Spill Roundup: Chevron Declares Force Majeure

摘要

Chevron has declared force majeure on a Hercules Offshore shallow-water drilling rig due to a tightening up of regulations in the Gulf of Mexico. It was the second such move affecting a shallow-water rig within the last week. The US government recently imposed a six-month moratorium on deep- water drilling in the Gulf of Mexico, clos- ing down operations in 500 feet or more of water. However, a broader tightening of offshore drilling regulations recently led Apache to invoke force majeure on a shal- low-water rig owned by drilling contractor Rowan. Force majeure refers to an event that frees a company from liability when it cannot fulfill contractual obligations be- cause of circumstances beyond its control. Hercules said it was in talks with Chevron to resolve the issue, and that it would con- sider legal action if those talks did not yield a deal.