The Bureau of Safety and Environmental Enforcement (BSEE) requires an updated evaluation of decommissioning methodologies and cost estimates for offshore oil and gas facilities in the Pacific Outer Continental Shelf (OCS) Region. This effort supports BSEE’s five-year cycle of assessing lessees’ financial capability to meet decommissioning obligations and determining supplemental bonding requirements. The study aims to review and update decommissioning scenarios, engineering and planning assumptions, and cost models from the 2020 report, incorporating current industry practices, technological advancements, regulatory requirements, and market conditions. Key tasks include analyzing decommissioning techniques, preventative maintenance for idle facilities, and cost data collection from local and regional vendors for services such as well plugging, abandonment, and cutting operations. Deliverables include a comprehensive report detailing revised cost assumptions, methodologies, and engineering plans, with graphical representation of cost distribution across major decommissioning phases. The final report will provide BSEE with accurate, region-specific cost estimates to ensure safe, environmentally responsible decommissioning and informed financial assurance decisions.
Ongoing