Groups sue to stop seismic oil exploration in Arctic seas

Navtej Kohli found an interesting piece of news on Associated Press.  Alaska Native and Environmental groups have filed a lawsuit against Shell Oil Co. and BP PLC to stop seismic oil exploration in Arctic seas. Below is the detailed report:

Alaska Native and Environmental Groups sued to stop exploration by oil companies this summer in Arctic waters frequented by whales, seals and other marine species.
The groups are challenging federal permits that allow Shell Oil Co. and BP PLC to search for oil and gas using powerful acoustic devices that can harm a variety of marine animals.
The technology, known as seismic exploration, is used to determine the geologic makeup of the sea bed.
“The federal government is rushing to approve a burst of new seismic activity without completely studying the effects on marine life,” said attorney Clayton Jernigan of Earthjustice. The nonprofit law firm’s Juneau office filed the lawsuit in U.S. District Court in Anchorage.
The acoustic signals could disrupt tens of thousands of animals as they feed, socialize and travel through the seas of northern Alaska, according to the lawsuit.
This is especially worrisome to Alaska Natives in the region who depend on the marine mammals for food and worry they will desert traditional hunting areas for quieter waters.
“Our culture revolves around subsistence, with numerous activities and festivals centered around whaling,” said a native. “When they’re shooting the seismic gun, we definitely see marine mammals scatter.”
According to Jernigan, the federal government violated U.S. environmental protection laws because it failed to study all the effects before permitting the companies to project “noises as loud as a rocket or a volcanic eruption” into the sea.
The Minerals Management Service and National Marine Fisheries Service, both of which grant permits, are defendants in the suit. Officials at both agencies declined comment, saying they were still reviewing the complaint.
Federal officials said at a public meeting in April that their regulations ensure the seismic work disrupts as few animals as possible.
Companies must watch for marine mammals by plane and ship during seismic tests and shut off the air guns if an animal is too close. They also must make sure the tests do not interfere with the spring and fall whale hunts.
BP spokesman Steve Rinehart said his company’s activities in the Beaufort Sea take place in shallow waters well south of bowhead migration path.
Alaska Native and environmental groups have partnered in at least four lawsuits to block leasing, exploration and drilling. Plaintiffs in the most recent suit include the Alaska Wilderness League, Pacific Environment, Natural Resources Defense Council and REDOIL, an indigenous lands group.
The plaintiffs have asked U.S. District Court Judge John Sedwick for a preliminary injunction, which would stop all seismic work until the court makes a final decision.
Shell and BP did not immediately comment on how the lawsuit might affect their plans this summer.

Courtesy: Associated Press

Navtej Kohli on hiring pattern in Energy Sector

Who gets hired in Energy Sector? Navtej Kohli spill the beans…

Recently energy sector have seen massive influx of people with technical degrees like BS, MS or PhD in Engineering, math, or other hard sciences. This prevalence of people with technical degrees in energy sector is largely due to self-selection. A part of reason is - individuals aspiring to make their career in energy sector were also keen to get the taste of related topics and focus on them academically. Moreover the employers too hail from engineering background thus, are more interested in hiring engineers.
This tendency is most characteristic of hiring preferences among oil companies, oil services firms, refineries, pipelines, grid operators, equipment manufacturers, energy services companies, and utilities. These firms want to hire people who have their heads around how their technologies work—people who can master the jargon quickly, and who can fit into their culture.
However, there are certainly many people with liberal arts backgrounds doing great work at these types of companies. A non-technical degree does not in any way shut you out of any energy sector career path; it simply makes you slightly more unusual in the eyes of some interviewers. If you can craft a compelling story about why you are passionate about and deeply understand the energy world, your degree becomes far less relevant. In addition, if you are applying for a finance, economics or accounting job with a degree in those fields, you are also less subject to scrutiny about your knowledge of geology, electrical engineering, or chemistry. Once you have a couple years of experience in the industry, that serves as a degree equivalent and you will have established your credibility.
Many of the service jobs in energy are interested in simply hiring smart people who demonstrate an ability to learn a new industry quickly. Energy consulting, banking, and investing jobs often screen for nothing different than their counterparts in other industries. Similarly, the newer, alternative energy companies are often heavily filled with people who studied liberal arts, economics, and government in college. These companies are progressive in terms of their business strategies, and usually this comes across in their approach to hiring as well. In addition, nonprofits typically first look for passion and commitment to advocacy work before they look for technical background.
Apart from academic background, traditional energy employers are also keenly interested in people who have a strong connection to the geographic region in which the company is located. These companies like to hire for the long term, so will often grill out-of-state candidates about why they would want to move to, for example, Houston or Atlanta.

