Next week BSEE is hosting a workshop in Houston to receive additional feedback on the Well Control and Blowout Preventer Systems rule ("Well Control Rule") as part of their regulatory reform initiative.
In 2016, the previous administration finalized the Well Control Rule with minimal input from industry and stakeholders. In fact, GEST commissioned a study by international consulting firm Wood Mackenzie which was released in 2016 that demonstrated the severe impacts the Well Control Rule would have on America's oil and gas industry, our national economy and Gulf Coast communities. Some of those impacts are listed below.
Ultimately, the study demonstrated that the Well Control Rule would impact the attractiveness of the Gulf of Mexico for future oil and gas investment and result in oil and gas operators choosing to develop energy resources in other parts of the world, leading to long term irreversible energy impacts. The cost burden of the rule was far reaching and would be shared by all offshore operators, drilling contractors and service providers. GEST looks forward to being part of the process to revise the Well Control Rule to ensure continued safe offshore energy operations while not crippling America’s oil and gas industry.