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BOEM disagrees Together with the commenters' assertion that it ought to aim only on sole liability Qualities, an approach that could not sufficiently protect the taxpayer. As reviewed inside the RIA, there are somewhere around $fourteen.six billion in decommissioning liabilities associated with leases devoid of an financial commitment grade predecessor in the chain of title, of which only $460 million is associated with sole liability Qualities. Thus, the Office is finalizing an strategy that holds all latest lessees liable for furnishing supplemental fiscal assurance Except if they meet the waiver standards or are Start Printed Web site 31554 linked to an investment quality co-lessee.
The Section proposed and is particularly finalizing revisions for the supplemental monetary assurance necessities for third-party assures and decommissioning accounts, and conditions for transfers, as mentioned from the subsections beneath.
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BOEM acknowledges the commenters' help with the proposal of P70. The Division is finalizing in 30 CFR 556.901, as proposed, the usage of P70 to determine the fiscal assurance required for Homes where The present lessee does not have an financial commitment quality credit score or maybe the ratio of the value with the proved reserves to decommissioning liabilities connected to those reserves is just not greater than or equal to three-to-1.
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