Exxon and Russian Operation Discovers Oil Field Larger Than the Gulf of Mexico

An anonymous reader writes The state-run OAO Rosneft has discovered a vast pool of crude in the Kara Sea region of the Arctic Ocean, arguably bigger than the Gulf of Mexico. From the article: "The discovery sharpens the dispute between Russia and the U.S. over President Vladimir Putin’s actions in Ukraine. The well was drilled before the Oct. 10 deadline Exxon was granted by the U.S. government under sanctions barring American companies from working in Russia’s Arctic offshore. Rosneft and Exxon won’t be able to do more drilling, putting the exploration and development of the area on hold despite the find announced today."

Comments

Initial estimates are always over blown

[140Mandak262Jamuna]

Even the shale gas estimates and the Canadian tar sands estimate etc are being revised downwards. They drill a few test wells, and interpolate and "guestimate" what lies in between. Let us see how this estimate holds up once the investment needed to further develop them are all reeled in and the time pay dividends come up.