production for its needs.

How would you propose we treat the industry? Continue to batter it into the ground?

I'll be one of the first to say that we need to transition away from hydrocarbons. But the public's perception, and Washington's policies, have changed little over the decades. Weaning ourselves from oil has always been a twisted myopic campaign to sweep the most strategic industry we have under the rug.

By the way- how about those "subsidies" you eluded to in another thread?

 

[Old Rocks]

http://www.nytimes.com/2010/07/04/business/04bptax.html?_r=1

When the Deepwater Horizon drilling platform set off the worst oil spill at sea in American history, it was flying the flag of the Marshall Islands. Registering there allowed the rig’s owner to significantly reduce its American taxes.

The owner, Transocean, moved its corporate headquarters from Houston to the Cayman Islands in 1999 and then to Switzerland in 2008, maneuvers that also helped it avoid taxes.

At the same time, BP was reaping sizable tax benefits from leasing the rig. According to a letter sent in June to the Senate Finance Committee, the company used a tax break for the oil industry to write off 70 percent of the rent for Deepwater Horizon — a deduction of more than $225,000 a day since the lease began.

 

[Old Rocks]

The Washington Monthly

PUTTING OIL INDUSTRY SUBSIDIES ON THE TABLE.... Under the circumstances, it's tempting to think Congress wouldn't have too much trouble ending breaks for the oil industry -- energy giants have enjoyed remarkable generosity for quite a while.

[A]n examination of the American tax code indicates that oil production is among the most heavily subsidized businesses, with tax breaks available at virtually every stage of the exploration and extraction process.

According to the most recent study by the Congressional Budget Office, released in 2005, capital investments like oil field leases and drilling equipment are taxed at an effective rate of 9 percent, significantly lower than the overall rate of 25 percent for businesses in general and lower than virtually any other industry.

And for many small and midsize oil companies, the tax on capital investments is so low that it is more than eliminated by various credits. These companies' returns on those investments are often higher after taxes than before.

"The flow of revenues to oil companies is like the gusher at the bottom of the Gulf of Mexico: heavy and constant," said Senator Robert Menendez, Democrat of New Jersey, who has worked alongside the Obama administration on a bill that would cut $20 billion in oil industry tax breaks over the next decade. "There is no reason for these corporations to shortchange the American taxpayer."

 

[hortysir]

More jobs lost!!!
Fucking brilliant game-plan, Barry O

 

[Old Rocks]

Jeff Merkley - United States Senator for Oregon: Home

Washington, D.C. – U.S. Senator Jeff Merkley (D-OR) joined Senators Robert Menendez (D-NJ) and Bill Nelson (D-FL) today to announce legislation that will close a number of corporate tax loopholes that allow oil companies to avoid paying billions of dollars in taxes. The Close Big Oil Tax Loopholes Act targets a series of tax breaks related to drilling activities and revenues, as well as foreign tax schemes. Menendez estimates that closing these loopholes will amount to more than $20 billion over ten years for taxpayers.

 

[Old Rocks]

More jobs lost!!!
Fucking brilliant game-plan, Barry O

$20 billion in subsidies for oil. Do the same for solar, and watch our economy expand.

 

[hortysir]

Solar and wind, hunh?
Have they found a way to store the electricity generated for days it's not windy or sunny?

 

[Old Rocks]

Ever hear of a thing called the grid? You think that it will be cloudy or have still air over the whole of the three grids in the US at the same time?

We also have big hydro that can take up the slack, or not spill depending on other sources.

Also, ever hear of thermal solar?

How about geothermal?

 

[KissMy]

Solar and wind, hunh?
Have they found a way to store the electricity generated for days it's not windy or sunny?

I got my wind generator up & running last Wednesday evening. Thursday July 8th it cranked out a bunch of power, charged up 12 big batteries & pumped power out to the grid. I was jumping for joy. That was the last time the wind blew. 5 days now & nothing. This is way to long between winds. I may get the solar power going in a few weeks to help balance out the power generation.

 

[hortysir]

Ever hear of a thing called the grid? You think that it will be cloudy or have still air over the whole of the three grids in the US at the same time?

We also have big hydro that can take up the slack, or not spill depending on other sources.

Also, ever hear of thermal solar?

How about geothermal?

So is that a "No, we haven't figured out how to store electricity"??

 

[Mr. H.]

Bam!

Federal Judge Again Rules against Obama on Drilling Moratorium

 

[California Girl]

Interesting how no media are talking about WHY companies are drilling that far out. Just sayin'.

 

[KissMy]

Energy workers speak out - 5,000 in Texas call for change in direction of energy policy

Participants sign a large board addressed to Texas members of Congress on Wednesday during an energy rally at the George R. Brown Convention Center. The event drew employees from large and small energy companies.

More than 5,000 energy sector workers flocked to three Texas rallies Wednesday to protest what they view as an onslaught of punitive measures from Washington that threaten oil and gas jobs and domestic energy supplies.

In speeches and videos, speaker after speaker blasted the White House's temporary ban on deep-water drilling in the Gulf of Mexico, enacted after the massive BP oil spill, and urged lawmakers to reconsider other proposed measures they say would boost taxes and business costs in coming years.

"Mr. President, there are 9 million people who work in this industry, and you are about to hear from every one of them," John Hofmeister, former president of Shell Oil Co., told hundreds gathered at the George R. Brown Convention Center in Houston...

The oil and natural gas industry supports more than 1.7 million jobs in Texas and 9.2 million nationwide, representing 7.5 percent of the U.S. economy, API said.

 

[Samson]

HA

It comes more than six weeks earlier than expected, ahead of congressional elections shaping up as a rout for Democrats. In recent days, the White House has been trying to turn its focus toward jobs and the economy.

Once again, Barak Hussein is a day late and a dollar short.

Gulf Drilling Ban Is Lifted - WSJ.com

 

[topspin]

He's done some damage already, hopefully we'll get a spike in oil price and he takes further hits.