The world’s biggest oil explorers are fighting a U.S. plan to toughen offshore drilling rules that Exxon Mobil Corp. said will cost $25 billion over 10 years and render many offshore discoveries worthless.

The Obama administration is expected to issue the sweeping new regulations Thursday, a person familiar with the decision said, as part of an effort to reduce the number of well blowouts after the explosion aboard the Deepwater Horizon rig in 2010. The government has pegged the rules’ costs at less than $1 billion.

http://houstonenergyinsider.com/?p=5210

He is citing a 2010 incident that happens rarely.

Aren't regulations just a fancy word for government cash grab?

He is citing a 2010 incident that happens rarely.

Aren't regulations just a fancy word for government cash grab?

From the linked article: In 2013 and 2014, drillers in the Gulf lost control of eight and seven wells, respectively, according to Salerno. One incident resulted in a blowout “that caused a massive explosion and fire on the rig,” he told the senators.

Hate to admit it, but we as an industry brought this on ourselves. Not that I agree with the actual proposed regulations since I don't have all the details. Edit: Nor do I believe we'd be any safer under increased government scrutiny.

Edited April 15, 201610 yr by impulse