The Trump administration took steps this week to undo a rule to increase the amount of money oil companies must put up as bonding for offshore drilling projects.
Rescinding the rule implemented during the Biden administration would reduce the financial requirements that some oil and gas companies must pay to ensure there is enough money to clean up offshore oil rigs and other equipment after drilling projects end, even if companies go bankrupt.
The White House Office of Information and Regulatory Affairs on Tuesday completed its review of the proposed changes, which the Interior Department announced last May.
The relaxed rules would “free up billions of dollars” for oil companies, which they could redirect “toward future leasing, exploration, and production,” Interior Secretary Doug Burgum said in a statement last year.
