ExxonMobil Makes Huge Oil & Gas Discovery in Gulf
As the Obama administration slowly reopens the Gulf of Mexico to offshore exploration and production activities, the region’s significance as a major reserve for carbon resources becomes better understood as key to U.S. energy security. ExxonMobil has made three huge discoveries—two oil and one natural gas—in the Gulf of Mexico, and believes there is plenty more where that came from.
ExxonMobil estimates the two newly discovered deepwater oil wells to contain 700 million barrels of crude oil. "Seven hundred million barrels doesn't happen very often," John White, an analyst at Houston-based Triple Double Advisors in Houston, said. "That's a lot of oil."
The region of the Gulf where the discovery was made—the lower tertiary geological formation—in believed to hold upward of 15 billion barrels of oil. The biggest discovery made in this region in recent years is BP’s Kaskida play, which is estimated to hold 3 billion barrels of oil.
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"(The discovery) speaks to the fact there are resources in the Gulf and if we have a tax and regulatory environment that will encourage us to find and produce our own domestic oil, the industry will respond," said Mark Routt, an energy industry consultant with KBCAdvanced Technologies.
ExxonMobil holds a 50 percent stake in the new wells, the other 50 percent of which is shared between Eni Petroleum and Petrobras. However, at a water depth of 7,000 feet and with government regulations still squeezing Gulf activity, production from the wells could be years away.
Hydrostor receives $4m funding for A-CAES facility in Canada
Hydrostor has received $4m funding to develop a 300-500MW Advanced Compressed Air Energy Storage (A-CAES) facility in Canada.
The funding will be used to complete essential engineering and planning, and enable Hydrostor to plan construction.
The project will be modeled on Hydrostor’s commercially operating Goderich storage facility, providing up to 12 hours of energy storage.
Hydrostor’s A-CAES system supports Canada’s green economic transition by designing, building, and operating emissions-free energy storage facilities, and employing people, suppliers, and technologies from the oil and gas sector.
The Honorable Seamus O’Regan, Jr. Minister of Natural Resources, said: “Investing in clean technology will lower emissions and increase our competitiveness. This is how we get to net zero by 2050.”
A-CAES has the potential to lower greenhouse gas emissions by enabling the transition to a cleaner and more flexible electricity grid. Specifically, the low-impact and cost-effective technology will reduce the use of fossil fuels and will provide reliable and bankable energy storage solutions for utilities and regulators, while integrating renewable energy for sustainable growth.
Curtis VanWalleghem, Hydrostor’s Chief Executive Officer, said: “We are grateful for the federal government’s support of our long duration energy storage solution that is critical to enabling the clean energy transition. This made-in-Canada solution, with the support of NRCan and Sustainable Development Technology Canada, is ready to be widely deployed within Canada and globally to lower electricity rates and decarbonize the electricity sector."
The Rosamond A-CAES 500MW Project is under advanced development and targeting a 2024 launch. It is designed to turn California’s growing solar and wind resources into on-demand peak capacity while allowing for closure of fossil fuel generating stations.
Hydrostor closed US$37 million (C$49 million) in growth financing in September 2019.