In April 2010, the Gulf Coast experienced one of the greatest environmental catastrophes in modern history: the blowout of the Deepwater Horizon. Putting aside the environmental impacts, 11 people tragically lost their lives in the explosion.
Recognizing the need for change, Obama administration’s new proposed offshore oil well rules seek to avoid future blowouts by imposing stricter regulations on the equipment used in offshore oil and gas operations.
Explanation of New Proposed Offshore Oil Well Rules
Obama’s new regulations focus on blowout preventers used in offshore wells and ensuring that well blowouts can be controlled quickly. The regulations establish schedules for maintenance and repair of blowout preventers and require equipment audits. Each blowout preventer would also be accompanied by a backup shear ram to seal a pipe in the event of an emergency.
In addition to equipment requirements, the new proposed offshore oil well rules will also require real-time monitoring of heat and pressure data from offshore wells.
Oil and Gas Industry Response to New Proposed Offshore Oil Well Rules
The proposed offshore well rules will have a significant impact on oil and gas companies. It is estimated that implementing the new regulations will cost the industry $88 million per year over the next ten years. This is certainly not a small sum.
Erik Milito of the American Petroleum Institute has said that they are currently reviewing the proposed rules and noted that: “Improved standards for blowout preventers are one of the many ways industry has led the charge to make offshore operations even safer.”
Despite the steep price tag for the regulations, analysts do not expect much pushback from the industry. Only time will tell if there is any opposition, but the early response is positive and is a good sign for increased safety for offshore workers.
Louisiana Offshore Injury Lawyer
If you’ve been injured in an accident while working offshore, call (504) 564-7342 today. The Mahone Firm is here to help. There is no charge for a consultation with a New Orleans personal injury attorney.
