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US Court Rejects Obama Administration’s Moratorium on Deep-Water Drilling

Obama administration’s Talk on Moratorium on Offshore Drilling A federal US Court of Appeals in New Orleans rejected Obama’s government to reinstate the moratorium on deepwater drilling ban after the disastrous BP Deepwater Horizon oil spill caused by the explosion of the drilling rig. The administration recently filed a case to challenge a lower court’s decision to put on hold a moratorium on the offshore drilling before the US Court of Appeals. However, the Court of Appeals has rejected it and will allows the drilling activity while looking for other options.

A lot of drilling companies are not amenable to the decision of the US government to stop any further oil drilling just because Deepwater Horizon failed. The recent decision of the US government to put a moratorium on oil drilling offshore was faced with lawsuits from more than a dozen companies operating offshore rigs in the same fashion. The court will also call both parties together on August 30 to finally hear the government’s bid to stop the operation of deepwater drilling until it has finally figured out a better way to enhance the safety of offshore drilling activities.
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