- Navtej Kohli

Is solar power actually viable?- by Navtej Kohli

Navtej Kohli throws some light at the viability issues of much hyped solar energy. As the world is looking at alternative sources of energy, solar power is looked upon as the most viable source.

At present solar energy is perhaps the vastly dominant source of energy we use. It just comes in a form we don’t really contemplate, which is oil. The first step of oil formation is the photosynthesis of sunlight by extremely small plankton like plants millions of years ago.

These days, we need a quicker way to convert sunlight into energy. There is more than enough energy in a day’s worth of sunlight to meet our energy needs for a year. The question is how to harness it in an efficient and cost effective manner. Currently, we are failing when it comes to both elements, but are making progress.

The solar panel has always been the prime component of the solar industry, but it has one major flaw. It is incredibly inefficient. It traditionally converts 6 to 10 percent of the energy hitting it in sunrays into usable energy. Recent trends have pushed this into the mid teens. The really exciting news is new technology could push this number into the 40 to 60 percent conversion rates. If this occurs, the viability of solar becomes much greater because a smaller amount of panel is needed to produce vastly more energy.

Another area where solar is making jumps is in new products. The solar panel has its limits, but few every thought beyond it. Now various companies are. The advent of solar dots is exciting a lot of people. Solar dots work by converting the energy in sunlight at a molecular level.

The dots are actually quantum nano dots. Yes, nano. They work by forming a crystalline structure of certain materials. When sunlight hits them, they release multiple electrons. These electrons, of course, form an electrical current that can be harnessed for use. Since the dots are on such a small scale, they could literally be imbedded in just about any structure exposed to the sun.

Solar dots are expected to be cheap and easy to make. The big, bulky solar panels will most likely become a thing of the past. With a high rate of efficiency and low cost, they will truly make solar power a viable energy platform for our needs.

So, when can we expect to see these dots on the market? It is unclear. No commercially viable product has been put together yet as there are hurdles to jump. The hurdles include how to capture the currents being created and how to deal with reliability and such. While the future is certainly bright, pun intended, it will probably be a few years yet before we all become very fond of solar energy.

Oil Company to Drill Two Wells in West Nile - by Navtej Kohli

Navtej Kohli, President Granox Explorations, read an interesting report on the internet about oil exploration efforts going on in West Nile region. Here is what the report says:

NEPTUNE Petroleum Uganda, the company exploring for oil in the West Nile region, will drill two test wells in the Rhino Camp basin by the end of the year.

The firm’s executive chairman, Peter Kingston, said this followed the successful completion of two-dimensional seismic surveys on February 12, 2008.

In a statement issued last week, Kingston blamed the delay in constructing the wells on “time consuming” procedures that need to be followed with the Government and the company’s partners abroad.

Neptune, which is a subsidiary of Tower Resources, an oil and gas exploration company based in London, has the sole license for “exploration area 5″ which covers parts of Arua, Nebbi, Moyo and Yumbe districts. The area covers about 6,040 square kilometres.

Kingston said although the survey had confirmed structural features for oil, more processing would be done to precisely locate drilling locations with hydrocarbon indications.

He lamented that the seismic operations in Uganda, unlike in Namibia where the company was engaged in similar explorations, had been more complex given its onshore location.

Kingston applauded the local communities for valuing the social investments made by the company and pledged that they would be further developed during the drilling phase.

Neptune is promoting education, road safety and health initiatives in the area.

Recently, the firm spent over sh30m to renovate and furnish Arua’s public library.

What future holds for Bio-fuels Market?- Navtej Kohli

Read below Navtej Kohli’s review of how the rapidly increasing bio-fuels market can facilitate high-performance.

Bio-fuel market is growing rapidly. Having realized its hidden potential, many companies are now undertaking new bio-fuel ventures. Navtej Kohli brings an Insight of this potential source of energy.
Bio-fuels have been around for a long time, but only recently have they started attracting serious attention as a viable energy source.

