US sailors shot dead in Bahrain

Two US sailors have been shot dead and a third critically wounded at a navy base in the Gulf state of Bahrain, the US Navy has said.

The shootings took place at 0200 GMT and were under investigation. The navy said the incident was a "domestic situation" involving female sailors and not terror-related. There was no intrusion at the base. No explanation was given for the deaths and the sailors have not been named. The shooting took place at a barracks at US Naval Support Activity. The base, which is home to about 3,000 US personnel was closed for about an hour following the incident. Bahrain is a close US ally and home to the navy's Fifth Fleet, which operates over an area of 7.5 mln sq miles in and around the Gulf. The tiny Gulf state, which consists of about 30 small islands, has been designated by Washington as a major non-Nato ally.

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Kuwait's KOC, Exxon sign heavy oil production deal

Kuwait said it had reached a preliminary deal with Exxon Mobil Corp to produce heavy oil in the north of the Gulf Arab state and aimed to boost production to 900,000 barrels per day by 2020.

State owned Kuwait Oil Company (KOC) said it wanted to reach a final deal with the U.S. company to explore the Lower Fars oil field near the Iraqi border by July 2008 but negotiations were still ongoing. Exxon Mobil said the deal would produce 700,000 barrels per day from the field, while KOC, which is in charge of oil exploration in the world's seventh-largest oil producer, added that it also wanted to explore other fields to reach its long-term target. Kuwait has been planning a multi-billion project to explore its northern oil fields for more than a decade but it has never made beyond committee level at parliament as some Islamist deputies oppose the involvement of foreign firms.

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First LNG shipment from Snohvit

The purpose-built Arctic Princess has 145,000 cubic metres of LNG on board and is now on her way to customers in southern Europe.

For the first time, we are supplying gas from the Norwegian continental shelf in a cooled state by ship. This gives increased flexibility in marketing gas globally. Production of LNG from the Barents Sea's Snohvit field began on 13 September. Even though the first shipment is on its way to market, the Hammerfest LNG plant is still in its initial phase. Stable production is expected in December. The LNG plant separates the wellstream comprising natural gas, condensate and water that arrives from subsea installations in the Barents Sea.

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CNOOC spends US$599 million for deepwater rig

China National Offshore Oil Corp. (CNOOC) awarded Shanghai Waigaoqiao Shipbuilding Co., a subsidiary of China State Shipbuilding Corp., a US$599 million contract to build the nation's first deepwater drilling rig.

The semisubmersible, which will be capable of drilling up to 12,000 metres in water depths of up to 3,000 metres, is expected to be complete by 2011. When completed, the rig can be deployed for operations in deepwater regions in the South China Sea, Southeast Asia, Gulf of Mexico and West Africa. A CNOOC spokesperson said the company plans to invest US$2 billion in oil and gas equipment, which could be deployed in deepwater exploration.

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Total to begin offshore exploration in Bay of Bengal

European energy major Total SA will begin exploring for hydrocarbons in the Bay of Bengal in November.

In March this year, Total acquired the major stakes of UK-based Tullow Oil PLC in offshore blocks 17 and 18 and received energy ministry approval to extend the exploration period stated in the production sharing contract by three years until May 5, 2009. The acquisition has left Tullow with a 32 percent stake, U.S.-based Okland Oil Co with 8.0 percent, while Total holds the remaining 60 percent in the offshore blocks. The firm will also drill one exploratory well to a depth of at least 3,000 metres in the Bay of Bengal to find new gas reserves in the structure.

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Mundra Port, SEZ plans to raise Rs 1,500 cr via IPO

Adani group promoted Mundra Port and Special Economic Zone Ltd (MPSEZL) is planning to raise Rs 1,500 crore through an initial public offer to part fund the development of the port.

The company plans to hit the capital market through a public issue of 40,250,000 equity shares of Rs 10 each. MPSEZL the developer and operator of Mundra Port, located in Kutch district of Gujarat, is primarily engaged in providing bulk cargo services, container cargo, crude oil cargo and value-added port services, including railway services between Mundra Port and Adipur. MPSEZL is the first company from SEZ and port sector to hit the capital market. The proceeds of the issue would be utilised for the further development of Mundra port and SEZ.

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