The California coast has been an oil and gas hub for more than a century. The state’s rigs are being slowly decommissioned, though, to protect coastal resources and ecosystems.
The Biden administration just released an announcement to end all offshore operations at eight of the 23 oil and gas wells off Southern California. Each of these eight platforms and their associated pipelines will be decommissioned and completely removed.
Although the Preliminary Proposed Action is for complete removal, the Bureau of Safety and Environmental Enforcement (BSEE) is also considering alternatives. One of these alternatives is a partial removal, which would remove the top of the platforms while leaving the lower portions intact, and the other is not taking any action at all.
The timing of regulatory decisions is still uncertain, but the final Programmatic Environmental Impact Statement (PEIS) is tentatively scheduled for publication in June of next year.
With the societal push towards renewable, clean energy, the offshore drilling era is ending. And while the decommissioning process may be controversial, it does present a unique opportunity for Alliance Energy Group.
Even though a timeframe hasn’t been established, the other 15 oil rigs will eventually need to be decommissioned. Alliance Energy Group’s expertise and capabilities positions it to be a major player in helping oil and gas rig owners fulfill their obligations in retiring offshore assets in a safe, environmentally-responsible manner.
