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Monday, July 19, 2010

 

Obama fears BP cap still leaking oil into Gulf

President Obama's man in Gulf of Mexico questions BP, sparking fear that oil well is still leaking

Helen Kennedy
DAILY NEWS STAFF WRITER

 

Monday, July 19th 2010, 4:00 AM

 

The news that BP had successfully capped the well that had spewed millions of gallons of crude since a deadly April 20 rig explosion now seems premature.

 

Martin/APThe news that BP had successfully capped the well that had spewed millions of gallons of crude since a deadly April 20 rig explosion now seems premature.

 

 

The government's top official overseeing the Gulf of Mexico oil disaster sparked fears Sunday night that crude is continuing to seep from the crippled well. 

Retired U.S. Coast Guard Adm. Thad Allen said tests revealed oil leaking a "distance from the well and undetermined anomalies at the wellhead." 

The news came just days after it appeared BP had successfully capped the well that had spewed millions of gallons of crude since a deadly April 20 rig explosion. 

In a letter to Bob Dudley,  BP managing director, Allen asked the petroleum giant to ready plans to reopen the 75-ton cap to relieve pressure on the well. 

"I direct you to provide me a written procedure for opening the choke valve as quickly as possible without damaging the well should hydrocarbon seepage near the wellhead be confirmed," Allen wrote in the letter. 

Opening the choke valve would cause oil to flow into the gulf again. But scientists say that opening it would prevent another major leak that might be even more difficult to seal. 

Allen demanded BP fork over records and documentation of tests the company is running on the cap it put on the damaged wellhead last week. 

"Monitoring of the seabed is of paramount importance during the test period," Allen wrote. "As the national incident commander, I must remain abreast of the status of your source control efforts." 

BP officials had no comment on Allen's letter except to say the company is "continuing to work very closely with the government." 

Earlier yesterday, Doug Suttles, BP's chief operating officer, said the company planned to keep the cap in place, stopping the flow of oil, until the drilling of a relief well is finished next month. The relief well is supposed to kill the troubled well for good. 

Meanwhile, a British newspaper reported yesterday that BP is discussing plans to downsize. 

The Sunday Times of London reported that directors at the oil giant once known as British Petroleum had been discussing a dramatic restructuring of the company with major shareholders. 

Options reportedly include selling off the firm's refineries and gas stations, turning it into a far smaller company that would focus primarily on exploration in emerging oil regions in Africa and Latin America.

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