US Gov’t Shutdown to Impact Oil Industry
From Upstream Online
By Luke Johnson
Companies seeking permits to drill on federal lands from the Interior Department’s Bureau of Land Management (BLM) may be left out in the cold as the department halts onshore permitting operations.
Offshore drillers are in a better position since funding for their permitting process comes largely through revenue streams provided by industry fees and rental payments, rather than the federal allocations to which the BLM is subject.
Offshore inspections would also likely go ahead since they are deemed vital to public health and safety.
Permits for exporting LNG would cease, however. So would federal testing of oil-spill response equipment.
Regulators at the Bureau of Ocean Energy Management (BOEM) would stop processing high bids for offshore drilling rights from the lease sale last August.
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