• 2 minutes California to ban gasoline for lawn mowers, chain saws, leaf blowers, off road equipment, etc.
  • 6 minutes China and India are both needing more coal and prices are now extremely high. They need maximum fossil fuel.
  • 11 minutes Europeans and Americans are beginning to see the results of depending on renewables.
  • 4 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 22 hours The Climate Scare Stories Began With Far Left Ideology Per GreenPeace Co-Founder
  • 1 hour Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 23 hours Putin and Xi have decided not to attend the Climate Summit in Glasgow
  • 1 day Biden Sets Target Of 50% EV Share In U.S. Car Sales In 2030
  • 9 hours US intel warns China could dominate advanced technologies By NOMAAN MERCHANT October 22, 2021
  • 1 day "The Hidden Story About California's Container Ship Backlog" via Corbett Report
  • 19 hours Storage of gas cylinders
  • 3 days Two Good and Plausible Ideas about Saving Water and Redirecting it to Where it is Needed.
The Dutch Government Is Gambling Billions On Green Hydrogen

The Dutch Government Is Gambling Billions On Green Hydrogen

Hydrogen power has become increasingly…

Cuba Hoping To Kickstart Offshore Oil & Gas Industry

The Cuban oil company Cubapetroleo, or Cupet, is close to a deal with Angola’s state-run Sonangol to get Cuba’s deepwater energy exploration program up and running three years after work was suspended because of failure to find any oil or gas.

A Cupet official told the British energy news service Argus Media that the two companies expect to begin operations next year on two of four areas of the Gulf of Mexico off the Cuban coast based on an agreement between Cupet and Sonangol signed in 2010. Cuba’s program of deepwater exploration was suspended after several foreign companies’ drilling efforts proved fruitless.

Those companies included Malaysia’s Petronas, Russia’s Gazprom Neft, Spain’s Repsol and Venezuela’s PdV.

Related: Can A Carbon Tax Save Canada’s Oil Sands?

That work had been done with a drilling rig, called Scarabeo 9, which was built in China for the Italian contractor Sapiem, a subsidiary of Eni. Less than 10 percent of the rig’s components were built in the United States, satisfying the criteria of Washington’s embargo on Western companies doing business with Cuba, imposed in 1962.

The bulk of the Cupet-Sonangol deal was closed during a series of meetings last week in the Angolan capital of Luanda during a visit by Cuban Vice President Ricardo Cabrisas Ruiz, the Cupet official told Argus Media. All that is left to be decided is “which of the blocks contracted by Sonangol will be drilled, the sourcing of a rig and the timing of the start of work,” the official said.

Related: ExxonMobil Could Turn Guyana Into A Major Oil Producer

Ruiz told Angolan state media, however, that production could begin as early as next year. “The first hole would be ready for production between 2016 and 2017, depending on the location of the platform,” he said after meeting with Sonangol CEO Francisco Lemos Maria.

Cuba is in the process of opening up its economy to foreign investment, a process that could accelerate following the recent thaw in relations between Havana and Washington. On July 20, the two countries reopened their embassies, but the U.S. embargo remains in place for now.

The U.S. Geological Survey, which recently examined the potential for Cuba’s offshore energy reserves, reported an estimated 4.6 billion barrels of crude oil and 9.8 trillion cubic feet of gas. About 75 percent of that is situated within 50 miles of Cuba’s coast.

Related: Schlumberger Vs. Halliburton: Which Is The Better Buy Right Now?

Before the embargo, U.S. companies had stakes in several Cuban oil refineries, but today such companies are showing little interest in investing in the island’s energy industry, despite invitations from Havana, the Cupet official said.

“We want to ensure all is in place for interested companies if and when the United States lifts its damaging economic embargo on our country.”

It may take months if not years to reach any agreement to lift the U.S. embargo because, despite the normalization of relations between Havana and Washington, the two governments still are at odds on many issues, including whether the United States should return its naval base at Guantanamo Bay to Cuban control.

“It is important we continue to fight for the lifting of the trade embargo and financial restrictions,” Ruiz said.

By Andy Tully of Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News