http://naviny.by/rubrics/english/2010/04/30/ic_news_259_330422/
Belarus has offered Ukraine to join its Venezuelan oil delivery project, Ukrainian President Viktor Yanukovych told reporters in Minsk on April 29 following his talks with Alyaksandr Lukashenka, as quoted by BelaPAN.
"Thank you for offering Ukraine to become a partner in the oil business that you have started with Venezuela," Mr. Yanukovych said. "This is great."
Ukraine will enjoy cooperating with Belarus in this project, he said. "I hope that, as partners, we'll help you transport it [the oil] and possibly even refine part of it and sell the petroleum products in Ukraine's market at contract prices that would be close to market ones."
Monday, May 3, 2010
Ecuador Will Compensate for Any Seized Oil Assets, Correa Says
http://www.businessweek.com/news/2010-05-01/ecuador-will-compensate-for-any-seized-oil-assets-correa-says.html
By Nathan Gill
May 1 (Bloomberg) -- Ecuador, the smallest member of the Organization of Petroleum Exporting Countries, will compensate oil companies for any assets seized if ongoing contract negotiations fail, President Rafael Correa said.
“Companies need to understand that we are entering a new era in Ecuador and we won’t permit more abuses,” Correa said to a cheering crowd at the presidential palace in his weekly speech to the nation broadcast today. “We will pay what we have to pay, but we won’t let these companies impose conditions on our oil.”
Oil producers in Ecuador, including Spain’s Repsol YPF SA and Houston-based ConocoPhillips, may lose their assets if they don’t agree to change current production-sharing contracts for new service ones, Correa said. The speech was pre-recorded on April 29 in Quito.
The president said last month he will send Congress a bill to expropriate oil assets from companies that don’t sign new contracts in an attempt to jump-start talks that have stalled since the nation’s Congress rewrote the constitution in 2008. Correa is trying to boost production of oil, the country’s biggest export, as declining revenues crimp government finances.
OPEC’s members are Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates and Venezuela.
--Editors: Carlos Caminada, Joshua Goodman.
To contact the reporter on this story: Nathan Gill in Quito at ngill4@bloomberg.net
To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net
By Nathan Gill
May 1 (Bloomberg) -- Ecuador, the smallest member of the Organization of Petroleum Exporting Countries, will compensate oil companies for any assets seized if ongoing contract negotiations fail, President Rafael Correa said.
“Companies need to understand that we are entering a new era in Ecuador and we won’t permit more abuses,” Correa said to a cheering crowd at the presidential palace in his weekly speech to the nation broadcast today. “We will pay what we have to pay, but we won’t let these companies impose conditions on our oil.”
Oil producers in Ecuador, including Spain’s Repsol YPF SA and Houston-based ConocoPhillips, may lose their assets if they don’t agree to change current production-sharing contracts for new service ones, Correa said. The speech was pre-recorded on April 29 in Quito.
The president said last month he will send Congress a bill to expropriate oil assets from companies that don’t sign new contracts in an attempt to jump-start talks that have stalled since the nation’s Congress rewrote the constitution in 2008. Correa is trying to boost production of oil, the country’s biggest export, as declining revenues crimp government finances.
OPEC’s members are Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates and Venezuela.
--Editors: Carlos Caminada, Joshua Goodman.
To contact the reporter on this story: Nathan Gill in Quito at ngill4@bloomberg.net
To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net
Nigeria: Oil Workers Present Position Paper On Contract Staffing
http://allafrica.com/stories/201005031324.html
Lagos — WORKERS in the nation's petroleum industry, in a bid to address the proliferation of contract and service employment in sector which they perceived as unfair labour practices and potentials for industrial unrest, have presented a position paper on how it should be addressed to avoid a disruption of the industrial peace.
At a tripartite stakeholders' meeting of operators in the industry, held in Abuja under the auspices the Federal Ministry of Labour and Productivity, under the umbrella of the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, the workers lamented contract Staffing remained a big challenge to all sectors of the nation's economy, not only in the oil and gas industry
In the position paper by the President and General Secretary of PENGASSAN, Comrades Babatude Ogun and Bayo Olowoshile respectively, they posited that the drivers "of this anti-labour practice have argued that some jobs in the Oil and Gas Industry, by their irregular and terminal nature, are best done without fully employed staff. This argument has become largely untenable given that most Contract Staff are hired to do establishment jobs meant to be on regular basis over many years but these categories of recycled experienced Contract Staff have little or no chance for conversion to regular employment.
The Association duly note and acknowledge that Service Contract of genuine and proper application cannot be completely eliminated, given the fact that these are specialized jobs provided by organized and structured companies with the entire wherewithal to operate as such; however, it is PENGASSAN resolve that Labour Contract has become a ill-wind that should not be tolerated in whatever gab it is dressed in view of the persistently unguided abuses, the prejudicial and the unfair labour tendencies that are endemic in the labour contract applications."
"Labour Contract Staffing is a common staffing feature in the: Upstream (Crude Oil Exploration and Production) Oil and Gas Companies; Downstream (Petroleum and Petrochemicals Products Refining, Marketing and Distribution) Oil and Gas Companies; Oil and Gas Servicing and Service Providers Companies Government Corporation in the Oil and Gas Sector. The terminologies use to depict the claims for, and mode of Staffing: Labour Contract which connotes the deployment of human resources or human capital potentials (as labour or personnel) under a third party arrangement, which mainly plays no role other than being a paymaster. Service Contract which could be an individual or organization that provides a specialized, consultancy or professional service, with own. Personnel facilities or equipment under a "Contract for Service" term and agreement.. Employment Contracts which relates to job positions occupied by workers who is on "Contract of Service" or a regular basis over a non-determinable period of years.
Manpower or Direct Hire contract, defined as a labour contract that exist between a company and an individual through direct hire without the full complements of benefits as in a regular employment. NYSC and SIWES This could be regarded as a form of contracting if an organization reserves about 70% of its work force for National Youth Service members or Industrial Attachés'"
Characteristics of labour, service contract
Explaining what the association adjudged the characteristics of both labour and service, said: "Roll-over job which is continuous in nature and whose supervision and appraisal is done by the user company. The user company determines the day-to-day tasks and assignments. Labour Contract Staff are found occupying positions that is identifiable in the organogram of the company. For a service Features of specialized company providing special expertise, professional or consultancy services over a given period of time to client-user company for agreed terms; Service company stands as independent company that trains and development own employees for the specialized expertise, professional or consultancy services, and usually deploy own work tools and equipment. Such company have such skills, tools and equipment that the user company cannot provide; recalling the resolution reached at 2001 oil industry seminar "Casual and Contract Employment", the oil workers' union said, "The right of Contract and Casual workers to Unionize and their entitlement to recognition in accordance with Section 24 of the Trade Unions Act (Cap 437) LFN. It is an unfair labour practice to deny labour the right to unionize and is a contravention to the provisions of Section 40 of the Constitution of the Federal Republic of Nigeria; and ILO Conventions 87 & 98 among other key ILO Conventions on Decent Work. That Contract and Casual workers should be given equal opportunity for regular employment when vacancies exist. This is to enable these category of staff have the first opportunity to employment before outsiders because of their on the job advantage.
