NOT KNOWN FACTUAL STATEMENTS ABOUT PAGBET

Not known Factual Statements About pagbet

Not known Factual Statements About pagbet

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There is absolutely no inconsistency with BSEE choosing not to involve attractiveness bonds within the stage of the buy to decommission and BOEM deciding to involve them with the stage of monetary assurance calls for. The BSEE determination is based largely on the idea that financial assurance is by now in position by the time it difficulties decommissioning orders and therefore it does not experience the dangers that BOEM does at some time of demanding economic assurance. See 88 FR 23569, 23579 (April eighteen, 2023) (noting BSEE's reliance on the financial assurance polices for pinpointing an charm bond isn't necessary for the BSEE application).

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BOEM acknowledges the commenters' considerations which the P70 estimates might be increased than the actual expense of decommissioning for specific platforms. Usually, it can be costlier for The federal government to decommission a facility than it's for an OCS operator to take action. Therefore, whether or not the P70 value is larger than enterprise-derived values, it might be more aligned with the costs that The federal government would incur to carry out the decommissioning, that's the applicable consideration when pinpointing the price to decommission a facility if the corporate fails to do so.

Using this type of rulemaking, the Division is finalizing an Modification to revise the standards utilised To judge the need for supplemental fiscal assurance from the existing five requirements—money capability, projected fiscal strength, business security, trustworthiness in Assembly obligations according to credit score score or trade references, and history of compliance with legal guidelines, restrictions, and lease conditions—to at least one of two requirements: (one) credit history ranking and (2) the ratio of the worth of proved reserves to decommissioning legal responsibility affiliated with Individuals more info reserves. Specially, the Office is finalizing the usage of an financial commitment quality credit score threshold (or proxy credit rating equivalent) and also a minimum 3-to-1 ratio of the worth of proved reserves to decommissioning liability connected with People reserves to determine if a lessee is required to supply supplemental money assurance.

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Other commenters asserted that BOEM should evaluate the obligations from the predecessors from the chain-of-title prior to seeking added financial assurance from existing lessees, or else the result is necessitating “double bonding.” Reaction:

One commenter expressed help for The brand new “Economical assurance” term and noted that it supported “the breadth and optionality in the proposed” definition. Response:

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Multiple commenters normally supported the streamlining from the analysis standards, specifically the use of credit rating rankings as a far more correct criterion than fiscal capacity, projected monetary toughness, and organization stability. Reaction:

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A commenter recommended the Department mustn't call for supplemental bonding for RUEs that happen to be servicing and affiliated with high worth leases mainly because some corporations have interest within the reserves linked to a RUE granted to keep up a System operational on an expired lease for servicing output on An additional lease. Reaction:

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BOEM agrees While using the commenters the decommissioning legal responsibility should not be double counted; it isn't the Bureau's intent to double rely the decommissioning liability. The restrictions are very clear that BOEM is requesting the discounted price of the reserves ( e.g.,

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