Due to climate change, starting in 2019 The World Bank will no longer support the Upstream sector of the oil and gas industry. This means that the bank will no longer be able to support the sector financially except in the poorest countries where the support is truly needed. The World Bank originally decided to stop supporting the coal firing business back in 2010 but this has not helped the burning fossil fuels situation and has been under attack by lobbyists ever since. The Bank said it saw the need to change the way it was operating in a “rapidly changing world”, adding that it was on course to have 28% of its lending going to climate action by 2020.
The World Bank announcement came as the Bank of England’s governor revealed that there was growing global support for a new initiative designed to help pave the way for a low-carbon economy by persuading companies to come clean about their exposure to climate change risks. The announcement came Friday in Paris by the French President. This may or may not have something to do with the new policy in France that by 2020, digging for oil and gas will no longer be allowed in France.
Upstream companies will now have to come out about how much of a carbon footprint they are actually leaving. Bank too, will have to come out and be able to tell the public how much they have lent to companies with climate-related risks.
Horizontal drilling, also known as directional drilling. The concept was developed in 1920 and has long since been redesigned to achieve better drilling also creating a smaller footprint. It is called horizontal drilling because it allows oil workers to drill in many different directions including horizontally.
Directional drilling allows multiple wells to be dug from the original vertical source which saves time, resources and is much more environmentally friendly. Also, drilling at an angle other than vertical can obtain information, such as the location of the wells, therefore multiple holes do not need to be dug up.
Horizontal drilling has been known to increase productivity by 20 times more than vertical drilling. Horizontal drilling is expensive. When combined with hydraulic fracturing, a well can cost up to three times as much per foot as drilling a vertical well. The extra cost is usually recovered by increased production from the well.
Our world is being polluted as more and more oil and gas discoveries are being made which lead to more wells being fracked and more pipelines being built. This is why it is absolutely important and necessary to make sure the the right valves are being used for the media that is needed. Not only do we make sure that you are getting top notch customer service but that you are truly buying something you need and fits the project spectrum.
Twenty, thirty years ago who knew that pollution was going to be such a major headache? I don’t even know if anyone knew what was happening when we started to burn natural gas just to get rid of it. Did you know “that if we burn all of the remaining fossil fuels on Earth, almost all of the ice in Antarctica will melt, potentially causing sea levels to rise by as much as 200 feet–enough to drown most major cities in the world.”
Why do we burn natural gas if it is so bad? Thats a good question, and unfortunately it was only until recently we discovered that there is a new use for natural gas but years ago it was considered non reusable. Fossil fuels that were burned consisted of coal, oil and of course natural gas and when burned the gases released a potent greenhouse gas into the atmosphere causing pollution and temperatures around the world to rise. This very well could be the reason why it is much hotter than previous years where you live. Personally, during the summer months in SoCal I sit in front of the fan as the heat is just plain torture.
We need to focus on more renewable uses for the gas. For example, if we, “directed it away from fossil fuels and towards renewable energy options like wind and solar.” Which is what we started doing in more recent years. Do you have any ideas on how to control the natural gas pollution?
Note: Global Valve and Controls high performance flanged ball valve design is the product of an extensive R&D program that offers standard live loaded stem design for zero design fugitive emissions.
No one really knows when there are cracks inside storage tanks until it is too late and oil starts to spew out. As you know when hurricane Harvey came and ransacked majority of South Houston earlier this year, it exposed many weaknesses with petroleum storage tanks. But Harvey was not the main culprit, yes, the hurricane blew off roofs, flooded banks and damaged everything in its path, but even on a good hot day storage tanks would still release gas emissions and have small leaks. The hurricane just proved that these tanks are not built to last forever. The result of the hurricane has made some of the oil and gas companies come together and figure out a way on how to know when there are issues with the tanks before it’s too late. For example, Phillips 66 wants to put drones inside the storage tanks. The Houston refiner is partnering with the Boston startup Square Robot for robotics that can inspect tank floors and survey and map out any obstacles while they are filled with oil, gasoline or other petroleum products.
These robots will be submerged inside the tanks in the oil and will be able to tell when a tank needs to be fixed. So far, these types of drones are only used for military purposes and personal use but with the help of Philips 66 they will be widely used for the oil and gas industry. The first robots with Phillips 66 are expected to enter service sometime in 2018. It looks like these robots will be in high demand as storage tanks are being built at a high rate in the Houston area and across the country. Additionally, there are at least 15 projects to expand or construct pipelines have been proposed to carry oil, natural gas and natural gas liquids from Permian Basin to Houston, Corpus Christi and Beaumont. And all of those liquids will need temporary storage.
The oil and gas industry has been a hot mess ever since oil prices crashed in 2014 and many companies had to survive by slashing the number of employees. Today, many of those employees who were let go because of the oil crash have moved on to another career perhaps where their job is less determined by the price of oil. If you are one of the persons still looking for a job then you are in luck as the O&G industry is now hiring and are needing more people than they started out with as they have adjusted to the oil prices. According to NES, 2018 will be the first year since 2014 in which there will be more new hires in oil and gas than layoffs.
This means that the O&G companies have learned to cope with the new prices and have new technology in place that ensures their survival. With a tighter capital spending program and a much stricter cost discipline, many E&Ps are not just surviving but expanding production. In some places, such as the Permian basin, this has brought about a new challenge: finding new people because the previous workers have moved on. Also, new graduates that were looking to work for a O&G company after graduation when back to school to pursue higher education or have changed careers altogether. For example, one oil company Byrd Oilfield Service, is losing an estimated $7,000 a day because it can’t hire truck drivers fast enough to deliver equipment to its frac crews in the oilfields.