That staff on similar jobs, particularly on establishment positions should be accorded fair and equitable remuneration. His is to ensure that Contract Staff who possess same basic qualification and skill as the regular staff are not only properly compensated and placed, but also positioned to undergo necessary employment qualifying and fitness test and examination at periodical intervals. The resolution has since been watered down by lack of commitment to enforcement."
"After exhaustive deliberation on the various efforts made on the subject to date on the different types and implications of the Contract Staffing categories, the Association resolved thus: PENGASSAN has to ensure that Nigeria respect individual and collective rights of labour, as done in other countries. Specifically cited as touchstones, are relevant conventions of the International Labour Organization (ILO); Labour laws and the Nigeria constitution, that all Contract Staff in the Oil and Gas Industry must enjoy the guaranteed rights to unionization and collective bargaining. That roll-over of labour contract should continue.
That at least 10% of labour contract staff must be converted every year; that the Association should demand and ensure proper appraisal of labour contract staff in line with the company's appraisal policy. That redundancy/severance packages must not be signed by any branch without reference to the National Secretariat.
That the companies operating within the Export Free Zone should allow free right to Unionization and Industrial Relations activities in line with Section 40 of the Nigeria Constitution. That where contract staff are hired to fill these positions, such staff are to be converted within a maximum of two years as applicable in other countries like Ghana, Canada, Angola and other OPEC countries; That establishment position jobs should be occupied by regular staff only."
WORKERS in the nation's petroleum industry, in a bid to address the proliferation of contract and service employment in sector which they perceived as unfair labour practices and potentials for industrial unrest, have presented a position paper on how it should be addressed to avoid a disruption of the industrial peace. At a tripartite stakeholders' meeting of operators in the industry, held in Abuja under the auspices the Federal Ministry of Labour and Productivity, under the umbrella of the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, the workers lamented contract Staffing remained a big challenge to all sectors of the nation's economy, not only in the oil and gas industry In the position paper by the President and General Secretary of PENGASSAN, Comrades Babatude Ogun and Bayo Olowoshile respectively, they posited that the drivers "of this anti-labour practice have argued that some jobs in the Oil and Gas Industry, by their irregular and terminal nature, are best done without fully employed staff. This argument has become largely untenable given that most Contract Staff are hired to do establishment jobs meant to be on regular basis over many years but these categories of recycled experienced Contract Staff have little or no chance for conversion to regular employment. The Association duly note and acknowledge that Service Contract of genuine and proper application cannot be completely eliminated, given the fact that these are specialized jobs provided by organized and structured companies with the entire wherewithal to operate as such; however, it is PENGASSAN resolve that Labour Contract has become a ill-wind that should not be tolerated in whatever gab it is dressed in view of the persistently unguided abuses, the prejudicial and the unfair labour tendencies that are endemic in the labour contract applications."Labour Contract Staffing is a common staffing feature in the: Upstream (Crude Oil Exploration and Production) Oil and Gas Companies; Downstream (Petroleum and Petrochemicals Products Refining, Marketing and Distribution) Oil and Gas Companies; Oil and Gas Servicing and Service Providers Companies Government Corporation in the Oil and Gas Sector. The terminologies use to depict the claims for, and mode of Staffing: Labour Contract which connotes the deployment of human resources or human capital potentials (as labour or personnel) under a third party arrangement, which mainly plays no role other than being a paymaster. Service Contract which could be an individual or organization that provides a specialized, consultancy or professional service, with own. Personnel facilities or equipment under a "Contract for Service" term and agreement.. Employment Contracts which relates to job positions occupied by workers who is on "Contract of Service" or a regular basis over a non-determinable period of years. Manpower or Direct Hire contract, defined as a labour contract that exist between a company and an individual through direct hire without the full complements of benefits as in a regular employment. NYSC and SIWES This could be regarded as a form of contracting if an organization reserves about 70% of its work force for National Youth Service members or Industrial Attachés'"Characteristics of labour, service contractExplaining what the association adjudged the characteristics of both labour and service, said: "Roll-over job which is continuous in nature and whose supervision and appraisal is done by the user company. The user company determines the day-to-day tasks and assignments.
Labour Contract Staff are found occupying positions that is identifiable in the organogram of the company. For a service Features of specialized company providing special expertise, professional or consultancy services over a given period of time to client-user company for agreed terms; Service company stands as independent company that trains and development own employees for the specialized expertise, professional or consultancy services, and usually deploy own work tools and equipment. Such company have such skills, tools and equipment that the user company cannot provide; recalling the resolution reached at 2001 oil industry seminar "Casual and Contract Employment", the oil workers' union said, "The right of Contract and Casual workers to Unionize and their entitlement to recognition in accordance with Section 24 of the Trade Unions Act (Cap 437) LFN. It is an unfair labour practice to deny labour the right to unionize and is a contravention to the provisions of Section 40 of the Constitution of the Federal Republic of Nigeria; and ILO Conventions 87 & 98 among other key ILO Conventions on Decent Work. That Contract and Casual workers should be given equal opportunity for regular employment when vacancies exist. This is to enable these category of staff have the first opportunity to employment before outsiders because of their on the job advantage.
That staff on similar jobs, particularly on establishment positions should be accorded fair and equitable remuneration. His is to ensure that Contract Staff who possess same basic qualification and skill as the regular staff are not only properly compensated and placed, but also positioned to undergo necessary employment qualifying and fitness test and examination at periodical intervals. The resolution has since been watered down by lack of commitment to enforcement."After exhaustive deliberation on the various efforts made on the subject to date on the different types and implications of the Contract Staffing categories, the Association resolved thus: PENGASSAN has to ensure that Nigeria respect individual and collective rights of labour, as done in other countries. Specifically cited as touchstones, are relevant conventions of the International Labour Organization (ILO); Labour laws and the Nigeria constitution, that all Contract Staff in the Oil and Gas Industry must enjoy the guaranteed rights to unionization and collective bargaining. That roll-over of labour contract should continue. That at least 10% of labour contract staff must be converted every year; that the Association should demand and ensure proper appraisal of labour contract staff in line with the company's appraisal policy.
That redundancy/severance packages must not be signed by any branch without reference to the National Secretariat. That the companies operating within the Export Free Zone should allow free right to Unionization and Industrial Relations activities in line with Section 40 of the Nigeria Constitution. That where contract staff are hired to fill these positions, such staff are to be converted within a maximum of two years as applicable in other countries like Ghana, Canada, Angola and other OPEC countries; That establishment position jobs should be occupied by regular staff only."
Lagos — WORKERS in the nation's petroleum industry, in a bid to address the proliferation of contract and service employment in sector which they perceived as unfair labour practices and potentials for industrial unrest, have presented a position paper on how it should be addressed to avoid a disruption of the industrial peace.