The growing concern about climate change, the desire for green agendas, concerns about energy security and an emphasis on local agriculture are some of the well-known drivers for the development of bio-fuels. Governments, including those of the United States and European Union, have started setting aggressive policies and targets, prompting even the most skeptical of energy companies to develop their own bio-fuels agendas and strategies. Private investors such as Bill Gates and Vinod Khosla and numerous private equity firms and institutional funds are fueling the bio-fuels boom by making substantial capital investments in new bio-fuels ventures.
As a result, a global industry is emerging around the production, processing and distribution of bio-fuels. As momentum for bio-fuels grows, I believe that only those companies that can navigate the patchwork of different incentives and tune into the dynamics of the ever-changing market will be successful. Operating in the bio-fuels sector is placing a bet on the unknown. High performers will improve the odds by understanding the risks and focusing on how to access the rewards.

The evolution saga of Geothermal energy- by Navtej Kohli

After making a big fortune in oil explorations, Navtej Kohli is instinctively drifting towards other alternative sources of energy. On this Navtej Kohli blog, he shares some interesting facts about Geothermal energy.

The origin of geothermal energy can be traced back to 1000 years ago. Though, most of us view geothermal energy as a relatively new form of alternative energy. But in reality it is quite the contrary.

The term Geothermal is a blend of two Greek words, geo i.e. earth and therme i.e. heat, which together means “earth heat”. Geothermal energy is an early phenomenon exploited by some of the most primitive human civilizations.
Geothermal energy can be derived from the reserves of water located in the Earth’s layer of magma, a super hot substance that springs directly form the earth’s core. This super-hot magma smoldering at around 9000 degree F. heats these water reserves to 700 degrees F. generating a natural source of hot water. Then, these so called geothermal reservoirs can either be drilled or erupt naturally through fissures in the earth surface. Such natural formations are also known as geysers or hot springs.

The first traces of geothermal energy were discovered when Native Americans used geothermal water found in hot springs to cook and for use as medicine (around 10000 years back). Roman civilization too exploited geothermal energy to heat their houses and also to cure various ailments pertaining to skin and eyes. The geothermal waters found in geysers or hot springs were also used as natural bathing places by most of the ancient civilizations.

Even today France is using this form of alternative energy to heat their houses. Though, the actual power of geothermal energy is yet to be discovered, researchers believe that there is a lot this energy, stored in the earth’s crust can do. With this, they are constantly striving to discover new ways of utilizing this perpetual source of energy.

Indo-German collaboration for carrying out oil exploration studies in Ganga basin - Navtej Kohli

Navtej Kohli on Indo-German collaboration for undertaking studies on oil exploration in Ganga Basin.

India and Germany will mutually carry out geophysical studies of importance in the Ganga basin for oil exploration. This Indo-German alliance is funded by the DFG of Germany and the Department of Science and Technology, a project covering the North-South corridor in India.

The five-day long Indo-German workshop held recently this month touched some major research projects covering the North-South corridor and the East-West along the country.

The workshop also laid emphasis on electro-magnetic induction studies for complex geological problems. President of reliance Reliance Industries Ltd. Mr. I.L. Budhiraja said the induction method was gaining importance in recent years in the fields of oil, geothermal and mineral exploration. Every year the oil industry spends millions of dollars for offshore electro-magnetic surveys, absorbing the consultancy and data acquisition services by multinational companies.

The workshop witnessed presence of over 80 participants, ten from Germany and 70 from India, representing 26 different institutions.

The Germany agreed to direct young Indian researchers and said they would also like to send German students to India for several collaborative programmes.

Rising Oil Prices with US recession - Navtej Kohli

Rising Oil Prices with US recession - Navtej Kohli

Oil continued its relentless climb on Wednesday, hitting a new, record high of $110 a barrel on Wednesday.

Rising oil prices are in stark contrast to a record low for the dollar against the euro on Wednesday when the European currency briefly lingered above the $1.55 for the first time. (See: ” IMF Meddles in Market, Euro Soars”)

Investors are trying to find a safe haven in black gold as the dollar continues to hit new lows and speculation continues that the U.S. Federal Reserve will continue to cut interest rates next week. Light, sweet crude for April delivery rose $1.17 to settle at $109.92 a barrel on the New York Mercantile Exchange after earlier rising to a new trading record of $110.20.

