Deepwater royalties

Some companies have been urging the Clinton administration, as part of its forthcoming program to increase U.S. oil and gas production, to defer royalties for deepwater fields. Testifying at two congressional hearings last week on the subject, administration officials opposed royalty relief for any field in less than 400 m of water. Congressmen have filed bills in both houses to permit oil companies to recover their capital investment costs at new oil and gas fields in more than 200 m of water