At a tripartite stakeholders' meeting of operators in the industry, held in Abuja under the auspices the Federal Ministry of Labour and Productivity, under the umbrella of the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, the workers lamented contract Staffing remained a big challenge to all sectors of the nation's economy, not only in the oil and gas industry
In the position paper by the President and General Secretary of PENGASSAN, Comrades Babatude Ogun and Bayo Olowoshile respectively, they posited that the drivers "of this anti-labour practice have argued that some jobs in the Oil and Gas Industry, by their irregular and terminal nature, are best done without fully employed staff. This argument has become largely untenable given that most Contract Staff are hired to do establishment jobs meant to be on regular basis over many years but these categories of recycled experienced Contract Staff have little or no chance for conversion to regular employment.
The Association duly note and acknowledge that Service Contract of genuine and proper application cannot be completely eliminated, given the fact that these are specialized jobs provided by organized and structured companies with the entire wherewithal to operate as such; however, it is PENGASSAN resolve that Labour Contract has become a ill-wind that should not be tolerated in whatever gab it is dressed in view of the persistently unguided abuses, the prejudicial and the unfair labour tendencies that are endemic in the labour contract applications."
"Labour Contract Staffing is a common staffing feature in the: Upstream (Crude Oil Exploration and Production) Oil and Gas Companies; Downstream (Petroleum and Petrochemicals Products Refining, Marketing and Distribution) Oil and Gas Companies; Oil and Gas Servicing and Service Providers Companies Government Corporation in the Oil and Gas Sector. The terminologies use to depict the claims for, and mode of Staffing: Labour Contract which connotes the deployment of human resources or human capital potentials (as labour or personnel) under a third party arrangement, which mainly plays no role other than being a paymaster. Service Contract which could be an individual or organization that provides a specialized, consultancy or professional service, with own. Personnel facilities or equipment under a "Contract for Service" term and agreement.. Employment Contracts which relates to job positions occupied by workers who is on "Contract of Service" or a regular basis over a non-determinable period of years.
Manpower or Direct Hire contract, defined as a labour contract that exist between a company and an individual through direct hire without the full complements of benefits as in a regular employment. NYSC and SIWES This could be regarded as a form of contracting if an organization reserves about 70% of its work force for National Youth Service members or Industrial Attachés'"
Characteristics of labour, service contract
Explaining what the association adjudged the characteristics of both labour and service, said: "Roll-over job which is continuous in nature and whose supervision and appraisal is done by the user company. The user company determines the day-to-day tasks and assignments. Labour Contract Staff are found occupying positions that is identifiable in the organogram of the company. For a service Features of specialized company providing special expertise, professional or consultancy services over a given period of time to client-user company for agreed terms; Service company stands as independent company that trains and development own employees for the specialized expertise, professional or consultancy services, and usually deploy own work tools and equipment. Such company have such skills, tools and equipment that the user company cannot provide; recalling the resolution reached at 2001 oil industry seminar "Casual and Contract Employment", the oil workers' union said, "The right of Contract and Casual workers to Unionize and their entitlement to recognition in accordance with Section 24 of the Trade Unions Act (Cap 437) LFN. It is an unfair labour practice to deny labour the right to unionize and is a contravention to the provisions of Section 40 of the Constitution of the Federal Republic of Nigeria; and ILO Conventions 87 & 98 among other key ILO Conventions on Decent Work. That Contract and Casual workers should be given equal opportunity for regular employment when vacancies exist. This is to enable these category of staff have the first opportunity to employment before outsiders because of their on the job advantage.
That staff on similar jobs, particularly on establishment positions should be accorded fair and equitable remuneration. His is to ensure that Contract Staff who possess same basic qualification and skill as the regular staff are not only properly compensated and placed, but also positioned to undergo necessary employment qualifying and fitness test and examination at periodical intervals. The resolution has since been watered down by lack of commitment to enforcement."
"After exhaustive deliberation on the various efforts made on the subject to date on the different types and implications of the Contract Staffing categories, the Association resolved thus: PENGASSAN has to ensure that Nigeria respect individual and collective rights of labour, as done in other countries. Specifically cited as touchstones, are relevant conventions of the International Labour Organization (ILO); Labour laws and the Nigeria constitution, that all Contract Staff in the Oil and Gas Industry must enjoy the guaranteed rights to unionization and collective bargaining. That roll-over of labour contract should continue.
That at least 10% of labour contract staff must be converted every year; that the Association should demand and ensure proper appraisal of labour contract staff in line with the company's appraisal policy. That redundancy/severance packages must not be signed by any branch without reference to the National Secretariat.
That the companies operating within the Export Free Zone should allow free right to Unionization and Industrial Relations activities in line with Section 40 of the Nigeria Constitution. That where contract staff are hired to fill these positions, such staff are to be converted within a maximum of two years as applicable in other countries like Ghana, Canada, Angola and other OPEC countries; That establishment position jobs should be occupied by regular staff only."
WORKERS in the nation's petroleum industry, in a bid to address the proliferation of contract and service employment in sector which they perceived as unfair labour practices and potentials for industrial unrest, have presented a position paper on how it should be addressed to avoid a disruption of the industrial peace. At a tripartite stakeholders' meeting of operators in the industry, held in Abuja under the auspices the Federal Ministry of Labour and Productivity, under the umbrella of the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, the workers lamented contract Staffing remained a big challenge to all sectors of the nation's economy, not only in the oil and gas industry In the position paper by the President and General Secretary of PENGASSAN, Comrades Babatude Ogun and Bayo Olowoshile respectively, they posited that the drivers "of this anti-labour practice have argued that some jobs in the Oil and Gas Industry, by their irregular and terminal nature, are best done without fully employed staff. This argument has become largely untenable given that most Contract Staff are hired to do establishment jobs meant to be on regular basis over many years but these categories of recycled experienced Contract Staff have little or no chance for conversion to regular employment. The Association duly note and acknowledge that Service Contract of genuine and proper application cannot be completely eliminated, given the fact that these are specialized jobs provided by organized and structured companies with the entire wherewithal to operate as such; however, it is PENGASSAN resolve that Labour Contract has become a ill-wind that should not be tolerated in whatever gab it is dressed in view of the persistently unguided abuses, the prejudicial and the unfair labour tendencies that are endemic in the labour contract applications."Labour Contract Staffing is a common staffing feature in the: Upstream (Crude Oil Exploration and Production) Oil and Gas Companies; Downstream (Petroleum and Petrochemicals Products Refining, Marketing and Distribution) Oil and Gas Companies; Oil and Gas Servicing and Service Providers Companies Government Corporation in the Oil and Gas Sector. The terminologies use to depict the claims for, and mode of Staffing: Labour Contract which connotes the deployment of human resources or human capital potentials (as labour or personnel) under a third party arrangement, which mainly plays no role other than being a paymaster. Service Contract which could be an individual or organization that provides a specialized, consultancy or professional service, with own. Personnel facilities or equipment under a "Contract for Service" term and agreement.. Employment Contracts which relates to job positions occupied by workers who is on "Contract of Service" or a regular basis over a non-determinable period of years. Manpower or Direct Hire contract, defined as a labour contract that exist between a company and an individual through direct hire without the full complements of benefits as in a regular employment. NYSC and SIWES This could be regarded as a form of contracting if an organization reserves about 70% of its work force for National Youth Service members or Industrial Attachés'"Characteristics of labour, service contractExplaining what the association adjudged the characteristics of both labour and service, said: "Roll-over job which is continuous in nature and whose supervision and appraisal is done by the user company. The user company determines the day-to-day tasks and assignments.
