Important article by E&E News reporter Heather Richards.
BOE blog post: “The troubling case of Platforms Hogan and Houchin, Santa Barbara Channel”
Posts Tagged ‘Platform Houchin’
Update on Platforms Hogan and Houchin, Santa Barbara Channel
Posted in California, decommissioning, Offshore Energy - General, tagged decommissioning, Platform Hogan, Platform Houchin, Santa Barbara Channel on May 31, 2023| Leave a Comment »
For those who have been following the saga of Platforms Hogan and Houchin, decommissioning specialist John B. Smith brought this update to my attention:
Platforms Hogan and Houchin: These platforms are currently being manned, monitored and maintained as part of an agreement between BSEE, BOEM, DOI Solicitors Office, and the three predecessor lessees as they await a decision on the predecessors’ appeal to the IBLA. BSEE estimates an approximately $5 million deficit in financial assurance to decommission 21 orphaned sidetrack wells associated with these platforms.
BSEE
Comments:
- Although the status of the decommissioning account for these platforms has not been disclosed, permanently abandoning these 21 wells will be costly. if the over/under is an additional $5 million, bet on the over.
- After the wells are plugged, the platforms have to be removed at great cost to someone (hopefully not the taxpayer), and when will the matter of who pays finally be resolved?
- BSEE estimated decommissioning costs of $74.3 million in 2014. What are the current estimates?
- When will the 9/20/2020 Inspector General report that found significant irregularities in the use of the decommissioning escrow funds be made publicly available?
Bud's Offshore Energy (BOE) 