Federal agency suspends deadline for 36 oil drilling plans; kills 4 other projects

LOS ANGELES - The Interior Department on Friday suspended a deadline for approving or denying 36 of the 40 undeveloped oil drilling sites off the California coast to more closely study their impact on the environment and announced that the other four leases are "basically dead."

In a letter to the California Coastal Commission, Secretary Bruce Babbitt said his agency plans to take 90 days to more closely scrutinize the proposals. He said he shares the commission's concerns about the impact of drilling on marine life and marine sanctuaries, and how they address changes air and water quality regulations.

"We're asking them to provide information on a lot of specifics, which are many of the same points the state raised in a letter sent to the secretary on Aug. 5," said Tim Ahern, department spokesman in Washington.

Concerning the four leases not suspended, Ahern said: "Basically, they're dead."

Coastal Commission Chairwoman Sara Wan said the Interior Department's decision indicates it is moving in the direction of granting the state the right to have more say in reviewing these plans. Wan had written the Aug. 5 letter to Babbitt asking to review the oil companies' plans for exploration, development or production of the sites.

"We're very pleased by the response," Wan said. "It indicates a willingness to work with the state and the commission. And I'm glad to see that they're intending to terminate the other four.

Wan said the commission was planning to file a legal action Friday to demand more involvement in reviewing the plans. "I have instructed my staff not to file today," she said. "If we want, we can take legal action after the 90 day suspension if we need to."

Three of the terminated sites are in the Santa Maria Basin near Vandenberg Air Force Base in Santa Barbara County and are held by Bakersfield-based Aera Energy.

"We've not had a chance to review the information from the department and we're not in a position to comment," said Susan Hersberger, Aera Energy spokeswoman.

The fourth site, in the Gato Canyon area near El Capitan State Beach north of Santa Barbara and are owned by Samedan Oil Corp. of Santa Barbara.

"We received the letter and we're disappointed that they would terminate one of our leases," said Ron Heck, Samedan spokesman. "It's hard for us to understand the suspension. But we're going to comply with the request.

"Hopefully this will be resolved some time in the future. We'd like to proceed with our plans."

In the letter, Babbitt said "this course of action will put the United States and the state of California in the best position to protect the marine and coastal environment and undertake critical examinations of activities described in proposed plans and or permit applications."

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