Wirelines

US Interior Department moves to rescind rule on Alaskan Petroleum Reserve

The US Department of the Interior (DOI) has proposed rescinding a rule put in place last year that added new restrictions on oil and gas development in the National Petroleum Reserve in Alaska. Rescinding the rule would remove regulations that are inconsistent with the Naval Petroleum Reserves Production Act of 1976.

The Reserve, encompassing approximately 23 million acres on Alaska’s North Slope, was set aside by Congress for oil and gas exploration and development as a matter of national energy security and policy in reaction to the oil crisis in the 1970s. The US Bureau of Land Management (BLM) administers the reserve pursuant to the Naval Petroleum Reserves Production Act, which mandates an “expeditious program of competitive leasing” while balancing the protection of surface resources.

The 2024 rule significantly expanded procedural requirements and created a presumption against oil and gas activity in approximately 13 million acres designated as “Special Areas” unless operators could prove minimal or no adverse effects on surface resources. In a statement, the DOI said these provisions “undermine the BLM’s obligation to carry out an effective and timely leasing program.”

Under the proposed rule rescission, the BLM would revert to the regulations that were in place prior to 7 May 2024, which the DOI says “have long guided responsible development in the National Petroleum Reserve in Alaska while incorporating protections for wildlife, subsistence and surface values through the Integrated Activity Plan process.”

IADC facilitates dialogue with DC over tariff impacts

Recent metals tariffs enacted by US President Donald Trump could have significant impacts on the oil and gas industry, including drilling contractors. According to an IADC Tariff Impact Survey conducted earlier this year, the tariffs could result in a 14% increase in average effective costs for drilling contracors, which would need to be passed on to their customers. Speaking to DC from the 2025 IADC Drilling Onshore Conference and Exhibition in Houston on 15 May, Joe Lillis, VP of Policy at IADC, described the expected cost increase from the tariffs as “something no one wants to deal with” and noted that he’s hearing drilling contractor members stressing a need for cost certainty. Click here to see the video.

Texas RRC issues new guidelines for Permian saltwater disposal wells

To enhance the integrity of the underground disposal of produced water, the Railroad Commission of Texas (RRC) released new requirements for saltwater disposal well (SWD) permit applications in the region.

New and amended permit applications in the Permian Basin will now be evaluated based on three primary factors:

• An expanded area of review (AOR) at the injection site;
• Limit on the maximum injection pressure at the surface based on geologic properties; and
• Limits on the maximum daily injection volume based on reservoir pressure.

In an AOR, operators are required to assess old or unplugged wells to ensure produced water will not escape through these wellbores. The new guidelines increase the AOR to half a mile, an increase from the current quarter-mile radius.

The new permitting criteria also require operators to demonstrate that their injection pressure will not fracture the confining strata of the reservoirs into which produced water is injected. Additionally, the RRC will place limits on the maximum volumes that SWD wells can inject based on the pressure in the disposal reservoirs.

The RRC noted that these changes aim to strengthen disposal well permitting requirements by ensuring that injected fluids remain confined to the disposal formations to safeguard ground and surface fresh water.

UK revises guidance on oil and gas impact statements

On 19 June, the UK Department for Energy Security and Net Zero published new guidance on how the environmental impact of oil and gas projects in the North Sea should be evaluated. The guidance comes in response to a Supreme Court ruling last year and requires North Sea operators to consider the impact of burning the extracted oil and gas in their environmental impact assessments. With the new guidance in place, offshore developers will now be able to submit their applications for consent to extract oil and gas in already-licensed fields, a process which had been on pause since the Supreme Court judgment. There is no change to the legislation, and the process remains the same.