US drilling agency penalizes company over reports

WASHINGTON, Aug 13 (BestGrowthStock) – Plains Exploration &
Production Co (PXP.N: ) paid nearly $900,000 in civil penalties
for failing to submit monthly reports on the company’s energy
production on federal government leases, the U.S agency that
oversees oil and natural gas drilling said on Friday.

It is one of the biggest financial penalties collected by
the Interior Department’s new Bureau of Ocean Energy
Management, Regulation and Enforcement, which was formed in
response to the BP oil spill in the Gulf of Mexico.

The new bureau replaced the department’s Minerals
Management Service, which was dismantled for being too cozy
with the oil companies it was supposed to regulate.

The BOEM said it issued the civil penalty to Plains
Exploration after it repeatedly failed to comply with requests
to submit monthly oil and gas operations reports for Pogo
Producing Company, which Plains merged with in November 2007.

The company has now submitted all the required monthly
production reports.

“We will aggressively pursue every dollar due from energy
production on federal and American Indian lands,” said BOEM
Director Michael Bromwich. “BOEM auditors are continuing to
closely examine all reports from companies to ensure that they
are accurate and submitted on time, with no exceptions.”

Plains Exploration is based in Houston and the company
primarily explores and produces oil and natural gas. Its core
operations are in California, Texas, Louisiana and the Gulf of
Mexico.
(Reporting by Tom Doggett; Editing by Gary Hill)

US drilling agency penalizes company over reports