Page 19: of Offshore Engineer Magazine (Jul/Aug 2024)

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MARKETS DECOMMISSIONING with Apache, bp, Marathon Oil, Shell, and r egarding fnancial strength. The big players are Chevr on taking the hardest hit. This wasn’t just largely unaffected, but there is a long tail of an unwelcome fnancial surprise, but a major smaller companies that will struggle meet the operational challenge given most had not been ne w criteria and will therefore bear the brunt of inv olved in any of the projects for 10+ years. the increased cost in fnancial assurances.

2. Financial sureties: Despite these companies The new rules have faced signifcant pushback from fulflling their obligations, BOEM still felt the the industry, which argues it will impact investment and need to further tighten its regulations covering the deal-making. But such rules should not come as a sur- US OCS. The new rules require additional prise– the US is now in line with Brazil, the UK, and fnancial sureties to cover decommissioning costs Norway, all of whom have implemented similar regula- fr om companies that fail to meet new criteria tions in recent years.

JULY/AUGUST 2024 OFFSHORE ENGINEER 19