"This project is significant because if successful, it will clear the way to more affordable, more realistic deepwater production," says Jim Chitwood with RPSEA. "The current situation in deepwater exploration is that often companies drill several deepwater wells and commingle production. Measuring the flow from each well and allocating the oil and gas production is a big issue at those depths."

At risk are significant revenues from oil and natural gas production, as well as possible impacts on royalty payments. Both the Department of Interior and Department of Energy have called for advances in technology to address issues in measuring and monitoring deepwater production. Says Chitwood, "This project should assist in addressing those technology gaps for everyone."

In addition to government funding, the project is partially funded by a coalition of oil and gas concerns, including BHP Billiton, BP, Chevron, ConocoPhillips, Shell, StatoilHydro, & Total. Each firm contributed an equal amount to the effort.

Jim Hall, PhD and co-founder of the Letton-Hall Group, says, "This is one of the first and one of the largest deepwater contracts that RPSEA has ever awarded, we're proud to have been selected to lead the Deepwater Measurement Project."

"The Letton-Hall Group has proven expertise in ultra deepwater measurement," saysC. Michael Ming, President of RPSEA. "Their integrated approach to this complex challenge is exactly what the program is looking for to address the unique technology and architecture challenges associated with ultra-deepwater operations, and we are glad to have them onboard."

For this project, the Letton-Hall Group will specifically tap two companies with further expertise in deepwater. Oceaneering International, the world leader in remotely operated subsea vehicles (ROVs), and Multiphase Systems Engineering, international experts in compact multiphase separation technology, are rounding out Letton-Hall Group's research team.

About Letton-Hall Group

The Letton-Hall Group is one of the world's premier upstream and midstream oil and gas measurement consulting firms. They assist clients in understanding their flow measurement needs and in evaluating technology to address these needs. Confidential, systematic and thorough, the group was founded in 2001. It has over 20 patents to its credit and a client list that includes the who's who of the oil and gas industry. Additional information can be found at www.letton-hall.com.

About RPSEA

Funding for the projects is provided through the "Ultra-Deepwater and Unconventional Natural Gas and Other Petroleum Resources Research and Development Program" authorized by the Energy Policy Act of 2005. This program”funded from lease bonuses and royalties paid by industry to produce oil and gas on federal lands”is specifically designed to increase supply and reduce costs to consumers while enhancing the global leadership position of the United States in energy technology through the development of domestic intellectual capital. RPSEA is under contract with the U.S. Department of Energy's National Energy Technology Laboratory to administer several elements of the program. RPSEA is a 501(c)(3) nonprofit consortium with more than 145 members, including 25 of the nation's premier research universities, five national laboratories, other major research institutions, large and small energy producers and energy consumers. The mission of RPSEA, headquartered in Sugar Land, Texas, is to provide a stewardship role in ensuring the focused research, development and deployment of safe and environmentally responsible technology that can effectively deliver hydrocarbons from domestic resources to the citizens of the United States. Additional information can be found at www.rpsea.org.

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