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jesusfreakinco (29.81)

BP: Time to start praying for a miracle...

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June 30, 2010 – Comments (5) | RELATED TICKERS: BP , D , EAD

Short or long... this is NOT good.

Apocalypse in the Gulf: Could a Sinkhole Swallow the Deepwater Horizon Well -- And BP?

http://industry.bnet.com/energy/10005034/apocalypse-in-the-gulf-could-a-sinkhole-swallow-the-deepwater-horizon-well-and-bp/?tag=shell;content

BP Spill, Day 72: Could the Deepwater Horizon Disaster Destroy the Gulf?

http://finance.yahoo.com/tech-ticker/article/513460/BP-Spill%2C-Day-72%3A-Could-the-Deepwater-Horizon-Disaster-Destroy-the-Gulf%3F

"BP has confirmed that the failed blowout preventer (BOP) on its Deepwater Horizon well in the Gulf of Mexico is tilting sideways at an acute angle 12 to 15 degrees from perpendicular. Geologists and petroleum engineers are now debating the worst case scenario: growing evidence that the Macondo discovery well’s casings beneath the ocean floor have been irreversibly damaged, possibly to such an extent that it may be impossible to cap the well."

"A massive sinkhole could either shut down the leak or make the disaster much worse. BNET summarized theories on The Oil Drum from optimistic to apocalyptic:

1. Benign rockslides at nearby canyon walls, coupled with "natural bridge" formation, plug the oil leak.

2. An exposed reservoir opening bleeds 150,000 barrels of oil a day daily until natural hydrostatic pressures from above and below the surface equalize - think two opposing teams in a tug-of-war running out of energy and calling the game a draw - turning off the leak.

3. Weakened sand and salt layers above the reservoir simply collapse, turning a wide area of the outer continental shelf sea floor into an underwater sinkhole that could bleed 2 billion to 3 billion barrels of oil into Gulf waters. In addition, seismic-shock tremors roll in all directions for miles, with an unknown effect on other nearby fields, especially BP's Thunder Horse (18 miles) field and Shell and BP's Na Kika complex, located in Mississippi Canyon Block 474 (approximately 15 miles south-southeast of the blowout)."

 

 

 

5 Comments – Post Your Own

#1) On June 30, 2010 at 6:38 PM, jesusfreakinco (29.81) wrote:

Some more relevant articles from last couple of days...

BP eyes sale of its Argentinian stake

 http://www.dailymail.co.uk/money/article-1290970/BP-eyes-sale-Argentinian-stake.html

Gulf Dies While BP 'Financially Manages' the Disaster

http://www.prnewswire.com/news-releases/gulf-dies-while-bp-financially-manages-the-disaster-97522579.html

 

 

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#2) On June 30, 2010 at 6:49 PM, Superdrol (93.74) wrote:

The stock is just best to stay away, but if I had to pick a side, I'd go short.

 

There are too many things to go wrong for this company, largely my biggest concern is the relief wells will not work.  For a speculative play I'd buy an out of the money October put option strike price $15  They are selling for .86 cents.

That gives you enough time to see if the relief wells work.  As far as being out of the money, it does not matter.  If they cannot stop the oil via relief wells,  any short position will work.

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#3) On June 30, 2010 at 7:35 PM, silverminer (99.56) wrote:

This is just so incredibly troubling ... I'm at a loss for words.

Thanks for keeping me updated ... I've had a hard time keeping up lately with everything that seems to be going on at once right now. 

If I can spend 10 hours a day on the computer reading news for most of that time, and still find myself unable to process all the relevant information required to keep a leg-up on major world events, I can't even fathom how folks whose job does not involve reading news all day have a chance of remainingwellp-informed.

Understandably, they rely upon an evening news broadcast or a couple of newspapers at most, and this unfortunately is not a recipe for a complete and un-spun accounting of today's complicated array of global news.

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#4) On July 01, 2010 at 12:13 AM, jesusfreakinco (29.81) wrote:

Live feed link that will show the current state:

 http://www.bp.com/liveassets/bp_internet/globalbp/globalbp_uk_english/incident_response/STAGING/local_assets/html/Skandi_ROV2.html

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#5) On July 01, 2010 at 11:40 AM, jesusfreakinco (29.81) wrote:

http://www.businessweek.com/news/2010-06-30/senate-panel-moves-to-lift-cap-on-oil-spill-damages.html

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