P-values) of decommissioning costs for every OCS facility on any given lease. These values symbolize the probability of covering the total price of decommissioning a facility as being a share; such as, P70 represents a 70 p.c chance of covering the complete cost of decommissioning a facility. The Division is finalizing, as proposed, using the P70 decommissioning estimate benefit to determine the level of supplemental financial assurance necessary from the current lessee that does not satisfy the money waiver conditions. If probabilistic estimates will not be offered, then BOEM will use the offered deterministic values. BOEM also notes that using the BSEE P70 value only displays the quantity of supplemental economical assurance that may be needed to meet decommissioning obligations and will not replicate the total price of corrective motion that may be necessary to provide a lease or grant into compliance.
A summary of all reviews acquired regarding third-bash ensures and BOEM's corresponding responses concerning the provisions To guage third-bash guarantors can be found in section six.one of the Reaction to General public Remarks.
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BOEM disagrees With all the commenter's assertion that the Department must not involve supplemental bonding for ROW pipelines that happen to be servicing and linked to large value leases.
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later superseded by NTL 2017-N02. These values signify the likelihood of masking the entire expense of decommissioning a facility as a percentage; one example is, P70 signifies a 70 percent likelihood of covering the complete price of decommissioning a facility.
There are numerous exterior factors that will effects the value of reserves. BOEM's use of this metric is just to find out the probability that a lease could well be acquired, due to value of the reserves left over the lease, by a financially healthier organization that could then be liable for lease obligations. Comment: