Refer to the Oil & Gas Journal (Jan. 3, 2005) study of active and inactive oil and gas structures in the Gulf of Mexico, Exercise 3.19 (p. 93). The table summarizing the results of the study is reproduced here. Consider the structure type and active statusof one of these oil/gas structures.

Data from in problem 3.19

U.S. federal regulations require that operating companies clear all inactive offshore oil and gas structures within one year after production ceases. Researchers at the Louisiana State University Center for Energy Studies gathered data on both active and inactive oil and gas structures in the Gulf of Mexico (Oil & Gas Journal, Jan. 3, 2005). They discovered that the gulf had 2,175 active and 1,225 idle (inactive) structures at the end of 2003. The table breaks down these structures by type (caisson, well protector, or fixed platform). Consider the structure type and active status of one of these oil/gas structures.

a. Given that the structure is a fixed platform, what is the probability that the structure is active?

b. Given that the structure is inactive, what is the probability that the structure is a well protector?

Transcribed Image Text:

Caisson Well Protector Active 503 Inactive 598 225 177 Fixed Platform 1,447 450 Totals 2,175 1,225