UNSCAM - Natural Gas - Pricing - Pipeline - Tarsands - Atlantic Accord - Oil - Husky - Newfoundland Labrador

UNSCAM: Texan Is Indicted in Iraq Oil Sales by Hussein Aides Julia Preston, Judith Miller, April 15, 2005

A Houston oil trader and a Korean lobbyist were charged in connection with illegal gains involving the U.N. oil-for-food program. [. . . . ]

High oil prices here for years, Dodge says -- Oilpatch will benefit: Bank intends to raise rates over time, governor says Jacqueline Thorpe, Financial Post, April 15, 2005

"What the indication of that long end of the curve is, is that we ought to have in this country over the next few years relatively higher levels of investment in the petroleum industry than we might have expected a couple of years ago," Mr. Dodge said.

[. . . . ]




Pipeline fight has complex ramifications -- Natural gas prices, economy and U.S. relations involved

Pipeline fight has complex ramifications -- Natural gas prices, economy and U.S. relations involved Claudia Cattaneo, Financial Post, April 11, 2005

Canadians may be tempted to brush off the fight between TransCanada Corp. and Enbridge Inc. over which company will build the US$20-billion Alaska natural gas pipeline. It would be a mistake to view it as a self-serving contest between giant energy companies.

[. . . . ] TransCanada, Canada's top pipeline company, says it should build the pipeline because its predecessor company won the rights after a lengthy public hearing three decades ago. With that decision in hand, TransCanada says it can build the line more quickly than anyone else.

On the other side is rival Enbridge Inc., which is aligned with Alaska's reserve holders ExxonMobil Corp., BP PLC and ConocoPhillips. They say the NPA is antiquated and open to legal challenges. They are proposing a new project, to be permitted under new rules that would better reflect current conditions. [. . . . ]

Pipeline could boost price of molybdenum

Lukoil files suit against Calgary partner




Oil, Offshore Newfoundland Labrador, Atlantic Accord, Technip, Husky & More

Publius Pundit via Ezra Levant on the Shotgun -- RIOTS SPREADING IN CHINA April 13, 05 and filed under Revolutions / Asia / China

Thomas Lifson at American Thinker has an important item out about growing unrest in China. . . . .

News has St. John's buzzing Jon Harding, Financial Post, April 06, 2005

[. . . . ] Yesterday's news that Chevron Canada Resources and its joint-venture partners took a major step toward developing Newfoundland's fourth offshore oil project -- alongside Hibernia, Terra Nova and White Rose, all in the same area of the Atlantic about 350 kilometres southeast of St. John's -- left the bar's manager, Celeste Parsons, rethinking her staffing contingent and anticipating busy nights ahead. [. . . . ]

Chevron Canada, the designated operator with a 28% stake in the Hebron, Ben Nevis and West Ben Nevis offshore oilfield project, announced its partners ExxonMobil Canada Properties (37.9%), Petro-Canada Ltd. (23.9%) and Norske Hydro Canada Oil and Gas Inc. (10.2%) have signed a key agreement to push the proposal forward.

Yesterday's release said the group will explore building a "gravity based" structure anchored to the ocean floor, similar to Hibernia and different from the floating platforms at Terra Nova and White Rose. That would mean more jobs for Newfoundland's struggling economy, Premier Danny Williams said. [. . . . ]

I decided to do a little digging to try to find out more about companies involved in offshore oil projects off the east coast.



The Atlantic Accord is important to Newfoundland Labrador, but it has implications for all Canadians. What follows is some information; there is much more, if you want to spend a few hours searching and reading.

I am still puzzled as to how much work, as opposed to tax money and a few other benefits, will come the way of Newfoundlanders. See what you think -- just from the following.





Husky Energy -- a Li Ka Shing / Li kashing / Li Ka-shing integrated energy company "currently focused in Western Canada, offshore Eastern Canada as well as in China."

Husky's common shares commenced trading on The Toronto Stock Exchange on August 28, 2000 under the symbol HSE. HSE is included in the S&P/TSX Composite, S&P/TSX Canadian Energy Sector, and S&P/ TSX 60 indices.

[. . . . ]


Husky Energy: White Rose Project

Husky is the operator and has a 72.5 percent working interest in the White Rose offshore oil project, while Petro-Canada holds 27.5 percent. It is the third major offshore project off Newfoundland in the Jeanne d'Arc Basin following Hibernia and Terra Nova.

. . . . December 2001, when the project received regulatory approval from the Canada - Newfoundland Offshore Petroleum Board . . .