Labour Contract Staff are found occupying positions that is identifiable in the organogram of the company. For a service Features of specialized company providing special expertise, professional or consultancy services over a given period of time to client-user company for agreed terms; Service company stands as independent company that trains and development own employees for the specialized expertise, professional or consultancy services, and usually deploy own work tools and equipment. Such company have such skills, tools and equipment that the user company cannot provide; recalling the resolution reached at 2001 oil industry seminar "Casual and Contract Employment", the oil workers' union said, "The right of Contract and Casual workers to Unionize and their entitlement to recognition in accordance with Section 24 of the Trade Unions Act (Cap 437) LFN. It is an unfair labour practice to deny labour the right to unionize and is a contravention to the provisions of Section 40 of the Constitution of the Federal Republic of Nigeria; and ILO Conventions 87 & 98 among other key ILO Conventions on Decent Work. That Contract and Casual workers should be given equal opportunity for regular employment when vacancies exist. This is to enable these category of staff have the first opportunity to employment before outsiders because of their on the job advantage.
That staff on similar jobs, particularly on establishment positions should be accorded fair and equitable remuneration. His is to ensure that Contract Staff who possess same basic qualification and skill as the regular staff are not only properly compensated and placed, but also positioned to undergo necessary employment qualifying and fitness test and examination at periodical intervals. The resolution has since been watered down by lack of commitment to enforcement."After exhaustive deliberation on the various efforts made on the subject to date on the different types and implications of the Contract Staffing categories, the Association resolved thus: PENGASSAN has to ensure that Nigeria respect individual and collective rights of labour, as done in other countries. Specifically cited as touchstones, are relevant conventions of the International Labour Organization (ILO); Labour laws and the Nigeria constitution, that all Contract Staff in the Oil and Gas Industry must enjoy the guaranteed rights to unionization and collective bargaining. That roll-over of labour contract should continue. That at least 10% of labour contract staff must be converted every year; that the Association should demand and ensure proper appraisal of labour contract staff in line with the company's appraisal policy.
That redundancy/severance packages must not be signed by any branch without reference to the National Secretariat. That the companies operating within the Export Free Zone should allow free right to Unionization and Industrial Relations activities in line with Section 40 of the Nigeria Constitution. That where contract staff are hired to fill these positions, such staff are to be converted within a maximum of two years as applicable in other countries like Ghana, Canada, Angola and other OPEC countries; That establishment position jobs should be occupied by regular staff only."
Nigeria: Deltans Corner Top Oil Posts
http://allafrica.com/stories/201005030491.html
Hamisu Muhammad
months since Dr. Goodluck Jonathan took over the reigns as Acting President of the Federal Republic, men and women from his native oil-rich Niger Delta region have grabbed and cornered twelve of the most plum positions in the Petroleum Resources Ministry and the Nigeria National Petroleum Corporation (NNPC), Daily Trust confirmed in Abuja at the weekend.
The Minister of Petroleum Resources, Mrs Diezani Allison-Madueke, the permanent secretary in the Ministry of Petroleum, Mrs. Elizabeth Umerun the director of the Department of Petroleum Resources, four out of the NNPC's eight Group Executive Directors as well as its Company Secretary are all from the South-South region, Daily Trust learnt. Jonathan also failed to appoint a Minister of State for Petroleum Resources in order to give Mrs. Madueke an unfettered hand. He however appointed ministers of state for many lesser ministries.
In just two weeks as Petroleum Resources Minister, Mrs. Diezani Alison-Madueke carried out a major staff reorganisation that ended up inserting her kinsmen from the Niger Delta in key positions in the NNPC and the DPR, leaving many other large geopolitical of the country unrepresented or underrepresented in these agencies.
Officers from Mrs. Allison-Madueke's native Bayelsa State got the lion's share of lucrative NNPC and MPR posts, alongside others from the South- South states. Under the restructuring, Mr. Andrew Obaje from Bayelsa State took over the powerful post of Director, Department of Petroleum Resources [DPR], the federal government agency that allocates oil blocs and supervises the entire industry.
Mr Voka Mokoru from Delta State became the NNPC's new Group Executive Director (Gas & Power); Mr Faithful Abbiye Suku from Rivers State became NNPC's Group Executive Director (Corporate Services); Mr Billy Agha, also from Delta State, became NNPC's Group Executive Director (Engineering & Technical) while Engr. Philips Chukwu from Imo State is the Group Executive Director, Exploration & Production of the NNPC. Imo is not a Niger Delta state, but it is a minor oil producer.
Under Mrs. Madueke's changes, another Bayelsan, Mr Anthony Fiddi became the Group General Manager, National Petroleum Investment Management Service (NAPIMS), the NNPC subsidiary that manages all the Joint Venture Operations as well as linkages between NNPC and all the International Oil Companies (IOCs).
NNPC's Human Resources Division is now led by a Group General Manager, Mr. Chris Osarumwense from Edo State who will also report directly to another Niger Deltan, the GED C&S.
Relevant Links
West Africa
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The changes made by the minister also have Mr Abiye Membre from Rivers State as the Managing Director, Nigeria Petroleum Development Company, which is the major provider of NNPC's revenue at the moment. NNPC's lucrative Crude Oil Marketing Department is now under the supervision of a Group General Manager, Mr Jedy Agba, who is from Delta State.
Many oil industry officials now accuse the Minister of catapulting fellow Niger Deltans over and above their colleagues from other parts of the country. Some of the officials affected by the changes who are yet to be assigned other duties include the former GGM Human Resources Malam Auwalu Abubakar, the acting GGM Crude Oil Marketing, Malam Farouk Bello and Mrs. Aisha Abdurahman, the former MD Hyson.
Efforts to obtain comments from the minister or her aides proved abortive at the weekend because Mrs Allison-Madueke and several top NNPC officials had travelled to the US to attend an international oil conference in Houston, Texas. Messages sent to the Chief Press Secretary of the Petroleum Ministry, Clinton Oni and NNPC's spokesman Levi Ajuonuma were not answered.
Hamisu Muhammad
months since Dr. Goodluck Jonathan took over the reigns as Acting President of the Federal Republic, men and women from his native oil-rich Niger Delta region have grabbed and cornered twelve of the most plum positions in the Petroleum Resources Ministry and the Nigeria National Petroleum Corporation (NNPC), Daily Trust confirmed in Abuja at the weekend.
