NewsCovering Louisiana


U.S. Fifth Circuit ruled to keep coastal litigation from ruining La oil and gas

Posted at 1:54 PM, Aug 06, 2021
and last updated 2021-08-06 15:18:24-04

BATON ROUGE, LA – The U.S. Court of Appeals for the Fifth Circuit issued a ruling Thursday that would keep coastal erosion litigation against some of the nation’s largest oil companies in federal court.

Louisiana is home to one fourth of the nation’s energy supply. The natural gas and oil industry has a value exceeding $16 billion a year, according to Southeastern Louisiana University, 18% of U.S. oil and 24% of natural gas originates and is processed or transported through Louisiana coastal wetlands.

Louisiana Oil & Gas Association President Mike Moncla released the following statement after Thursday's ruling:

“The Louisiana Oil & Gas Association applauds the decision handed down by the U.S. Fifth Circuit Court of Appeals earlier this afternoon.
Since the beginning of the coastal litigation process, the oil and gas industry in Louisiana has been on the decline. These frivolous lawsuits have hurt jobs, bankrupted marine service companies and operators, and have decimated the state’s tax revenue it receives from energy production.
Our industry is committed to protecting the 250,000+ workers in the state that rely on oil and gas as well as preserving much-needed funds for Louisiana's coastal restoration efforts."

Coastal Excavation that occurs with oil and gas exploration is said to be the most destructive process that results in the rapid degradation of Louisiana wetlands to open water, particularly in the Barateria and Terrebonne Basins, according to Louisiana Oil Spill: Applied Research and Developmentwebsite .

Extensive dredging of canals—over 10,000 miles- peaked when the oil and gas industry was at its highest in the 1960s to 1980s.

"Yesterday's ruling, makes it very clear how the Fifth Circuit views the arguments made by the Louisiana's Oil & Gas Association legal representation," Moncla stated.

LOGA represents the independent and service sectors of the oil and gas industry in Louisiana. For more information contact LOGA at 225-388-9525 or 800-443-1433.