. . . SeaRose FPSO (Floating Production Storage and Offloading) vessel [. . . . ]

Husky Energy Announces Prince George Oil Refinery Upgrade March 22, 2004 -- You may download several .pdf files from the Husky website for more information.


Husky Energy: White Rose Project

Husky Energy is the Operator of the White Rose offshore oil project. . . .

The field consists of both oil and gas pools, including the South White Rose oil pool. The oil pool covers approximately 40km2 and contains an estimated 200-250 million barrels of recoverable oil. [. . . . ]

Husky Energy – Operator:

Husky Energy holds 72.5% interest in White Rose and is the Operator; Petro-Canada is the other owner with 27.5%. After Project Sanction in March 2002, Husky awarded the contract to build the Floating Production Storage and Offloading (FPSO) vessel to Samsung Heavy Industries, the contract to design and fabricate the turret and mooring system to SBM IMODCO, and the contract to design and build the topsides for the FPSO to Aker Maritime Kiewit Contractors. Most recently, Husky has awarded the contract for the subsea production system to Technip CSO Canada Ltd. [. . . . ]

. . . FPSO Topsides: Aker Maritime Kiewit Contractors (AMKC) was awarded the contract to design and build the topsides for the FPSO. Topsides fabrication commenced in the third quarter of 2002. This will see approximately 60 percent of the topsides fabrication taking place in the Marystown Shipyard in Marystown, Newfoundland and Labrador with the remainder being built elsewhere in Newfoundland and Labrador and Atlantic Canada.

SBM-IMODCO – FPSO Turret:
SBM-IMODCO of Houston received the contract for the design and fabrication of the FPSO turret and mooring System. The turret is the connecting point between the FPSO and the subsea systems and is the pathway for getting oil from the reservoir into the vessel. . . . . This contract also includes a two phase testing program which was carried out at the Institute of Marine Dynamics in St. John’s, Newfoundland.

Samsung Heavy Industries – FPSO Hull:
Samsung Heavy Industries of South Korea is responsible for the design, fabrication, construction and delivery of the 940,000 barrel storage capacity hull complete with accommodations, helideck, topsides support stools and turret. . . . ..

Technip CSO Canada Ltd. – Subsea Production System
Technip CSO Canada Ltd. (TCCL) has been awarded the contract for the design, supply and installation of the subsea Production System. . . . 42 kilometres of . . . . The contract also contains an option for TCCL to carry out the installation of the mooring system for the White Rose FPSO

Scroll down for information on Technip, the Paris based company with world-wide reach. A search brought up Technip Asia branches (Myanmar / Burma and Malaysia) and there is a contract with Brazil's PetroBraziliera. Who owns Technip?

Technip and Subsea 7 awarded contract for deepwater development in Brazil Mar. 29, 05, Frank Hartley, Drilling/Production Editor

Petroleo Brasileiro SA (Petrobras) awarded Technip and Subsea 7 an engineering, procurement, installation, and construction contract worth around $500 million. . . . in the Roncador field in the Campos basin
[. . . . ] Subsea 7, based in Niteroi in the state of Rio de Janeiro [. . . . ]

Brazil News 24/7 -- Paris-based Technip Gets Major Contract from Brazil's Petrobras

Technip, in association with Subsea 7, has been awarded by Petróleo Brasileiro SA ... [. . . . ]

Technip Asia Group Of Companies -- Technip Asia Group of Companies, Myanmar -- formerly Burma

The Leading Integrated Offshore and Onshore Engineering Contractor in the Asia Pacific Region [Myanmar / Burma ]

Someone or half a dozen people from Myanmar have visited this site just lately. I wonder why anyone in Myanmar would be interested.




Technip Asia Group Of Companies -- Malaysia



Technip (NYSE: TKP [ADR]) 92973 Paris, La Défense 12, France

[. . . . ] Technip has become one of Europe's largest engineering, technologies, and construction firms. The company designs and builds drilling platforms, gas processing plants, refineries, and petrochemical plants. It has merged subsidiary Coflexip into the group and changed the group name from Technip-Coflexip back to Technip. [. . . . ]

Chairman and CEO Daniel Valot
SEVP Finance and Control; Director Olivier Dubois

[. . . . ] Top Competitors
* Bechtel
* Halliburton
* Stolt Offshore

Technip is in partnership with Bechtel in at least one contract in Saudi Arabia, so its competition seems to be Haliburton and Stolt. I checked further and it is involved with Haliburton in another contract. Obviously, more research is necessary.