The Minister of Petroleum Resources, Mrs Diezani Allison-Madueke, the permanent secretary in the Ministry of Petroleum, Mrs. Elizabeth Umerun the director of the Department of Petroleum Resources, four out of the NNPC's eight Group Executive Directors as well as its Company Secretary are all from the South-South region, Daily Trust learnt. Jonathan also failed to appoint a Minister of State for Petroleum Resources in order to give Mrs. Madueke an unfettered hand. He however appointed ministers of state for many lesser ministries.
In just two weeks as Petroleum Resources Minister, Mrs. Diezani Alison-Madueke carried out a major staff reorganisation that ended up inserting her kinsmen from the Niger Delta in key positions in the NNPC and the DPR, leaving many other large geopolitical of the country unrepresented or underrepresented in these agencies.
Officers from Mrs. Allison-Madueke's native Bayelsa State got the lion's share of lucrative NNPC and MPR posts, alongside others from the South- South states. Under the restructuring, Mr. Andrew Obaje from Bayelsa State took over the powerful post of Director, Department of Petroleum Resources [DPR], the federal government agency that allocates oil blocs and supervises the entire industry.
Mr Voka Mokoru from Delta State became the NNPC's new Group Executive Director (Gas & Power); Mr Faithful Abbiye Suku from Rivers State became NNPC's Group Executive Director (Corporate Services); Mr Billy Agha, also from Delta State, became NNPC's Group Executive Director (Engineering & Technical) while Engr. Philips Chukwu from Imo State is the Group Executive Director, Exploration & Production of the NNPC. Imo is not a Niger Delta state, but it is a minor oil producer.
Under Mrs. Madueke's changes, another Bayelsan, Mr Anthony Fiddi became the Group General Manager, National Petroleum Investment Management Service (NAPIMS), the NNPC subsidiary that manages all the Joint Venture Operations as well as linkages between NNPC and all the International Oil Companies (IOCs).
NNPC's Human Resources Division is now led by a Group General Manager, Mr. Chris Osarumwense from Edo State who will also report directly to another Niger Deltan, the GED C&S.
Relevant Links
West Africa
Nigeria
Petroleum
Energy
Business
The changes made by the minister also have Mr Abiye Membre from Rivers State as the Managing Director, Nigeria Petroleum Development Company, which is the major provider of NNPC's revenue at the moment. NNPC's lucrative Crude Oil Marketing Department is now under the supervision of a Group General Manager, Mr Jedy Agba, who is from Delta State.
Many oil industry officials now accuse the Minister of catapulting fellow Niger Deltans over and above their colleagues from other parts of the country. Some of the officials affected by the changes who are yet to be assigned other duties include the former GGM Human Resources Malam Auwalu Abubakar, the acting GGM Crude Oil Marketing, Malam Farouk Bello and Mrs. Aisha Abdurahman, the former MD Hyson.
Efforts to obtain comments from the minister or her aides proved abortive at the weekend because Mrs Allison-Madueke and several top NNPC officials had travelled to the US to attend an international oil conference in Houston, Texas. Messages sent to the Chief Press Secretary of the Petroleum Ministry, Clinton Oni and NNPC's spokesman Levi Ajuonuma were not answered.
Nigeria deploys 300 policemen to protect oil pipelines
http://www.africanmanager.com/site_eng/detail_article.php?art_id=14934
Nigeria has deployed 300 heavily-armed policemen to monitor the country's 5,000 kilometres of oil pipeline and prevent them from vandals who have been attacking them, the local media reported Monday.
The deployment was ordered by the Inspector-General of Police, Ogbonna Onovo, after agreements were reached with the state oil firm Nigerian National Petroleum Corporation (NNPC), which owns the pipelines.
According to a breakdown of the number, over 100 Policemen have been deployed to Atlas Cove, the huge fuel depot off the Lagos coast which was attacked last year by suspected militants, 50 to the pipeline routes in northern Kaduna and Kano; 10 to Calabar Jetty and Deport in the South-east and 100 to Mosimi and Ore routes in the South-west.
Nigeria loses millions of naira every year to the incessant vandalisation of pipelines ferrying crude oil and refined products across the country.
Most of the vandals do so for commercial purposes - to siphon the products for sale.
Hundreds have been killed in the process, especially when such pipeline destruction triggers an explosion as people scoop the products.
Nigeria has deployed 300 heavily-armed policemen to monitor the country's 5,000 kilometres of oil pipeline and prevent them from vandals who have been attacking them, the local media reported Monday.
The deployment was ordered by the Inspector-General of Police, Ogbonna Onovo, after agreements were reached with the state oil firm Nigerian National Petroleum Corporation (NNPC), which owns the pipelines.
According to a breakdown of the number, over 100 Policemen have been deployed to Atlas Cove, the huge fuel depot off the Lagos coast which was attacked last year by suspected militants, 50 to the pipeline routes in northern Kaduna and Kano; 10 to Calabar Jetty and Deport in the South-east and 100 to Mosimi and Ore routes in the South-west.
Nigeria loses millions of naira every year to the incessant vandalisation of pipelines ferrying crude oil and refined products across the country.
Most of the vandals do so for commercial purposes - to siphon the products for sale.
Hundreds have been killed in the process, especially when such pipeline destruction triggers an explosion as people scoop the products.
United Air in $3B-plus stock deal for Continental. Where will jet fuel prices go?
http://finance.yahoo.com/news/Continental-United-to-combine-apf-2112292575.html?x=0
Joshua Freed and David Koenig, AP Airline Writers
United Airlines has agreed to buy Continental in a $3 billion-plus deal that would create the world's largest carrier with a commanding position in several top U.S. cities.
The new United would surpass Delta Air Lines in size, which should help it attract more high-fare business travelers. It will fly to 370 destinations in 59 countries.
The companies insisted the deal is a merger of equals.
But United shareholders will hold a majority stake, the airline will be based in United's hometown of Chicago and it will be called United.
It would be run by current Continental CEO Jeffery Smisek, however. United CEO Glenn Tilton, a longtime advocate of consolidation in the airline industry, will be non-executive chairman for up to two years before Smisek adds the chairman title.
The new parent company will be called United Continental Holdings Inc., and have about $29 billion in annual revenue based on 2009 results and $7.4 billion in unrestricted cash. The airlines said combining would save them $1 billion to $1.2 billion a year by 2013, including between $800 million and $900 million in new yearly revenue.
The deal would create a giant with major hubs in key domestic markets including New York, Los Angeles, Chicago, Houston and San Francisco and an international network stretching from Shanghai to South America.
It will leave three big U.S. airlines with major international routes -- the new United, Delta and American Airlines, with US Airways a distant fourth.
United is the nation's third-largest carrier by traffic, while Continental Airlines Inc., in Houston, is No. 4.
Shares of both companies rose in morning trading Monday. United parent UAL Corp. shares rose 62 cents, or 2.9 percent, to $22.22, while Continental shares rose 63 cents, or 2.8 percent, to $22.98.
Wall Street has pushed consolidation as a way to let airlines raise fares by reducing the number of flights and seats.
