Boulder County, Colorado, on June 28 halted accepting new oil and gas drilling and seismic testing permits for nine months, the latest community in the state to enact measures aimed at curbing oil and gas production.
Colorado is the fifth largest oil producing state, according to the U.S. Energy Information Administration (EIA). This year Colorado lawmakers passed Senate Bill 19-181, tightening regulations on the state's oil and gas industry.
Boulder County produced only about 86,000 barrels of oil last year, according to the Colorado Oil and Gas Conservation Commission (COGCC). By comparison, Weld County, a major drilling area north of Denver, produced 157 million barrels of oil last year.
Closely-held oil producer Crestone Peak Resources LLC has pending drilling permits for Boulder County with the Colorado, according to COGCC. The company could not immediately be reached to comment.
Fears of future regulations in Colorado mobilized operators at year-end 2018 to secure permits rather than take a ‘wait and see’ approach.
A U.S. appeals court on March 28 supported a lower court’s finding that Italian oil producer Eni SpA breached a contract with offshore drilling contractor Transocean Ltd., but voided a $160 million damages award.
Colorado voters on Nov. 6 rejected a measure, known as Proposition 112, a move opponents said would have sharply limited new oil and gas wells in the fifth-largest oil producing state in the nation.