GE Oil & Gas has received an order for the offshore oil and gas industry’s first 20,000-psi (20-ksi) rated deepwater BOP stack and riser systems from Maersk Drilling, according to a news release. The equipment, due to enter service in the first half of 2018, is being supplied for Maersk and BP as part of their joint Project 20K Rigs design program.
BP and Maersk Drilling announced their joint study agreement in February 2013 to develop conceptual engineering designs for a new generation of advanced drilling rigs that will be critical to unlocking the next frontier of deepwater oil and gas resources. Called 20K Rigs, the BP-Maersk Drilling agreement aims to result in deepwater drilling vessels designed to efficiently operate in high-pressure and high-temperature reservoirs up to 20,000 psi and 350 F, according to the release.
GE Oil & Gas will design, test and manufacture the new 20-ksi BOPs and risers at the company’s recently expanded Houston Technology Center in Texas.
While some analysts have said oil demand may never reach pre-pandemic levels, Goldman Sachs said it expected this by the end of the year and predicted Brent would hit $80 and WTI $77 within six months.
Shortfall expected to reach 2.5 million bbl/d by year’s end.
The oil price movement from the last week is somewhat reflective of the difference in the pace of economic recovery between the U.S., where the economy continues to show signs of a robust recovery, and the Eurozone, which has fallen back into recession, says Stratas Advisors in its latest forecast.