NTL 2016-N03 - Reporting Requirements for Decommissioning Expenditures on the OCS - April 27, 2016

This Notice to Lessees and Operators (NTL) provides guidance and clarification regarding submission of certified decommissioning cost expenditure summaries following permanent plugging of any well, removal of any platform or other facility, and clearance of any site as required by § 250.1704(h). To minimize the reporting burden while ensuring BSEE receives accurate, complete, and consistent data, BSEE recommends that, except as noted below, lessees use methods, procedures, and expenditure classifications set out in Model Forms, Model Form Interpretations, Accounting Guidelines and other documents published by The Council of Petroleum Accountants Societies, Inc. (COPAS). Specifically, BSEE requests that lessees rely on the COPAS guidelines (e.g. Classifications for Summary Form Billing© (MFI-26) and Joint Audit Data Exchange© (AG-26)) for reporting by cost classifications and/or examination of joint interest transactions as the primary framework upon which to submit the required information.