Sunday, June 27, 2010

BP oil spill update

Well, It is now 69 days into the Deep water horizon oil spill, What's happening?

  • BP's Oil cap is still in place although the amount of oil collected is less than half than is leaking from the sea floor.
  • The efficiency of the whole oil collection operation is still in question. Never mind that an underwater robot is somehow able to knock off the cap, while filming! There is no emergency plan if a storm were to come near the operation, Even though it is hurricane season and there is a tropical storm(alex) on the way; Official procedure is just to abandon collection of oil if there is a storm.
  • BP has replaced their CEO in a futile attempt to placate the American public. After BP CEO Tony Hayward's recent inconsiderate remarks about the spill "eating up his personal time", being caught on his luxury yatch sipping mohitos in the heat of the crisis, and his frankly awful gaffe at the hearing in congress

    , and not to mention unleashing the obama on himself, the British dude had to go. He was replaced by a man who BP calls a real "southern guy" someone who was "affected" by the spill like the rest of us, Mr. Bob Dudley
  • There have been attempts from the US. to gain more control. BP has been essentially forced to not pay dividends to its shareholders and set up an independent entity with 20 billion dollars in funds for compensation
  • Their public repoire has gotten so low that their own twitter account is supposedly being eclipsed by one dedicated to mocking them.They are on a very weak limb and can be pushed around by anyone marginally influential. Kevin Costner was able to get BP to buy 32 of his crap centrifuge things that separate oil from water. They were basically badgered into submission for alabama , florida and louisiana for money to be used in advertisments(stupid ones at that)

  • BP is still a Supermajor oil company, Even with all the money they are supposed to be shelling out, They will still be at a profit.The company is probably still run with finances being the first and foremost priority.

    The gulf is seemingly first and foremost a financial headache, then a legal one and then maybe a social one. That is why for example when a crowd-sourcing effort such as InnoCentive comes up with nearly 1000 usable ideas for review on a task that BP itself set up for them. The Oil giant can totally ignore the effort with only the feeblest excuse and not be straying from its goals.

  • Its gotten so bad that people are starting to question BP's Value. Gulf Fund Administrator, Kenneth Feinberg might say that there is no sense bankrupting BP but that stand point along with other related ones are now questionable.

    Should we continue pressuring British Petroleum even though we are causing damage to the cooperation? Should America begin planning on seizing BP assets in America(in case BP wont pay) to ensure that the damage to the gulf is fixed even though this might (at least temporarily) actually bankrupt the company? Should the US government have put a moratorium on deep sea drilling to re-assess the dangers involved and revamp regulation in the sector even though we are now putting some hurt on an already fragile industrial sector?e.t.c.

UPDATE: The flow of oil in the well has now been officially really capped

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