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View Full Version : Judge blocks Gulf offshore drilling moratorium




bobbyw24
06-22-2010, 12:26 PM
By MICHAEL KUNZELMAN, Associated Press Writer Michael Kunzelman, Associated Press Writer – 5 mins ago

NEW ORLEANS – A federal judge in New Orleans on Tuesday blocked a six-month moratorium on new deepwater drilling projects imposed in response to the massive Gulf oil spill.

The White House promised an immediate appeal. President Barack Obama's administration had halted approval of any new permits for deepwater drilling and suspended drilling of 33 exploratory wells in the Gulf.

Press Secretary Robert Gibbs said Obama believes strongly that drilling at such depths does not make any sense and puts the safety of workers "at a danger that the president does not believe we can afford."

Several companies that ferry people and supplies and provide other services to offshore drilling rigs asked U.S. District Judge Martin Feldman in New Orleans to overturn the moratorium, arguing it was arbitrarily imposed.

Feldman agreed, saying in his ruling the Interior Department seemed to assume that because one rig failed, all companies and rigs doing deepwater drilling pose an imminent danger.

"An invalid agency decision to suspend drilling of wells in depths of over 500 feet simply cannot justify the immeasurable effect on the plaintiffs, the local economy, the Gulf region, and the critical present-day aspect of the availability of domestic energy in this country," Feldman wrote.

The moratorium was imposed after the April 20 explosion on the Deepwater Horizon drilling rig that killed 11 workers and blew out the well that has spewed millions of gallons of oil into the Gulf.

The Interior Department said it needed time to study the risks of deepwater drilling. But the lawsuit filed by Hornbeck Offshore Services of Covington, La., claimed there was no proof the other operations posed a threat.

Company CEO Todd Hornbeck said after the ruling that he is looking forward to getting back to work.

"It's the right thing for not only the industry but the country," he said.

The moratorium was declared May 6 and originally was to last only through the month. Obama announced May 27 that he was extending it for six months.

In Louisiana, Gov. Bobby Jindal and corporate leaders have said the moratorium will force drilling rigs leaving the Gulf of Mexico for lucrative business in foreign waters.

http://news.yahoo.com/s/ap/us_gulf_oil_spill