Friday, March 13, 2015
The Bureau of Safety and Environmental Enforcement (BSEE) and the Bureau of Ocean Energy Management (BOEM) have released proposed regulations aimed at ensuring that future exploratory drilling activities on the U.S. Arctic Outer Continental Shelf are done safely and responsibly, subject to strong and proven operational standards. The proposed Arctic-specific regulations focus solely on offshore exploration drilling operations within the Beaufort Sea and Chukchi Sea planning areas.
The proposals codify requirements that all Arctic offshore operators and their contractors are appropriately prepared for Arctic conditions and that operators have developed an integrated operations plan that details all phases of the exploration program for purposes of planning and risk assessment. The proposed rule would also require operators to submit region-specific oil spill response plans, have prompt access to source control and containment equipment, and have available a separate relief rig to timely drill a relief well in the event of a loss of well control. The proposed rule is said to allow for technological innovation, as long as the operator can demonstrate that the level of safety and environmental performance satisfies standards set forth in the proposed rule.
BSEE comments that the proposed regulations have been developed with significant input from the state of Alaska, North Slope communities, industry, and non-governmental organizations. The proposed regulations will be open for additional public comment. A draft environmental assessment, required by the National Environmental Policy Act, is also available for public comment.
In January 2013, former Interior secretary Ken Salazar directed a high-level review of Royal Dutch Shell’s 2012 offshore drilling program in the Beaufort and Chukchi seas, including the company’s preparations for the 2012 drilling season and its maritime and emergency response operations to identify challenges and lessons learned. In March 2013 the department released the findings of the assessment, which also included recommendations to guide future exploratory activities. The proposed new regulations incorporate some of the lessons learned from Shell’s 2012 operations and recommendations from Interior’s review.
The proposals codify requirements that all Arctic offshore operators and their contractors are appropriately prepared for Arctic conditions and that operators have developed an integrated operations plan that details all phases of the exploration program for purposes of planning and risk assessment. The proposed rule would also require operators to submit region-specific oil spill response plans, have prompt access to source control and containment equipment, and have available a separate relief rig to timely drill a relief well in the event of a loss of well control. The proposed rule is said to allow for technological innovation, as long as the operator can demonstrate that the level of safety and environmental performance satisfies standards set forth in the proposed rule.
BSEE comments that the proposed regulations have been developed with significant input from the state of Alaska, North Slope communities, industry, and non-governmental organizations. The proposed regulations will be open for additional public comment. A draft environmental assessment, required by the National Environmental Policy Act, is also available for public comment.
In January 2013, former Interior secretary Ken Salazar directed a high-level review of Royal Dutch Shell’s 2012 offshore drilling program in the Beaufort and Chukchi seas, including the company’s preparations for the 2012 drilling season and its maritime and emergency response operations to identify challenges and lessons learned. In March 2013 the department released the findings of the assessment, which also included recommendations to guide future exploratory activities. The proposed new regulations incorporate some of the lessons learned from Shell’s 2012 operations and recommendations from Interior’s review.
