Crude oil production in the offshore Gulf of Mexico (GOM) increased by more than 50% from 2013 to 2019, an extraordinary period of growth supported by new discoveries, new offshore platforms and new subsea tiebacks. Then, battered by Covid and major hurricanes, GOM output stumbled in 2020 and 2021, twice falling to less than 1.1 MMb/d, barely half the all-time mark of 2.04 MMb/d achieved in August 2019. More recently, production in the Gulf has been rebounding. But despite these gains — and a relatively mild 2023 hurricane season in the central and western Gulf — the region faces new challenges, including federal leasing delays, a significant oil spill, and an endangered species of sea giants known as Rice’s whales. 

Roundabout! - Canada-To-Rockies Crude Flows Reshaping The PADD 4 Guernsey Market

Canadian crude output is rising, requiring new export routes. As traditional pathways face constraints, the U.S. Rockies—especially the Guernsey, WY hub—are emerging as key corridors for moving Canadian heavy crude to downstream markets, including the Gulf Coast.

Just over a year ago, in Here Comes the Sun, we said that GOM producers have seen many ups and downs in the 21st century, including the setbacks that came with hurricanes Katrina and Rita in 2005 (dashed red oval in Figure 1), hurricanes Gustav and Ike in 2008 (dashed green oval), and the Deepwater Horizon spill in 2010, which spurred a steep, 18-month slide in production (dashed yellow oval). However, as illustrated by the orange arrow, the GOM then experienced its longest, largest period of production growth since the 1990s, when output roughly doubled.

During the 2013-19 growth spurt, producers in the Gulf made new discoveries, added a handful of new offshore platforms and — just as important (and maybe more so) — completed a slew of new subsea tiebacks, which “tie back” new wells to existing platforms with umbilical-cord-like connections. Tiebacks enable E&Ps to add new production much more quickly and at a fraction of the cost of new platforms (see Smooth Sailing).

Figure 1. Gulf of Mexico Field Production of Crude Oil. Source: EIA 

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About the song

“Don't Give Up” was written by Peter Gabriel and appears as a duet with Kate Bush as the third song on Peter Gabriel’s fifth studio album, So. Released as a single in October 1986, it went to #72 on the Billboard Hot 100 Singles chart. Gabriel was inspired to write the song after viewing Dorothea Lange’s classic photographs of people suffering during the Dust Bowl days in her 1973 book, In This Proud Land. In 1987, the song won an Ivor Novello Award. Two videos were released for the song. The first was done by 10cc members and music video pioneers Godley & Creme and the second by Grammy Award-winning Jim Blashfield with Mellissa Marsland. Elton John has said that the song helped him on his path to sobriety. The late actor Matthew Perry had also stated that he was moved by the song; it was played at his funeral in November 2023. The song has also been covered by Willie Nelson with Sinead O'Connor and Bono with Alicia Keys. Personnel on the record were: Peter Gabriel (vocals, synthesizers, piano, drum programming), Kate Bush (vocals), David Rhodes (guitars), Tony Levin (bass), Richard Tee (piano), Manu Katche (drums, percussion), and Simon Clark (synthesizer). 

So was recorded between February and December 1985 at Ashcombe House in Somerset, England, and The Power Station in New York City. It was produced by Peter Gabriel and Daniel Lanois. The album was released in May 1986 and went to #2 on the Billboard 200 Albums chart. It has been certified 5X platinum by the Recording Industry Association of America. Five singles were released from the LP.  

Peter Gabriel is an English singer, songwriter, record producer, and musician. He started his professional career as the lead vocalist in the prog-rock band Genesis. As a solo artist, he has released 10 studio albums, five live albums, five compilation albums, four soundtrack albums, and 46 singles. He has won three Brit Awards, six Grammy Awards, three Ivor Novello Awards, and 13 MTV Video Music Awards. He continues to record and tour. His new LP, i/o, will be released in December 2023.

Kate Bush is an English singer, songwriter, record producer, and dancer. She has released 10 studio albums, two live albums, two compilation albums, five EPs, and 36 singles. She has won one Brit Award and two Ivor Novello Awards and was inducted into the Rock and Roll Hall of Fame in 2023. She continues to record and is currently on tour in the U.S. and Canada. 

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