Oil leaks as a result of Hurricane Ida
On Monday, the United States Coast Guard said that it was looking into roughly 350 complaints of oil spills in and along the Gulf of Mexico in the aftermath of Hurricane Ida.
The 150-mile-per-hour (240-kilometer-per-hour) gusts of Ida caused havoc on offshore oil production platforms and onshore oil and gas processing complexes. After the storm made landfall on Aug. 29, over 88 percent of the region’s offshore production remained shut down, with more than 100 installations remaining vacant. The Coast Guard has conducted flyovers off the coast of Louisiana in search of spills. It is disseminating information to federal, state, and municipal agencies cleaning up the sites.
Flights on Sunday discovered signs of a new leak from an offshore well, and another breach responsible for a miles-long streak of oil was said to be no longer operational. It stated that the third report of oil near a drilling platform could not corroborate. Talos Energy Inc (TALO.N), an offshore oil producer that hired divers and a cleanup crew to respond to an oil spill in Bay Marchand, said ancient pipelines broken during the storm were apparently to blame.
According to Coast Guard spokesman Lieutenant John Edwards, the source of the Bay Marchand leak is still unknown. He stated that a Coast Guard-led team “would be looking into all potential sources to guarantee any future risk addressed.
Responsible for any spills
According to spokesman Brian Grove, the corporation did not own the pipelines and discontinued producing operations in the area four years ago.
According to the Coast Guard, an offshore well owned by S2 Energy was spilling oil roughly five miles (8 kilometers) distant from the Bay Marchand location. The company informed the Coast Guard that the wellhead had been secured and no longer releasing oil.
The Louisiana Department of Environmental Quality (LDEQ) stated that it collaborates with the Coast Guard. The United States Environmental Protection Agency will order corporations responsible for spills to stop and clean up emissions.
If necessary, the USCG and the EPA can activate federal financial channels to cover mitigation expenses, the LDEQ stated.
Keen to keep oil prices
The head of Russia’s No. 2 oil producer, Lukoil, said that the prices in the $65-$75 range were “comfortable” for customers. The OPEC+ group of key oil-producing nations was working to keep those prices stable by restricting output.
Vagit Alekperov said in an interview with the Kommersant daily published on Tuesday that market conditions would determine oil output limitations.
Lastly, Lukoil has already stated that it may sell its stake in Iraq’s West Qurna-2 oil project. According to Alekperov, Lukoil is still talking with the Iraqi government about remaining involved in the project.
- Trading Instrument
Get the latest economy news, trading news, and Forex news on Finance Brokerage. Check out our comprehensive trading education and list of best Forex brokers list here. If you are interested in following the latest news on the topic, please follow Finance Brokerage on Google News.