Smisek and Tilton said in an interview that the deal won't necessarily mean higher fares, but antitrust regulators are expected to scrutinize the transaction.
Smisek said that the companies don't assume they can boost prices, but that with a bigger network they can attract more high-paying corporate travelers.
Two years ago, Continental walked away from a deal with United at the last moment. Smisek said times have changed since 2008, when both airlines were low on cash and facing record fuel costs.
"Both carriers are performing better than they have been for the past couple of years," he said. "The economy is on an upswing. Fuel prices, although high, are manageable."
Owners of United parent UAL Corp. will hold 55 percent of the combined company, with Continental shareholders owning the rest. Continental shareholders will get 1.05 UAL shares in exchange for each one of theirs.
Although United is buying Continental, the two carriers are similar in size. Based on Friday's closing stock prices, UAL's had a stock market value of $3.6 billion, while Continental's was $3.1 billion.
As for keeping the United name, Tilton told the AP, "The benefit obviously of United Airlines is familiarity in the Pacific and international markets, where it has been a presence longer than Continental."
The companies expect to close the deal in the fourth quarter, with approval needed from shareholders and regulators.
Labor issues have often been messy in airline consolidation. Smisek and Tilton said they had briefed their unions on the deal. Both companies said their boards had approved the transaction unanimously, which would include a labor representative on the UAL board.
Pilots at both airlines are represented by the Air Line Pilots Association. People briefed on the negotiations said the two groups have not started negotiations on a joint contract.
The machinists' union, which represents 16,000 workers at United and more than 10,000 Continental employees, said it was concerned about the impact of the deal on pensions, benefits and job security.
Both United and Continental have been losing money first due to higher fuel costs, then a recession. Last year, UAL lost $651 million while Continental lost $282 million. Revenue plunged 19.1 percent at UAL and 17.4 percent at Continental.
They have eliminated flights to meet the new, lower demand -- United cut capacity 7.4 percent last year, and Continental shrank 5.2 percent.
Joshua Freed and David Koenig, AP Airline Writers
United Airlines has agreed to buy Continental in a $3 billion-plus deal that would create the world's largest carrier with a commanding position in several top U.S. cities.
The new United would surpass Delta Air Lines in size, which should help it attract more high-fare business travelers. It will fly to 370 destinations in 59 countries.
The companies insisted the deal is a merger of equals.
But United shareholders will hold a majority stake, the airline will be based in United's hometown of Chicago and it will be called United.
It would be run by current Continental CEO Jeffery Smisek, however. United CEO Glenn Tilton, a longtime advocate of consolidation in the airline industry, will be non-executive chairman for up to two years before Smisek adds the chairman title.
The new parent company will be called United Continental Holdings Inc., and have about $29 billion in annual revenue based on 2009 results and $7.4 billion in unrestricted cash. The airlines said combining would save them $1 billion to $1.2 billion a year by 2013, including between $800 million and $900 million in new yearly revenue.
The deal would create a giant with major hubs in key domestic markets including New York, Los Angeles, Chicago, Houston and San Francisco and an international network stretching from Shanghai to South America.
It will leave three big U.S. airlines with major international routes -- the new United, Delta and American Airlines, with US Airways a distant fourth.
United is the nation's third-largest carrier by traffic, while Continental Airlines Inc., in Houston, is No. 4.
Shares of both companies rose in morning trading Monday. United parent UAL Corp. shares rose 62 cents, or 2.9 percent, to $22.22, while Continental shares rose 63 cents, or 2.8 percent, to $22.98.
Wall Street has pushed consolidation as a way to let airlines raise fares by reducing the number of flights and seats.
Smisek and Tilton said in an interview that the deal won't necessarily mean higher fares, but antitrust regulators are expected to scrutinize the transaction.
Smisek said that the companies don't assume they can boost prices, but that with a bigger network they can attract more high-paying corporate travelers.
Two years ago, Continental walked away from a deal with United at the last moment. Smisek said times have changed since 2008, when both airlines were low on cash and facing record fuel costs.
"Both carriers are performing better than they have been for the past couple of years," he said. "The economy is on an upswing. Fuel prices, although high, are manageable."
Owners of United parent UAL Corp. will hold 55 percent of the combined company, with Continental shareholders owning the rest. Continental shareholders will get 1.05 UAL shares in exchange for each one of theirs.
Although United is buying Continental, the two carriers are similar in size. Based on Friday's closing stock prices, UAL's had a stock market value of $3.6 billion, while Continental's was $3.1 billion.
As for keeping the United name, Tilton told the AP, "The benefit obviously of United Airlines is familiarity in the Pacific and international markets, where it has been a presence longer than Continental."
The companies expect to close the deal in the fourth quarter, with approval needed from shareholders and regulators.
Labor issues have often been messy in airline consolidation. Smisek and Tilton said they had briefed their unions on the deal. Both companies said their boards had approved the transaction unanimously, which would include a labor representative on the UAL board.
Pilots at both airlines are represented by the Air Line Pilots Association. People briefed on the negotiations said the two groups have not started negotiations on a joint contract.
The machinists' union, which represents 16,000 workers at United and more than 10,000 Continental employees, said it was concerned about the impact of the deal on pensions, benefits and job security.
Both United and Continental have been losing money first due to higher fuel costs, then a recession. Last year, UAL lost $651 million while Continental lost $282 million. Revenue plunged 19.1 percent at UAL and 17.4 percent at Continental.
They have eliminated flights to meet the new, lower demand -- United cut capacity 7.4 percent last year, and Continental shrank 5.2 percent.
Another week at least of unabated Gulf oil geyser.
http://news.yahoo.com/s/ap/20100503/ap_on_bi_ge/us_gulf_oil_spill_55
By HOLBROOK MOHR and ALLEN G. BREED, Associated Press Writers Holbrook Mohr And Allen G. Breed, Associated Press Writers
VENICE, La. – Another week of oil pouring from the seafloor. That is the best-case scenario for the Gulf Coast, where dead sea turtles washed ashore and a massive rust-colored slick continued to swell from an uncontrolled gusher spewing into the water.
BP PLC was preparing a system never tried before at such depths to siphon away the geyser of crude from a blown-out well a mile under Gulf of Mexico waters. However, the plan to lower 74-ton, concrete-and-metal boxes being built to capture the oil and siphon it to a barge waiting at the surface will need at least another six to eight days to get it in place.
Crews continued to lay boom in what increasingly feels like a futile effort to slow down the spill, with all ideas to contain the flow failing so far.
"I've been in Pensacola and I am very, very concerned about this filth in the Gulf of Mexico," Florida Gov. Charlie Crist said at a fundraiser for his U.S. Senate campaign Sunday night. "It's not a spill, it's a flow. Envision sort of an underground volcano of oil and it keeps spewing over 200,000 gallons every single day, if not more."
Fishermen from the mouth of the Mississippi River to the Florida Panhandle got the news that more than 6,800 square miles of federal fishing areas were closed, fracturing their livelihood for at least 10 days and likely more just as the prime spring season was kicking in. The slick also was precariously close to a key shipping lane that feeds goods and materials to the interior of the U.S. by the Mississippi River.
