Commission Identifies Deepwater Horizon Missteps

The presidential commission examining the Deepwater Horizon accident has determined that several missteps contributed last April's blowout in the Gulf of Mexico, including poor decision-making by the companies' management and government regulators. According to an excerpt from its report, the commission found the tragedy "was not the product of a series of abberational decisions made by a rogue industry...the root causes are systemic" and should be corrected.

Among the failures highlighted in the document are gaps in communications between the rig workers on the Deepwater Horizon and within their companies, a lack of effective oversight by government regulators, and the failure of managers to understand the consequences of their decisions.

The commission identified nine decisions that incr... more »

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E15 Causes Equipment Failures, Says DOE Study

In comments filed with the U.S. Environmental Protection Agency (EPA), API today revealed that a Department of Energy (DOE)-funded study shows the vast majority of existing gasoline pumps will fail if used to dispense E15.

E15 is a fuel blend consisting of 85 percent gasoline and 15 percent ethanol. EPA has approved E15 for use in 2007 and newer model vehicles.

The study, which was conducted by Underwriters Laboratories (UL) for DOE's National Renewable Energy Laboratory (NREL), shows that 40 percent of new dispensing equipment designed for use with E10 (today's gasoline) failed tests, and 70 percent of previously used E10 equipment failed tests.

There also is a strong similarity between the materials used in aboveground equipment and underground storage tank systems, leading API to conclu... more »

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API Supports GWPC’s Disclosure Registry

API has announced that it supports the voluntary chemical disclosure registry being developed by the Ground Water Protection Council (GWPC) with the endorsement of the Interstate Oil and Gas Compact Commission (IOGCC). The registry is a step toward providing information about the chemicals in hydraulic fracturing fluids while protecting drilling companies' intellectual property.

API President and CEO Jack Gerard pledged that API will work with the GWPC to enhance the registry program's overall effectiveness. He added, "But it is critical that we ensure confidential business information is protected."

well construction.jpgThe voluntary, state-based electronic registry will have two phases. The first phase will allow companies to report data on a well-by-well basis, disclosing information about hydraulic fractur... more »

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A Surprising and Wrong Decision

(Editor's Note: The following Op-Ed by API President and CEO Jack Gerard was published in The Hill today.)

The Interior Department's surprising decision to place the Atlantic, Pacific and the eastern Gulf of Mexico off-limits to oil and natural gas production for at least seven years takes U.S. energy policy in the wrong direction. Despite long-standing concerns about U.S. energy dependence on oil from other countries, the administration's decision is likely to result in increased imports and a lessening of U.S. energy security.

The decision couldn't have come at a worse time. With unemployment rising to 9.8 percent and an estimated 15 million Americans out of work, it makes no sense to shut the door on one of the nation's best prospects for job creation.

A study by ICF International proje... more »

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Suit Filed Against EPA’s E15 Waiver

API and a group of food and farm industry associations filed a lawsuit today with the Court of Appeals for the D.C. Circuit against the Environmental Protection Agency's (EPA) E15 waiver decision.

The suit says the EPA lacks the statutory authority to approve an increase in the ethanol content of gasoline from 10 percent to 15 percent only for use in 2007 and newer model year cars and light-duty trucks. Further, it says the waiver was approved before testing was completed on the safety, performance and environmental impacts of the new fuel.

"The EPA's partial waiver is premature," said API's Director of Downstream Operations Bob Greco, "and puts consumers at risk. Ongoing testing by our industry, the automakers and the Department of Energy...[has] revealed potential safety and performance... more »

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