WATCHING WASHINGTON THE NEW MMS DIRECTOR

With Patrick Crow Like his predecessors, the new Minerals Management Service director wants to strike a steady balance between the need for offshore drilling and the need for environmental protection. Scott Sewell told reporters last week, "I'd like to take some of the emotionalism and politics out and try to focus as much as possible on science, technology, biology, and environmental concerns as we can." Sewell, 37, has credentials to manage MMS, the federal agency that oversees Outer
Sept. 9, 1991
3 min read

Like his predecessors, the new Minerals Management Service director wants to strike a steady balance between the need for offshore drilling and the need for environmental protection.

Scott Sewell told reporters last week, "I'd like to take some of the emotionalism and politics out and try to focus as much as possible on science, technology, biology, and environmental concerns as we can."

SEWELL'S BACKGROUND

Sewell, 37, has credentials to manage MMS, the federal agency that oversees Outer Continental Shelf leasing, that should please oilmen and environmentalists.

As a New Orleans native, he understands the oil industry and its OCS operations. While in college, he had a summer job working on an offshore pipeline project.

Environmental groups should be cheered by the fact Sewell came from the environmental side of the house at the Interior Department.

He formerly was principal deputy assistant secretary for Fish and Wildlife and Parks. As such, he represented Interior in coordinating marine environmental quality programs and on wetlands issues.

He also worked with field biologists on the issue of leasing the Coastal Plain of the Arctic National Wildlife Refuge in Alaska.

Congress will debate whether to permit leasing this fall. Sewell said, "I'm totally convinced we can do that in an environmentally secure manner."

Sewell has met with oilmen and environmentalists. With the latter he made the point the OCS is an environmentally secure source of domestic oil and gas-particularly gas because 75% of offshore production is methane.

Of the oil production, Sewell said 95% moves to shore via pipeline. And among 30,000 offshore wells drilled, only one resulted in a serious oil spill. So in terms of safe drilling technology, "we're light years ahead of where we were" when that accident occurred.

Sewell said coastal states should rethink their opposition to offshore drilling because the alternative, shipments via tanker, is more risky.

For instance, Florida has objected to offshore leasing but imports 97% of its energy through 7,000 tanker and barge shipments/year, "7,000 opportunities for difficulties." And another 5,000 tankers pass off southern Florida bound for the Gulf of Mexico. He said MMS will try to do a better job making those points, although it is "an uphill road."

Sewell blamed recent lackluster lease sales for the Gulf Coast and the Alaskan Chukchi Sea on industry conditions.

He said the gulf sale results reflected low gas prices. Louisiana also challenged the sale in an effort to gain some federal offshore leasing and royalty revenues. Sewell pledged to work with the state on its concerns.

Poor Chukchi sale results reflected the long lead time involved in exploration activity. Companies found themselves a year or two behind in their exploration plans and chose to wait until the next sale to buy more acreage.

AN EASIER TIME

Sewell should have an easier time at MMS than his predecessor, Barry Williamson, now a candidate for the Texas Railroad Commission.

Williamson's term was hobbled by two overriding policy issues: President Bush's political decision to defer large areas from leasing and drafting of a 5 year leasing plan.

Basically, Sewell will have to worry only about individual sales.

Copyright 1991 Oil & Gas Journal. All Rights Reserved.

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