Going Deeper for More Oil

On September 5, a consortium of three oil-industry giants, Chevron, Devon, and Statoil, announced the results of a well test in the Jack Field located about 270 miles south of New Orleans and 175 miles offshore. It may be the largest discovery since Alaska’s Prudhoe Bay in 1968, and it is almost entirely due to recent advances in exploration technology.

The consortium and other operators in the region are still trying to figure out how to get the oil from the platforms to refineries onshore. The choice is between a pipeline and shuttle tankers. Once in place, a pipeline is reliable and high-volume, but it also is an enormously challenging undertaking at such depths due to pressure and temperature issues. Specially insulated pipes are required to handle the hot oil as it emerges onto the freezing sea floor. And, in fact, barges capable of laying the necessary quantities of pipeline at such depth haven’t even been built yet.
Technology Review