Tuesday, June 1, 2010

Will Next BP (NYSE:BP) Attempt Make it Worse?

The next attempt by BP (NYSE:BP) to cap the oil spill will be to try to place a marine cap on top of the blowout preventer in hopes of capturing most of the oil flow and bring it to the surface vessel.

If this sounds familiar, it's because it is in the sense it is similar to what they tried in the beginning, although this cap will be much smaller and targeted in focus.

The short-term side effects could be to make the problem worse for several days, as they would cut off a kink in the pipe, which at this time is helping to stem the flow, with the possibility of it making the oil flow heavier from four to seven days, according to Carol Browner, special assistant to the president for energy.

Bob Dudley, managing director of BP, said he didn't think the process would make it any worse than it is now.

In the new marine cap attempt, BP will try to cap the valve siphon which would then bring the oil to the surface.

As in the past, BP said there's no guarantee this will work either, as it hasn't ever been tried at the 5,000 foot depth they're working in.

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