The engineers working on the Macondo well in the Gulf have abandoned the top kill procedure. Late yesterday afternoon, BP's Chief Operating Officer Doug Suttles announced that the top kill and the junk shot did not plug the leaking well, so they are moving to the next option--the low marine riser package, or LMRP.

The LMRP involves using ROVs to make a clean cut through the riser at the top of the blowout preventer (BOP) with a high-tech device similar to a band-saw, and then lowering a new riser fitted with a sealing grommet to the existing riser. On the surface, the Discoverer Enterprise drillship will collect the escaping oil and natural gas. Suttles told reporters yesterday that the procedure could take four days and that the equipment is on scene and is ready for deployment.

BP also... more »

The Memorial Day weekend traditionally is considered the beginning of the summer driving season, and this weekend travelers will receive a nice surprise at the pump.

API's Chief Economist John Felmy says gasoline prices have fallen 18.0 cents in the past three weeks, following a drop in crude oil prices. According to AAA, U.S. gasoline prices today average $2.749 a gallon, down from a recent peak of $2.929 on May 5.

The price of crude oil is the single largest factor in pump prices. The U.S. Energy Information Administration says crude oil accounts for about 69 percent of the pump price. Yesterday, the price of crude oil stood at $74.55 a barrel, which is significantly lower than the recent peak of $86.19 a barrel on May 3. The Philadelphia Inquirer reports crude prices have declined due t... more »

President Obama is traveling to the Gulf Coast to see the oil spill response first-hand today. His trip comes one day after he held a news conference to announce delays and cancellations in the U.S. offshore energy development program.

Here's a brief wrap-up of the president's remarks and other newsworthy items that occurred yesterday:

• President Obama halted work on 33 exploratory wells being drilled in the Gulf, delayed the drilling of five wells in offshore Alaska until 2011, cancelled lease sales planned for the western Gulf and off the coast of Virginia, and delayed all deepwater permits in the Gulf of Mexico for at least six months while a commission reviews offshore safety and operational procedures and requirements. API responded with a statement.
• Engineers pumped heavy drilling fl... more »

(Editor's note: While understanding and correcting the causes of the Gulf of Mexico accident are essential, the American Petroleum Institute (API) opposes lengthy or open-ended delay of offshore oil and natural gas development, as proposed today by the administration. Offshore development is crucial to creating and saving jobs and strengthening U.S. energy security.

API's President and CEO Jack Gerard offered the following response to the president's announcement.)

"We understand the concerns many people have about offshore drilling in the wake of this incident, and the frustration many feel toward oil companies. But this issue is much larger than the oil industry, since access to affordable energy impacts every sector of our economy, every state in our nation and every American family. Fu... more »

At an early morning news conference, U.S. Coast Guard Adm. Thad Allen said today that engineers have stopped the flow of oil and gas into the Gulf of Mexico.

The "top kill" procedure, in which heavy drilling fluids are pumped at a high rate of speed into the blowout preventer (BOP) and down the wellbore, apparently is working.

As The Los Angeles Times reports, the pressure from the well is low but not at zero yet. When the pressure has been overcome completely by the fluid, engineers will pump cement into the well and entomb it. Engineers also are pumping debris into the BOP in an apparent "junk shot." The Times also notes that only after the cementing is completed, sealing the well, can the top kill be called a success.

Adm. Allen said he was encouraged by the top kill's progress. "We'll... more »