Page 36: of Marine News Magazine (July 2011)

Chiasson also said we're hoping that Ensco's request that BOEMRE process six permit applications to drill in off-shore Louisiana will be honored." Ensco Offshore, based in Broussard, La., is a U.S. unit of London-basedEnsco Plc. In early June, U.S. District Judge Martin Feldman in New Orleans ruled in favor of Ensco and others in a lawsuit over permits. He said that six remaining Ensco-related applications for deepwater drilling must be acted on within a reasonable period, and gave the Obama Administration thirty days to do so. Feldman said the government's slow approval of permits had not provided the certainty that Ensco needs to con- duct business in the Gulf. Meanwhile to help companies, BOEMRE said in early June that it would publish a permit-applicationchecklist for drilling operators.GULFRELIESONOFFSHOREJOBS If you've ever driven across coastal Louisiana, the presence of offshore oil and gas ? from helicopter pads to expensive-looking new homes ? is hard to miss. Dr. Loren Scott, Louisiana State University professor emeritus of eco- nomics, said the multiplier for onshore and offshore, oil-and-gas jobs in Louisiana is 3.7, meaning for every job in the industry 2.7 jobs are created elsewhere in the economy. We haven't estimated the multiplier for the off-shore sector alone, but I suspect that it's much higher than the aggregated number,? he said. That's because it costs a whole lot more to drill a well offshore than inland.? Scott contin- ued, saying it costs an average $9.6 million to drill a gas well in the Haynesville shale play upstate, whereas BP's Discovery well ? the one that had the spill ? cost $100 million tobuild, or ten times more. People work- ing offshore are paid more than those 36MNJuly 2011Development of new Gulffinds .. should be positive for all business-es tied to the offshore industry, including sup- port-vessel companies,vessel builders, helicopter transportationand even food catering.Don Briggs, president of the Louisiana Oiland Gas Association.We're now operating at 90% again ? a level lastseen before the morato- rium was imposed.Chett Chiasson, director of the GreaterLafourche Port CommissionIt costs an average$9.6m to drill a gas wellin the Haynesville shaleplay upstate, whereas BP's Discovery well ?the one that had the spill? cost $100m to build,or ten times more. Dr. Loren Scott, Louisiana State University professor emeritus of economics