Even if the well is shut off in a week, fishermen and wildlife officials wonder how long it will take for the Gulf to recover. Some compare it to the Hurricane Katrina that Louisiana is still recovering from after nearly five years.
"My kids will be talking about the effect of this when they're my age," said 41-year-old Venice charter boat captain Bob Kenney.
At BP's Houston offices, dozens of engineers and technicians were cloistered on the third floor, working 12-hour shifts round-the-clock to come up with a solution.
"It's probably easier to fly in space than do some of this," Charlie Holt, BP's drilling and completion operations manager in the Gulf of Mexico, said Sunday.
Everything engineers have tried so far has failed. After the April 20 oil rig explosion, which killed 11 people, the flow of oil should have been stopped by a blowout preventer, but the mechanism failed. Efforts to remotely activate it continue to prove fruitless. On the surface, windy weather and waves have hampered plans to burn the oil and made booms all along the coast ineffective.
Teams working to contain the spill have had limited success using airplanes to drop chemical dispersants meant to break up the oil, and rough seas have prevented ships from skimming crude from the surface. The oil probably will keep gushing for months until a second well can be dug to cut off the first.
BP's Chief Executive said Monday that a new method they've been trying since last week, injecting dispersant chemicals into the oil at the gusher to break it up underwater, appears to be helping.
"For the first time ever in the industry, we are applying dispersant at the seabed, which appears to be having a significant impact limiting the oil that gets to the surface," Hayward said on the NBC "Today" show. He didn't provide any more details of the effort.
Besides the immediate impact on Gulf industries, shipping along the Mississippi River could soon be limited. Ships carrying food, oil, rubber and much more come through the Southwest Pass to enter the vital waterway.
Shipment delays — either because oil-splattered ships need to be cleaned off at sea before docking or because water lanes are shut down for a time — would raise the cost of transporting those goods.
"We saw that during Hurricane Katrina for a period of time — we saw some prices go up for food and other goods because they couldn't move some fruit down the shipping channels and it got spoiled," PFGBest analyst Phil Flynn said.
The Port of New Orleans said projections suggest the pass will be clear through Tuesday.
President Barack Obama toured the region Sunday, deflecting criticism that his administration was too slow to respond and did too little to stave off the catastrophe.
A piece of plywood along a Louisiana highway had these words painted on it: "OBAMA SEND HELP!!!!"
The blessing of the boats is normally a joyous kickoff to the spring fishing season in St. Bernard Parish. But this year, it had more the air of a funeral.
Some years, as many as 200 craft, most of them working boats, lined up at the Gulf Outlet Marina to be sprinkled with holy water by a priest. On Sunday, only four boats floated by — and not one a commercial vessel.
Capt. Doogie Robin, 84, sat at a bar, sipping a Budweiser from the jaws of an alligator-head beer cozy. He runs eight oyster boats.
"Katrina really hit us hard," he said. "And this here, I think this is going to finish us now. I think this will wipe us off the map."
The Coast Guard and BP have said it's nearly impossible to know exactly how much oil has gushed since the blast, though it has been roughly estimated to be at least 200,000 gallons a day.
At that rate, it would eclipse the 1989 Exxon Valdez tanker spill — which dumped 11 million gallons off the Alaska coast — as the worst U.S. oil disaster in history in a matter of weeks.
"None of us have ever had experience at this level before. It ain't good," said Bob Love, coastal and nongame resources administrator with the Louisiana Department of Wildlife and Fisheries.
Even if the oil stays mostly offshore, the consequences could be dire for sea turtles, dolphins and other deepwater marine life — and microscopic plankton and tiny creatures that are a staple of larger animals' diets.
Moby Solangi, director of the Institute for Marine Mammal Studies in Gulfport, Miss., said at least 20 dead sea turtles were found on the state's beaches. He said it's too soon to say whether oil contamination killed them but that it is unusual to have them turning up across such a wide stretch of coast, nearly 30 miles.
None of the turtles have oil on them, but Solangi said they could have ingested oily fish or breathed in oil on the surface.
The situation could become even more grave if the oil gets into the Gulf Stream and flows to the beaches of Florida — and potentially whips around the state's southern tip and up the Eastern Seaboard. Tourist-magnet beaches and countless wildlife could be ruined.
Crist has declared a state of emergency for six counties in Florida. Louisiana also has declared an emergency.
Obama has halted any new offshore drilling projects unless rigs have new safeguards to prevent another disaster. On Sunday he called the spill a "massive and potentially unprecedented environmental disaster," and made clear that he was not accepting blame.
"BP is responsible for this leak. BP will be paying the bill," he said.
The containment boxes being built were not part of BP's original response plan. The approach has been used previously only for spills in relatively shallow water. Coast Guard Adm. Thad Allen said engineers are still examining whether the valves and other systems that feed oil to a ship on the surface can withstand the extra pressures of the deep.
If the boxes don't work, BP also has begun work on its only other backup plan: two relief wells that will take as long as three months to drill.
"What BP's doing is throwing absolutely everything we can at this," said Bob Fryar, senior vice president for BP in Angola. "We certainly want to do everything we can, everything we can possibly think of, as a company, as an industry."
BP has not said how much oil is beneath the seabed the Deepwater Horizon rig was tapping when it exploded. A company official, speaking on condition of anonymity because he was not authorized to discuss the volume of reserves, confirmed reports that it was tens of millions of barrels. Fryar said any numbers being thrown out are just estimates at best. The rig was operated by BP and owned by Transocean Ltd.
Peter Young has spent the better part of 18 years earning a living as fishing guide and he's afraid his way of life may be slipping away. The government has overreacted by shutting down vital fishing areas in the marshes before the oil has posed a threat, he said.
Until he sees oil himself, Young will keep fishing the closed areas.
"They can take me to jail," he said. "This is our livelihood. I'm not going to take customers into oil, but until I see it, I can't sit home and not work.
"I've got customers that are canceling because they're scared, and I don't know what to tell them."
___
Associated Press writers Harry R. Weber, Jay Reeves, Mike Graczyk, Tamara Lush, Brian Skoloff, Melissa Nelson, Mary Foster, Chris Kahn, Vicki Smith, John Flesher, Holbrook Mohr and AP Photographer Dave Martin contributed to this report.
By HOLBROOK MOHR and ALLEN G. BREED, Associated Press Writers Holbrook Mohr And Allen G. Breed, Associated Press Writers
VENICE, La. – Another week of oil pouring from the seafloor. That is the best-case scenario for the Gulf Coast, where dead sea turtles washed ashore and a massive rust-colored slick continued to swell from an uncontrolled gusher spewing into the water.
BP PLC was preparing a system never tried before at such depths to siphon away the geyser of crude from a blown-out well a mile under Gulf of Mexico waters. However, the plan to lower 74-ton, concrete-and-metal boxes being built to capture the oil and siphon it to a barge waiting at the surface will need at least another six to eight days to get it in place.
