En Español



Very usefull links



PW
Bookstore





News links

AP

AFP

Aljazeera

Dow Jones

Oil price

Reuters

Bloomberg

Views and News
from
Norway

 

 

 

 

Shutdown of the UK Forties pipeline delaying oil cargoes for weeks

 

 

By Alex Lawler

LONDON
Petroleumworld 12 18 2017

The loading dates of Forties oil cargoes, which help set the global Brent benchmark, have been delayed by at least two weeks and further hold-ups are likely, trade sources said, following the unplanned closure of the North Sea Forties pipeline.

The 169-km (105-mile) pipeline, which carries around a quarter of all North Sea crude output and about a third of Britain's offshore gas production, has been closed since Monday, following the discovery of a small crack in part of the system onshore in Scotland.

Cargo owners were advised this week of delays to shipments that had been due to load from mid-December, trade sources said. Forties was set to export 21 cargoes of 600,000 barrels each, or 406,000 barrels per day, in December and 20 cargoes in January.

“Probably everybody's got revised dates now,” a North Sea trader said, adding his Forties cargo had been pushed back by slightly more than two weeks. “I‘m sure they will change again and I doubt the cargoes will actually load in those windows.”

The delays are in line with the timeframe that pipeline owner Ineos has given for repairs of two to four weeks. The company, which bought the system from BP in October for $250 million, said on Friday it was still assessing the situation.

“There's no significant change,” Ineos spokesman Richard Longden said. “The team's now working through the repair options. We're trying to get on with that as quickly and safely as we can.”

The company this week declared force majeure, which suspends its contractual obligations due to circumstances beyond its control, on Forties deliveries. This is believed to be the first force majeure on a major North Sea production stream in decades.

BP still coordinates the Forties cargo loading programme, despite no longer owning the pipeline.

 



Story by Alex Lawler; Editing by Dale Hudson from Reuters.

reuters.com 12 15 2017

We invite all our readers to share with us
their views and comments about this article.
Write to editor@petroleumworld.com

By using this link, you agree to allow PW
to publish your comments on our letters page.

Any question or suggestions,
please write to: editor@petroleumworld.com

Best Viewed with IE 5.01+ Windows NT 4.0, '95,
'98,ME,XP, Vista, Windows 7,8,10 +/ 800x600 pixels

 

 


 

TOP

Contact: editor@petroleumworld.com,

Editor & Publisher:Elio Ohep/
Contact Email: editor@petroleumworld.com

CopyRight © 1999-2016, Paul Ohep F. - All Rights Reserved. Legal Information

PW in Top 100 Energy Sites

CopyRight©1999-2017, Petroleumworld ™  / Elio Ohep - All rights reservedThis site is a public free site and it contains copyrighted material the use of which has not always been specifically authorized by the copyright owner.We are making such material available in our efforts to advance understanding of business, environmental, political, human rights, economic, democracy, scientific, and social justice issues, etc. We believe this constitutes a 'fair use' of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have chosen to view the included information for research, information, and educational purposes. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission fromPetroleumworld or the copyright owner of the material.