Chasing the price of crude is the price per gallon of gasoline which, according to the Automobile Association of America and the Oil Price Information Service, hit a new record when it rose by 1.9 cents overnight to $3.246 a gallon.

Navtej Kohli - Pros & Cons of Seismic Surveys

Navtej Kohli - Pros & Cons of 2D and 3D Seismic Surveys ( Navtej Kohli - President, Granox Ltd)

I am trying to elaborate on the advantages and disadvantages of using the geophysical technique in the oil exploration industry. A geophysicist would be able to give a more “expert” answer, but I will offer what opinions and experience I have.

The problem with most of the subsurface data we have to work with in oil exploration is, that they are all indirect evidence. For example, we cannot directly measure the porosity or fluid content of rocks in the wellbore, so we run electric logs in the well and bombard the rock formations with gamma rays, measure the resistivity, etc. From these measurements of indirect properties, we try to calculate the porosity of the reservoir and what kind of fluid may be in it, but we aren’t measuring these things directly, we are only extrapolating an answer based on a bunch of related but indirect data. Over time, many of these kinds of data have proven to be worthwhile and sometimes accurate, but it is wise to remember what these data really are. The only “real” subsurface data (in my opinion) are cores taken of the rock formation and drill cuttings of the rock formations, and they are limited in amount and the scope of what they can tell.

The seismic method suffers from the same kinds of problems. You cannot directly record or measure subsurface structure, porosity, the presence of hydrocarbons, or anything else really useful - all you are measuring with seismic is the time it takes for energy to be reflected off of some subsurface feature and return to the surface. You can also extract some more information from the nature and shape of the waveform data that come back, but again these are very indirect measurements.

With that general limitation in mind, the practical pros and cons of seismic (from my point of view) are these:

PROS:

1. It is a way to gather subsurface data over a large area in a short amount of time. In rank basins where there are few drilled wells, it may the only way to obtain any subsurface information.

2. Seismic (especially 3D) when used appropriately can reduce the risk of drilling wells.

3. The data are acquired digitally and can be worked off site by even small companies and individuals.

4. Recent technological advances have vastly improved the accuracy and usefulness of seismic data. New processing and interpreting techniques like “coherency cube” may be able to extrapolate even more useful information and correlations out of the seismic data set.

5. Seismic is fairly well understood and appreciated by the industry in general. It can add credibility to a drilling prospect.

CONS:

1. It is inexact, and data quality is subject to a host of uncertainties due to environmental conditions and etc.

2. It is very expensive. The seismic business is very dependent on both high tech computer equipment and skilled people.

3. The data are extremely subject to interpretation; you must have a skilled interpreter with specific knowledge of the area he is working.

4. It requires rocks with a velocity contrast to work, otherwise you will not get any useful reflections. In plain terms, it will not work everywhere, in every basin, play, or series of rock formations.

5. Some people put way too much faith in it. It is just another tool, not the be-all and end-all of exploration. I much prefer to use subsurface (well) data whenever possible, but I am biased since I am a geologist and not a geophysicist.

Russian Indian Co-operation in Fuel & Energy Sphere - Navtej Kohli

Energy News by Navtej Kohli:

Russian Indian Co-operation in Fuel & Energy Sphere - Navtej Kohli 

Russian-Indian cooperation in the fuel and energy sphere has grown steadily in recent years. India’s ONGC is participating in the Sakhalin I oil and gas project off Russia’s Pacific Coast and is considering large-scale projects together with Russia’s state-controlled oil giant Rosneft in Russia, India and third countries.

Russian companies are interested in large-scale projects to build oil and gas pipelines in India, a source in the Russian delegation about to travel to the Asian country said on Monday.

The delegation will accompany Russian Prime Minister Viktor Zubkov during his official visit to India from February 12 to 13.

“India intends to build 16,000 km (9,940 miles) of oil and gas pipelines. Russian companies are prepared to participate in these projects,” the source said, adding that Russia’s Stroytransgaz, partly owned by energy giant Gazprom, is interested in the projects.

The construction of the pipelines in India, which will enable the Asian country to provide international oil and gas transit, “could be an interesting element of Russian-Indian cooperation”.