Anadarko Approved Of Key Aspects Of BP's Well Design -FT

29th Jun 2010 23:50

DOW JONES NEWSWIRES Anadarko Petroleum Corp. (APC) approved several aspects of BP PLC's (BP, BP.LN) designs for the Deepwater Horizon oil rig involved in the catastrophic leak in the Gulf of Mexico, the Financial Times reports Tuesday on its website, citing senior executives at both companies. Anadarko, a Houston-based independent oil and gas producer, owns 25% of the leaking Macondo well. It knew of significant operational decisions made by BP, the well's operator, that some members of Congress believe could have been a factor in causing the April 20 explosion that caused the rig to sink two days later, the executives told the newspaper. While Anadarko has been trying to distance itself from BP by saying the leak had been preventable and was likely because of the U.K.-based giant's "reckless decisions and actions," both it and partner BP confirmed that Anadarko was aware of key design choices. These include decisions about how BP lined the well and how many "centralizers" -- devices that stabilize a well before it is cemented -- were used. The use at Macondo of a so-called long string -- a cheaper way to line a well but one that gives less protection against gas leaks than using multiple layers -- was fiercely criticized by members of the House of Representatives in their grilling of BP Chief Executive Tony Hayward on June 17. Anadarko spokesman John Christiansen said: "What we knew was that the design, the long string and the use of centralizers all met industry standards if executed correctly. The problems were caused by BP's execution of each of these." BP, in a statement to the Financial Times, said it gave or made available to its co-owner documents showing the well design and changes to it, and that it identified major well-control events encountered during drilling operations and that Anadarko personnel engaged in periodic communications with BP about well design and related issues. Full story at http://www.ft.com/cms/s/0/75cd4c30-83ae-11df-b6d5-00144feabdc0.html -Dow Jones Newswires; 212-416-2900 (END) Dow Jones Newswires June 29, 2010 18:50 ET (22:50 GMT)