What happens if the O&G companies do not find enough workers? That would be a long-term problem that, according to industry executives, could cripple oil and gas for decades to come.
At Global Valve and Controls we ensure that every valve is tested before it leaves our facility and delivered to your facility. Most manufactuers will only test a small percentage of their valves as it is a time consuming process as you see below. We make sure that every valve whether its a Ball, Gate, Globe, or check valve gets tested. Below is a presentation of how we test our valves. The valves go through the shell test first and then a seat test. We shell test valves to verify the integrity of the body to make sure there are no leaks. Testing the seat verifies positive closure of the valve according to the API specification required for each specific valve.
What is wastewater doing to our land and how it will it affect us in the near future? If you are not familiar with the background of where wastewater comes from, here is a brief summary. Fracking occurs after a well has been drilled. Fracking is a process that is carried out by sending a mixture of water, sand and certain additives into a deep-rock formation at high pressure. Soon after the fracturing occurs, water returns to the surface as “flowback” or wastewater. For a long time, wastewater has been an eye sore for many land owners as it is full of salt, chemicals and possibly radioactive. Unfortunately, we know very little of what exactly is in this water. Wastewater now is a problem for the oil and gas industry and if there is no real solution, then we may soon have more problems.
One idea is to use the wastewater for irrigation crops, but until more tests on the water can be done, this is not a very good idea as we know that wastewater is full of chemicals and do not know what effect it will have for crops as well as the land. In fact, many land owners would rather have an oil spill on their lands than a wastewater spill, as it can do far more damage than oil. Managing the massive amount of oil and gas wastewater has been a challenge for energy companies for generations. Did you know that in the USA alone, companies produced over 900 billion gallons of wastewater a year! Back in the 1900’s wastewater used to be disposed of in the West Texas fields and that is what created the Texon Scar. This “scar” is so large that you can see it from Google earth.
There are many companies that used to and still may pump the wastewater into a well that has been specialized for wastewater but recent research has shown that because of this earthquakes were becoming a problem. For example, in Oklahoma regulators limited wastewater disposal volumes after a rash of earthquakes shook the region (the number of quakes dropped afterwards). Hopefully in the near future there will be more research on what we can do with waste water, maybe it could be somehow recycled? Until then, we just need to be more careful of how we dispose of it.
France has stepped up to be one of the first countries to step away from producing oil and gas, and focus more on renewable energy. This means that the 815,000 tonnes of oil per year will halt by 2040. This also means their nuclear industry will be no more and working with fossil fuels will completely disappear. No new permits will be granted to extract fossil fuels and no existing licences will be renewed beyond 2040, when all production in mainland France and its overseas territories will stop. Once production has stopped, cars that are powered by oil and diesel will also be banned. The bill includes a few exceptions to the ban, including the capturing of gas from mines, which is considered desirable for security reasons. Interestingly, the extraction of fossil fuels may not completely disappear as it is used for research purposes. The reason behind the bill is to encourage clean energy and fulfill France’s commitments under the Paris Climate Agreement to curb global warming. So far only hydraulic fracturing has been banned.
In the world of valves there is always so many to choose from. Flanged ball valves, threaded ball valves and the list goes on! Other things you must know when calling in for a quote is the size, trim, material, reduced or full port of the valve and most importantly what the valve will be used for. When you have finally decided that you need a flanged ball valve for your application, you will need to decide if you will want a 1, 2 or 3 piece valve. You will make a decision based on cost, maintenance and if it will need to be automated.
First, lets take a look at a one piece flanged ball valve. Contrary to what others say, a 1 piece design ball valve or unibodies are not always the cheapest and you can automate any flanged ball valve with a mounting pad. These valves are not repairable so if one breaks you will need to replace the whole valve which is time and money. If you are looking into a 1 piece flanged ball valve, be sure to check out our Series FS or http://gvcintl.com/files/GVC%20Series%20FS.2011.pdf
A 2 piece and a 3 piece ball valve was definitely designed with maintenance in mind as it can be easily cleaned. The biggest difference between the two is that the 3 piece can be taken out of line without affecting the two end caps while the 2 piece can not. As far as cost, a 3 piece is more expensive up front but in the long run it could be a wiser choice as the seats and seals are replaceable and with a 2 piece you will need to replace the valve entirely if there are any issues. If you are looking for a 2 piece flanged ball valve, take a look at our Series CFS, FS600, or
It has now been a week since hurricane Harvey made its debut in Texas. As much as 12 feet of storm surge and 120 mph winds. He knocked out electricity among millions and literally flooded homes and displaced nearly 17,000 people as well as flooded many parts of Houston. There were 60 deaths reported because of the hurricane. Harvey is known as one of the most catastrophic storms that has hit the US since 2005. Not only has this major hurricane affected the population but it has affected gas prices as well.
Harvey flooded much of Southeast Texas which is one of the nations most busiest oilfields. The Eagle Ford Shale is found in this part of Texas and because of the rain and winds, more than half of the rigs are down and need to be serviced, but because of the flooding, it is very difficult to get to the rigs. Given that much of oil and gas activity occurs in areas only accessible via dirt roads, the heavy rainfall usually makes the movement of trucks and supplies much more difficult. EOG Resources and Marathon Oil stopped production as they had to pull their crews out of harms way. The Eagle Ford was the only shale basin of the big four to drop activity last week, as some in the industry start to look at shale as a more expensive option compared to other places.