Orange County, California is home to 26 oil and gas companies, including Aera Energy LLC, Alexander Oil Company, and Angus Petroleum Corporation. In the OCS Pacific region, 23 production facilities have been installed in federal waters off the California coast. Of these, 22 are for oil and gas extraction, while the other is a processing plant. Six companies operate offshore oil and gas installations in the Pacific region.
The debate over the development of oil and gas resources has been ongoing since 1921 when the first development was allowed. Despite assurances from oil companies that there have been no issues related to groundwater pollution from oil operations in California, some public officials are still concerned about the possibility of an oil drilling operation in this part of the county and its proximity to the aquifer. Huntington Beach has been dealing with oil pumps for decades, some of which are close to residential neighborhoods. Revenues from Long Beach's oil and gas program are allocated under a net profit agreement in which the state receives a percentage of profits, the operator receives a percentage of profits, and the City receives a percentage of profits.
When asked if oil drilling poses a risk to groundwater, experts answered no when drilling is “properly designed and executed according to plan”. However, hydraulic fracturing has been found to be an “attractive technology” to release oil and gas reserves across the country. Northeastern communities close to natural gas hydraulic fracturing operations found that their groundwater wells were contaminated with chemicals and methane. This has led California legislators Bonta and Newsom to plan to force oil companies to pay “financial fines” and punitive damages, which will further increase the price of energy.
In conclusion, Orange County is home to 26 oil and gas companies that operate offshore installations in the Pacific region. Despite assurances from oil companies that there have been no problems related to groundwater pollution from oil operations in California, some public officials are still concerned about the possibility of an oil drilling operation in this part of the county. Revenues from Long Beach's oil and gas program are allocated under a net profit agreement. Hydraulic fracturing has been found to be an “attractive technology” to release oil and gas reserves across the country.
This has led California legislators Bonta and Newsom to plan to force oil companies to pay “financial fines” and punitive damages.
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