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Department of Interior Proposes New Financial Assurance and Decommissioning Regulations

The Energy Law

The proposed regulations define “predecessor” as “a prior lessee or owner of operating rights, or a prior holder of a right-of-use and easement grant [RUE], or a pipeline right-of-way grant [ROW], that is liable for accrued obligations on that lease or grant.”

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DOI Announcement of a Proposed Rule on Risk Management, Financial Assurance and Loss Prevention

The Energy Law

supplemental bonding) for OCS lessees and grant holders of pipeline rights-of-way (“ROW”) and rights-of-use and easement (“RUE”), while protecting U.S. The announcement provides, among other things, that the proposed rulemaking is in efforts to clarify, streamline and provide greater transparency to the financial assurance requirements (e.g.,