For a decade, the U.S. Department of the Interior has wrestled with financial assurance (or bonding) requirements for offshore oil and gas companies. Over the last 10 years, the Interior Department has released – and later...more
Decommissioning. A word familiar to all of those who are involved in oil and gas exploration and production around the globe. It is defined in the Cambridge English Dictionary as “taking a factory or other industrial...more
The U.S. Department of the Interior, through its Bureau of Ocean Energy Management (BOEM), published a proposed rule on June 29, 2023, to significantly modify how the agency assesses the offshore oil and gas industry's...more
On 16 February 2023, the Association of International Energy Negotiators (“AIEN”, formerly the Association of International Petroleum Negotiators or AIPN) published an updated version of its model form joint operating...more
In February 2023, the Association of International Energy Negotiators (“AIEN”) published the latest version of its Model International Joint Operating Agreement (the “2023 JOA”) and related guidance notes (the “Guidance...more
In Central Boat Rentals, Inc. et al. v. M/V NOR GOLIATH, the Fifth Circuit once again considered what was a “necessary” provided to a vessel that gave rise to a maritime lien under the Commercial Instruments and Maritime...more
An eye towards sustainability has always been at the forefront of the renewable energy industry, but in many cases, technology was not able to catch up to the good intentions of the industry until recently....more
As more states continue to adopt and consider rules for renewable energy facility decommissioning, they do so against the backdrop of the existing federal financial assurance rules implemented by the Bureau of Land Management...more
As offshore assets age, oil and gas companies face a wave of decommissioning obligations, with expenditures estimated to exceed US$200 billion in coming decades. Decommissioning is not simply demolition. It requires plugging...more
The federal Bureau of Safety and Environmental Enforcement (BSEE) directs decommissioning of facilities located in federal waters of the Outer Continental Shelf (OCS) that are used in performance of oil and gas exploration...more
In the recent case of Apache UK Investments Limited v Esso Exploration and Production UK Limited [2021] EWHC 1283 (Comm), the English High Court has delivered an important ruling which addresses the extent to which a prior...more
On February 1, 2021, amendments to the Environmental Management Act (EMA) and associated changes to the Contaminated Sites Regulation relating to the process for identifying contaminated sites came into force. A notable...more
On September 18, 2020, the British Columbia government announced that the first half of a $100-million fund earmarked for cleaning up dormant wells has been disbursed. The Dormant Sites Reclamation Program is dedicated to...more
Southeast Asia appears set to become the next key market in the decommissioning of offshore oil and gas assets. With an estimated 200 offshore fields likely to stop producing by 2030, comprising more than 1,500 platforms and...more
The NRC’s Reactor Decommissioning Financial Assurance Working Group recently held a public meeting to receive comments on potential guidance updates before publishing its final report. Prior to the public meeting, the working...more
In 2014, we wrote about efforts by the U.S. Department of Interior’s Bureau of Safety and Environmental Enforcement (BSEE) to require less traditional parties to fund the decommissioning of idle oil and gas wells and related...more
A recent report on decommissioning provides up-to-date predictions for the future costs of dismantling infrastructure in the United Kingdom Continental Shelf. It is the first financial estimate by the Oil & Gas Authority...more
Where are we now? It all sounds simple enough. The dual objectives of the UK government today in relation to petroleum production from the North Sea are to maximise the economic recovery from domestic reserves and, once...more