Obama's Deepwater Oil Drilling Bans Sent to New Orleans Judge for Review

[dipsydoodle]

Source: Bloomberg

The same judge who scrapped a six- month moratorium on drilling in waters deeper than 500 feet in the wake of the Gulf of Mexico oil spill must review both bans issued by the Obama administration, a U.S. appeals court ruled.

U.S. District Judge Martin Feldman in New Orleans, who sided with offshore oil-service firms when he struck down the first moratorium on June 22, was directed to hold hearings on the legality of that measure and a later ban imposed after the sinking of the Deepwater Horizon rig operated by BP Plc.

Last month, lawyers for U.S. Secretary of the Interior Kenneth Salazar asked Feldman to dismiss the industry lawsuit challenging the first ban, arguing it was rendered moot by new rules suspending drilling announced July 12. The U.S. Court of Appeals in New Orleans ruled yesterday the judge must consider both bans, calling witnesses as necessary, and return the moratorium issue to the appeals court for a final decision.

Feldman is to determine “with respect to the scope and substance of the May 28 moratorium and the July 12 moratorium, what are the differences, if any,” a three-judge appellate panel said in an order posted today on the court’s website.

Read more: http://www.bloomberg.com/news/2010-08-11/u-s-urges-judge-to-throw-out-lawsuit-challenging-deep-water-drilling-ban.html