• 5 minutes Mike Shellman's musings on "Cartoon of the Week"
  • 11 minutes Permian already crested the productivity bell curve - downward now to Tier 2 geological locations
  • 17 minutes WTI @ 67.50, charts show $62.50 next
  • 1 day The Discount Airline Model Is Coming for Europe’s Railways
  • 10 hours Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 32 mins Starvation, horror in Venezuela
  • 19 hours Pakistan: "Heart" Of Terrorism and Global Threat
  • 5 hours Renewable Energy Could "Effectively Be Free" by 2030
  • 6 hours Saudi Fund Wants to Take Tesla Private?
  • 24 hours Venezuela set to raise gasoline prices to international levels.
  • 18 hours Are Trump's steel tariffs working? Seems they are!
  • 2 days Batteries Could Be a Small Dotcom-Style Bubble
  • 2 days Newspaper Editorials Across U.S. Rebuke Trump For Attacks On Press
  • 2 days France Will Close All Coal Fired Power Stations By 2021
  • 2 days Don't Expect Too Much: Despite a Soaring Economy, America's Annual Pay Increase Isn't Budging
  • 2 days Scottish Battery ‘Breakthrough’ Could Charge Electric Cars In Seconds
Is This A Game Changer For Drones?

Is This A Game Changer For Drones?

Fuel cell technology could significantly…

U.S. To Issue Rules on Decommissioning Oil Rigs

The former Director of the Bureau of Ocean Energy Management (BOEM) said on March 6 that the Obama administration will soon issue new rules governing the decommissioning of old offshore oil infrastructure. Tommy Beaudreau spoke at the Offshore Technology Conference in Houston and said BOEM would publish a notice of new rules this summer. BOEM is the agency that regulates offshore oil and gas drilling, and is housed within the Department of Interior.

“This will be an open, transparent process (on) how we meet these challenges around aging infrastructure and decommissioning,” Beaudreau said, according to Fuel Fix.

Beaudreau said that existing laws concerning decommissioning old offshore oil infrastructure, such as oil platforms and pipelines, are insufficient. Offshore oil drilling in the Gulf of Mexico is as active as ever, but many of the rigs and pipelines are aging. Drillers prefer to use rigs as long as possible, as the daily costs of operating are high.

But Beaudreau also went to lengths to calm concerns from the industry.

Related Article: EIA: Gulf Oil Production Set For Rebound

“I know in an environment where costs are always a key concern for you — including rising operating costs — conversations around decommissioning costs can be uncomfortable and maybe even a little painful,” Beaudreau said. “But it’s something we all need to own up to and face up to.”

He noted that the notice that the agency will publish in the summer is only the beginning of a long process before regulations are finalized. He said BOEM would work with the oil and gas industry to ensure the rules work well, and he wants the industry “to provide us feedback on the types of issues we need to be thinking about in the context of decommissioning.”

Tommy Beaudreau is now the Chief of Staff to Secretary of Interior Sally Jewel.

By James Burgess of Oilprice.com



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News