• 5 minutes Mike Shellman's musings on "Cartoon of the Week"
  • 11 minutes Permian already crested the productivity bell curve - downward now to Tier 2 geological locations
  • 17 minutes WTI @ 67.50, charts show $62.50 next
  • 2 mins The Discount Airline Model Is Coming for Europe’s Railways
  • 19 hours Newspaper Editorials Across U.S. Rebuke Trump For Attacks On Press
  • 14 hours WTI @ 69.33 headed for $70s - $80s end of August
  • 6 hours Pakistan: "Heart" Of Terrorism and Global Threat
  • 18 hours Batteries Could Be a Small Dotcom-Style Bubble
  • 1 day Corporations Are Buying More Renewables Than Ever
  • 5 hours Saudi Fund Wants to Take Tesla Private?
  • 9 hours Venezuela set to raise gasoline prices to international levels.
  • 6 hours Scottish Battery ‘Breakthrough’ Could Charge Electric Cars In Seconds
  • 15 hours Starvation, horror in Venezuela
  • 5 hours Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 20 hours Don't Expect Too Much: Despite a Soaring Economy, America's Annual Pay Increase Isn't Budging
  • 21 hours France Will Close All Coal Fired Power Stations By 2021
Alt Text

Gulf Coast Refineries Process Record Volume Of Crude

U.S. refiners are churning out…

Alt Text

Why Saudi Oil Production Suddenly Dropped

Oil prices jumped on Monday…

Alt Text

The $80 Billion Megaproject Splurge In Oil

The growing lineup of megaprojects…

Charles Kennedy

Charles Kennedy

Charles is a writer for Oilprice.com

More Info

Trending Discussions

Shell Sets Its Sights On “Unexplored” Oil Basin In Nova Scotia

Shell Sets Its Sights On “Unexplored” Oil Basin In Nova Scotia

Pivoting away from its failed Arctic drilling campaign, Royal Dutch Shell just received the go-ahead to drill in another offshore frontier.

Regulators from the Canadian province of Nova Scotia approved of Shell’s drilling plan to drill in the Atlantic Ocean off the Canadian coast. The blocks that Shell is looking to drill could hold up to 120 trillion cubic feet of natural gas and 8 billion barrels of oil.

The drilling program could take 10 months, and wells will be drilled in 2,000 meters of water depth. The so-called Shelburne Basin off the coast of Nova Scotia is an “unexplored geological region” according to the Anglo-Dutch oil major. Related: Future Of Iraq’s Oil Industry Under Threat

NovaScotia

For Nova Scotia, which is eager to see a boost to its economy, Shell’s exploration program holds out hope. But it has not been met with unanimous support in the province. Related: Present Pain Leading To Future Risks In Oil Markets

One controversial aspect of the plan is the lack of oil spill response equipment on site. Shell’s plans consist of bringing in a capping stack from Norway in the event of a well blowout, with a backup located in Brazil. The company requested 21 days to contain a hypothetical well blowout, but Nova Scotia regulators trimmed that down to 13 days after public criticism. That compares to the 24-hour window that Shell had in the U.S. Arctic, which required a capping stack on site.

Environmental groups criticize the 13 days that Shell has, arguing that not having the equipment on site means that there is no guarantee that Shell will be able to contain a spill within the agreed timeframe. But with a limited number of capping stacks available around the world, a top official at the Canada-Nova Scotia Offshore Petroleum Board (CNSOPB) said having one on hand is not feasible. Related: Statoil’s North Sea Success Provides Hope For World’s Depleted Fields

But that has not swayed the fishing industry in Canada. “The capping stack is still in Norway. The mandate of the CNSOPB is to protect the environment on the Scotian Shelf while exploration drilling takes place. They are simply not doing their job,” said John Davis of the Clean Ocean Action Committee, which represents fisheries.

Shell plans on drilling two exploratory wells, named the Cheshire and Monterey Jack. The company received approval for the Cheshire this week.

By Charles Kennedy of Oilprice.com

More Top Reads From Oilprice.com:




Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News