Legacy Gulf of Mexico Oil and Gas Facilities Hold Promise for Role in Blue Economy

Abstract

_ This article, written by JPT Technology Editor Chris Carpenter, contains highlights of paper OTC 31940, “Repurposing Gulf of Mexico Oil and Gas Facilities for the Blue Economy,” by Roy Robinson, SPE, Excipio Energy; Georg Englemann, Diamond Infrastructure Development; and Kent Saterlee, Gulf Offshore Research Institute. The paper has not been peer reviewed. _ This synopsis presents portions of the results of a Department of Energy (DOE) study of the potential for repurposing legacy oil and gas facilities in the Gulf of Mexico (GOM) for uses in a blue economy. The study was limited and was designed to summarize practical options for repurposing. The conclusions list those areas in which further modeling or studies are warranted, with the objective of building an integrated modeling tool to assist companies, government agencies, and nongovernmental organizations in assessing benefits and risks of repurposing facilities. Scope Limits of the Repurposing Study The term “blue economy” is defined by the World Bank as a sustainable use of ocean resources for economic growth, improved livelihoods and jobs, and ocean ecosystem health. The study upon which the paper is based was confined to the repurposing of oil and gas facilities in the GOM, specifically platforms, wells, pipelines, and rights of way. Producing, idle, and abandoned assets were considered. The objective was to explore how leveraging these existing facilities can reduce the carbon load of offshore oil and gas production, speed the energy transition by tapping the tremendous energy potential of the ocean, reduce US dependence on imported seafood and minerals, and create secure long-term employment along the Gulf Coast. Energy Resource Potential and Definition In 2020, the US National Renewable Energy Laboratory (NREL), at the request of the Bureau of Ocean Energy Management (BOEM), produced a report on the renewable energy potential of the GOM. NREL divides resource assessments into gross and technical potential. “Gross” is intended to be the total available resource. “Technical” is based on NREL’s assessment of how much of the resource could be captured economically using proven technology. Details are included in the complete paper because the NREL/BOEM report has caused some questions to be raised by those reviewing the DOE study. The authors’ commentary on this report is detailed in the complete paper.