Rotary ONE Services Drilling Fluids is a Certified MHA TERO Contractor working several projects on Native American Tribal Lands in NORTH DAKOTA and MONTANA.
With service in TEXAS, NEW MEXICO and OKLAHOMA PANHANDLE AREA, we strive on bringing quality products and Professional Engineering Services to you.
Oil Based Mud (OBM) is used for many reasons such as increased lubricity, greater cleaning abilities with less viscosity.
Also OBM can withstand greater heat without breaking down.
A temporary order to halt oil production in the Khafji oilfield may cost around 300,000 bpd. Some are saying this may fuel tensions between Kuwait and Saudi Arabia, as this lies on a joint field with both countries affected.
In short, Khafji is a village that borders both Saudi Arabia and Kuwait. Prior to the 70's it was a neutral zone, and since the discovery of underground reserves, both states agreed to maintain joint rights to anything within the zone.
The temporary order to halt production is being blamed on technical issues, although speculators have implied previously that the move was political. As Kuwait has less spare output, its reasonable to believe that Kuwait will feel the affect more than Saudi Arabia. Already the price per barrel in the region has risen to $86 in a very short time.
Environmental compliance seems to be the key to reopening the flow of oil in Khafji. Both sides said they were informed of the shutdown. As to a date for compliance, we can only wait and see how the parties respond to the requirements to restore production in the region.