USA: ‘No Leak from Ocean Saratoga Rig.’ Confirms Diamond Offshore

Diamond Offshore Drilling, Inc. (NYSE:DO) today confirmed that there have been no leaks of hydrocarbons from the semisubmersible drilling rig Ocean Saratoga.

The rig is under contract to Taylor Energy Company LLC and engaged in the process of plugging and abandoning wells damaged when a Taylor Energy production platform was toppled during Hurricane Ivan in 2004.

As previously announced by Taylor Energy today, Taylor is continuing its ongoing well intervention program, using the Diamond Ocean Saratoga, with full approval from Unified Command. The well intervention program at Mississippi Canyon Block 20 is the result of the destruction of a production platform caused by a mudslide triggered by Hurricane Ivan. The platform was toppled by a subsurface mud slide triggered by storm surges with 100 foot waves.

As reported by Taylor Energy, the wells were covered by more than 100 feet of mud and sediment and only four wells were capable of production without pressure assistance. The associated surface sheen was minimal and never made landfall. As a result of deploying three subsurface containment domes and performing six successful well interventions, the initial average observed sheen volume of nine gallons per day has been substantially reduced.

“The effort is continuing as directed by the Unified Command,” said Will Pecue, President of Taylor Energy. “We have been working consistently and successfully with MMS and the U.S. Coast Guard to address the resulting environmental impacts of one of the ten most intense hurricanes ever recorded by the National Weather Service.”

Diamond Offshore provides contract drilling services to the energy industry and is a leader in deepwater drilling.

Source:Diamond Offshore, June 8, 2010

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