Technip in Saudi Arabia

Rigzone: Technip Wins Gas Plant Contract in Saudi Arabia

Saudi Aramco has awarded a contract to the consortium of Technip and Bechtel. This contract is for a grass-root gas plant as part of the Khursaniyah, Fadhli and Abu Hadiyah hydrocarbon field development program. The goal of the program is to substantially increase oil and gas production in Saudi Arabia. [. . . . ]

Search: Saudi Arabian affiliates of Technip and Bechtel, Saudi Aramco [listed under Technip as a Related Company ]



Technip Offshore Canada Limited (TOCL) -- a Canadian office for this company's link leads to Technip -- "Ingénierie et construction d'installations industrielles"

In September 2002, TOCL was awarded the Subsea Production System EPIC (Engineering, Procurement, Installation and Construction) contract from Husky Oil Operations Ltd. for the White Rose Development, offshore Newfoundland.
TOCL (formerly Coflexip Stena Offshore Newfoundland Limited) has been based in St. John’s, Newfoundland, since 1997

TOCL forms part of Technip Offshore, the offshore branch of Technip. With a workforce of about 18,000, Technip ranks among the top five in the field of oil and petrochemical engineering, construction and services. Headquartered in Paris, the Group is listed in New York (NYSE:TKP) and in Paris (Euronext: 13170). http://www.technip.com/

Is it any wonder France did not want to join the US in Iraq or that our government concurred with France? Business reasons. [. . . . ]




Who own the seabed? Taxpayers? Leaseholders? If leaseholders, what body grants the leases?

Husky Energy: Current News Releases

March 28, 2002 Owners Approve White Rose Oilfield Development
April 12, 2002 White Rose awards development contracts for Hull, Turret, and Topsides
[Floating Production Storage and Offloading (FPSO) vessel to Samsung Heavy Industries
the turret and mooring system to SBM IMODCO the contract to design and build the topsides for the FPSO to Aker Maritime Kiewit Contractors.]

June 6, 2002 Husky Energy Inc. announces East Coast exploration program and drilling rig contract
June 17, 2002 Husky Energy Inc. Announces Shuttle Tanker - Time Charter Contracts for White Rose Offshore Project
September 4, 2002 Husky Energy Awards $250 Million Subsea Contract For White Rose [Technip CSO Canada Ltd. – Subsea Production System, which is the Canadian office of Technip -- ]
September 20, 2002 Husky Energy Concludes Its 2002 Exploration Program In The Jeanne d’Arc Basin
June 3, 2003 Husky Energy announces $2 million Chair in Oil and Gas Research at Memorial University of Newfoundland [paid for by ?]
September 30, 2003 Husky Energy Announces Results of White Rose Delineation Wells
January 08, 2004 Naming Ceremony of The Sea Rose FPSO for Canada East Coast Offshore
April 6, 2004 Husky Energy’s SeaRose FPSO Arrives in Marystown [set up a Canadian office for Technip, I would imagine]
May 31, 2004 Husky Energy Seeks Expressions of Interest to Develop White Rose gas
August 9, 2004 Husky Energy Announces White Rose Production Test Results
March 22, 2005 Naming Ceremony for Husky Energy’s First White Rose Shuttle Tanker

Canada – Newfoundland and Labrador Benefits -- hinge on the Atlantic Accord

Industrial benefits resulting from offshore petroleum projects range from taxation and royalty revenues, which benefit all residents, to employment and business development opportunities, which benefit specific companies and individuals.

Consistent with the objectives for the Atlantic Accord, . . . .

[. . . . ] Husky is proactively looking for ways to increase the level of local and Canadian participation in keeping with the spirit and intent of the Atlantic Accord legislation. . . . throughout the life of the project. [. . . . ]

Digression:

CPC: Liberal MPs Deny Consent to Implement Atlantic Accord -- via Jack's Newswatch

“The Atlantic Accord was a Conservative initiative. . . . said Harper. “Today, the Liberals revealed their real agenda by stopping the Atlantic Accord from moving forward. They never intended to honour the Accord, and they are now looking for any way out.”

Read the fine print: Some of the benefits listed for Nfld-Labrador during a "10 to 15-year operating phase". Who benefits?

* offices

* direct employment with high quality jobs. (Think about this -- combined with the next one.)

* establishment of local capability (geosciences, engineering, procurement, FPSO, subsea drilling and support -- or will there be an influx, then an exodus of those capable of this specialized work? )

* management in St. John's, with fabrication being carried out in Newfoundland and Canada (How much is actually going to be done in Nfld-Labrador? These are international companies on contract in Canada for a project.)

* taxes and royalties



After reading all the above, I don't see many Newfoundlanders, people who used to fish, for example, getting high end jobs with this. I see a number of people coming to Newfoundland Labrador for the life of the project -- and then leaving.