USA approves first deep-water well in Gulf

Citation

(2011), "USA approves first deep-water well in Gulf", Management of Environmental Quality, Vol. 22 No. 4. https://doi.org/10.1108/meq.2011.08322daa.006

USA approves first deep-water well in Gulf

Article Type: News From: Management of Environmental Quality: An International Journal, Volume 22, Issue 4

The USA has approved the first deepwater drilling permit in the Gulf of Mexico since BP’s massive oil spill. The Bureau of Ocean Energy Management, Regulation and Enforcement announced in mid-March 2011 that it issued a permit to Noble Energy Inc. to continue work on its Santiago well about 70 miles southeast of Venice, LA. Drilling will resume nearly one year after BP’s blowout created the worst offshore spill in USA history.

Noble started drilling the well four days before the Deepwater Horizon oil rig exploded in April 2010. The project was put on hold in June 2010 after the USA placed a moratorium on exploration in waters deeper than 500 feet. No new deepwater permits had been issued since the moratorium was lifted in October. Regulators have been under pressure from the oil industry and some lawmakers to get drilling projects started again in the Gulf while ensuring that new safeguards are in place. That pressure increased last week as the price of oil spiked above $100 per barrel and the price of gasoline hit its highest level in two and a half years.