Wednesday, August 18, 2010

BP (NYSE:BP) to Miss "Bottom Kill" mid-August Goal

If things were to proceed without any major problems, the "bottom kill" by BP (NYSE:BP) would have happened in the middle of August, but that won't be the case, as concerns over trapped debris have put things temporarily on hold until officials figure out how to deal with it.

While the oil has stopped leaking from the oil well, it can't be pronounced officially dead until the bottom kill is completed.

The decision to perform a "top kill" first resulted in the possibility cement being caught between a couple of layers of casing, which then trapped oil that had leaked inside.

Former Coast Guard Admiral Thad Allen said, "When we do the intercept well and commence pumping mud and cement... it will create pressure," Allen said. "We want to make sure before I give the order and direct BP to do that, that we know the implications of that pressure, and how we will deal with it."

Two potential solutions would be to work with the existing sealing cap on top of the well using what is called a "pressure relief method," or place a new blow-out preventer in place which would be able to handle any pressure coming from the blocked area.

Once a decision is made and Allen gives the go ahead, it's expected to take about a week to complete the operation.

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