BP received approval from the U.S. government to conduct integrity tests (CSM) on the leaking oil well in the Gulf of Mexico. If the two-day test is successful, BP will have shut off the source of the spill that has gushed for almost three months. In a series of six-hour intervals, engineers will shut down the five open valves flowing with oil and monitor pressure readings that indicate if they are creating new problems.

Preparations for the test were delayed (NYT) Wednesday after a leak was found in one of three lines expected to channel oil to ships on the surface. The leak has been isolated and must repaired before BP can begin the test.

A U.S. House panel voted to ban BP from obtaining new offshore drilling leases or permits for as many as seven years. Another measure would make it harder for oil companies (WSJ) with a history of violations to drill.

Analysis:

On Forbes.com, Gordon Chang says PetroChina's announcement that it was willing to assist BP with the spill is worrisome because of China's predatory resource policies.

In Der Spiegel, Frank Dohman and Marco Evers say BP's loss of market value and potential asset sales is disastrous for Great Britain.

In the wake of the Gulf spill, the United States should craft regional pacts with its neighbors to address pollution and liability issues arising from ever deeper oil and gas exploration, says expert Caitlyn Antrim.

 

China, the world's third-largest economy, slowed from 11.9 percent growth (AP) in the first quarter to 10.3 percent in the second quarter, as the impact of its massive stimulus eases and the country clamps down on a credit boom.

North Korea: Military officers from North Korea and the U.S.-led UN Command met for talks (AP) on the deadly sinking of a South Korean warship, though it was unclear what was discussed.

 

ELSEWHERE:

- Iranian Nuclear Scientist Goes Home
- Uganda Wants Offensive Against Rebels
- Argentina Legalizes Same-Sex Marriage

This is an excerpt of the CFR.org Daily News Brief. The full version is available on CFR.org