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Violations of Environmental Terms in Federal Oil and Gas Lease Insufficient to Support a Claim under the False Claims Act

The Energy Law

06-31238, 2008 WL 588745 (5th Cir. 2008), the Fifth Circuit Court of Appeals affirmed the district court’s decision to dismiss a qui tam action brought under the Federal Claims Act (FCA). In determining this issue, the court looked to the materiality of the claim.

Oil 40
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OCS Lease Expiration: MMS Denial of Suspension of Operations Upheld

The Energy Law

173 IBLA 250 (2008), affirms an MMS denial of a Suspension of Operations (“SOO”) where the lessee submitted an revised exploration plan (“EP”) and permit to drill (“APD”) just days before the lease’s 10-year primary term expired, but was unable to conduct lease activities before the expiration date.

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Department of Interior Proposes New Financial Assurance and Decommissioning Regulations

The Energy Law

In most cases of default of a current lessee or owner of operating rights, BSEE will call upon a prior interest owner to perform the required decommissioning. 2008-N07, a lessee that passed the established thresholds was waived from providing additional security to cover its decommissioning liability. This first of such NTLs, NTL No.

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Department of Interior Proposes New Financial Assurance and Decommissioning Regulations

The Energy Law

In most cases of default of a current lessee or owner of operating rights, BSEE will call upon a prior interest owner to perform the required decommissioning. 2008-N07, a lessee that passed the established thresholds was waived from providing additional security to cover its decommissioning liability. This first of such NTLs, NTL No.