Crews continued to lay boom in what increasingly feels like a futile effort to slow down the spill, with all ideas to contain the flow failing so far.
"I've been in Pensacola and I am very, very concerned about this filth in the Gulf of Mexico," Florida Gov. Charlie Crist said at a fundraiser for his U.S. Senate campaign Sunday night. "It's not a spill, it's a flow. Envision sort of an underground volcano of oil and it keeps spewing over 200,000 gallons every single day, if not more."
Fishermen from the mouth of the Mississippi River to the Florida Panhandle got the news that more than 6,800 square miles of federal fishing areas were closed, fracturing their livelihood for at least 10 days and likely more just as the prime spring season was kicking in. The slick also was precariously close to a key shipping lane that feeds goods and materials to the interior of the U.S. by the Mississippi River.
Even if the well is shut off in a week, fishermen and wildlife officials wonder how long it will take for the Gulf to recover. Some compare it to the Hurricane Katrina that Louisiana is still recovering from after nearly five years.
"My kids will be talking about the effect of this when they're my age," said 41-year-old Venice charter boat captain Bob Kenney.
At BP's Houston offices, dozens of engineers and technicians were cloistered on the third floor, working 12-hour shifts round-the-clock to come up with a solution.
"It's probably easier to fly in space than do some of this," Charlie Holt, BP's drilling and completion operations manager in the Gulf of Mexico, said Sunday.
Everything engineers have tried so far has failed. After the April 20 oil rig explosion, which killed 11 people, the flow of oil should have been stopped by a blowout preventer, but the mechanism failed. Efforts to remotely activate it continue to prove fruitless. On the surface, windy weather and waves have hampered plans to burn the oil and made booms all along the coast ineffective.
Teams working to contain the spill have had limited success using airplanes to drop chemical dispersants meant to break up the oil, and rough seas have prevented ships from skimming crude from the surface. The oil probably will keep gushing for months until a second well can be dug to cut off the first.
BP's Chief Executive said Monday that a new method they've been trying since last week, injecting dispersant chemicals into the oil at the gusher to break it up underwater, appears to be helping.
"For the first time ever in the industry, we are applying dispersant at the seabed, which appears to be having a significant impact limiting the oil that gets to the surface," Hayward said on the NBC "Today" show. He didn't provide any more details of the effort.
Besides the immediate impact on Gulf industries, shipping along the Mississippi River could soon be limited. Ships carrying food, oil, rubber and much more come through the Southwest Pass to enter the vital waterway.
Shipment delays — either because oil-splattered ships need to be cleaned off at sea before docking or because water lanes are shut down for a time — would raise the cost of transporting those goods.
"We saw that during Hurricane Katrina for a period of time — we saw some prices go up for food and other goods because they couldn't move some fruit down the shipping channels and it got spoiled," PFGBest analyst Phil Flynn said.
The Port of New Orleans said projections suggest the pass will be clear through Tuesday.
President Barack Obama toured the region Sunday, deflecting criticism that his administration was too slow to respond and did too little to stave off the catastrophe.
A piece of plywood along a Louisiana highway had these words painted on it: "OBAMA SEND HELP!!!!"
The blessing of the boats is normally a joyous kickoff to the spring fishing season in St. Bernard Parish. But this year, it had more the air of a funeral.
Some years, as many as 200 craft, most of them working boats, lined up at the Gulf Outlet Marina to be sprinkled with holy water by a priest. On Sunday, only four boats floated by — and not one a commercial vessel.
Capt. Doogie Robin, 84, sat at a bar, sipping a Budweiser from the jaws of an alligator-head beer cozy. He runs eight oyster boats.
"Katrina really hit us hard," he said. "And this here, I think this is going to finish us now. I think this will wipe us off the map."
The Coast Guard and BP have said it's nearly impossible to know exactly how much oil has gushed since the blast, though it has been roughly estimated to be at least 200,000 gallons a day.
At that rate, it would eclipse the 1989 Exxon Valdez tanker spill — which dumped 11 million gallons off the Alaska coast — as the worst U.S. oil disaster in history in a matter of weeks.
"None of us have ever had experience at this level before. It ain't good," said Bob Love, coastal and nongame resources administrator with the Louisiana Department of Wildlife and Fisheries.
Even if the oil stays mostly offshore, the consequences could be dire for sea turtles, dolphins and other deepwater marine life — and microscopic plankton and tiny creatures that are a staple of larger animals' diets.
Moby Solangi, director of the Institute for Marine Mammal Studies in Gulfport, Miss., said at least 20 dead sea turtles were found on the state's beaches. He said it's too soon to say whether oil contamination killed them but that it is unusual to have them turning up across such a wide stretch of coast, nearly 30 miles.
None of the turtles have oil on them, but Solangi said they could have ingested oily fish or breathed in oil on the surface.
The situation could become even more grave if the oil gets into the Gulf Stream and flows to the beaches of Florida — and potentially whips around the state's southern tip and up the Eastern Seaboard. Tourist-magnet beaches and countless wildlife could be ruined.
Crist has declared a state of emergency for six counties in Florida. Louisiana also has declared an emergency.
Obama has halted any new offshore drilling projects unless rigs have new safeguards to prevent another disaster. On Sunday he called the spill a "massive and potentially unprecedented environmental disaster," and made clear that he was not accepting blame.
"BP is responsible for this leak. BP will be paying the bill," he said.
The containment boxes being built were not part of BP's original response plan. The approach has been used previously only for spills in relatively shallow water. Coast Guard Adm. Thad Allen said engineers are still examining whether the valves and other systems that feed oil to a ship on the surface can withstand the extra pressures of the deep.
If the boxes don't work, BP also has begun work on its only other backup plan: two relief wells that will take as long as three months to drill.
"What BP's doing is throwing absolutely everything we can at this," said Bob Fryar, senior vice president for BP in Angola. "We certainly want to do everything we can, everything we can possibly think of, as a company, as an industry."
BP has not said how much oil is beneath the seabed the Deepwater Horizon rig was tapping when it exploded. A company official, speaking on condition of anonymity because he was not authorized to discuss the volume of reserves, confirmed reports that it was tens of millions of barrels. Fryar said any numbers being thrown out are just estimates at best. The rig was operated by BP and owned by Transocean Ltd.
Peter Young has spent the better part of 18 years earning a living as fishing guide and he's afraid his way of life may be slipping away. The government has overreacted by shutting down vital fishing areas in the marshes before the oil has posed a threat, he said.
Until he sees oil himself, Young will keep fishing the closed areas.
"They can take me to jail," he said. "This is our livelihood. I'm not going to take customers into oil, but until I see it, I can't sit home and not work.
"I've got customers that are canceling because they're scared, and I don't know what to tell them."
___
Associated Press writers Harry R. Weber, Jay Reeves, Mike Graczyk, Tamara Lush, Brian Skoloff, Melissa Nelson, Mary Foster, Chris Kahn, Vicki Smith, John Flesher, Holbrook Mohr and AP Photographer Dave Martin contributed to this report.
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