Wednesday, April 4, 2012

Reuters: Regulatory News: Suncor faces charges over Newfoundland drilling spill

Reuters: Regulatory News
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Suncor faces charges over Newfoundland drilling spill
Apr 4th 2012, 20:09

Wed Apr 4, 2012 4:09pm EDT

* Suncor charged over 2011 drilling-mud spill

* Spill was from rig drilling in the Atlantic

* Suncor says it is taking the charges seriously

CALGARY, Alberta, April 4 (Reuters) - Newfoundland's oil regulator laid three charges against Suncor Energy Inc, Canada's biggest oil company, on Wednesday related to a spill of synthetic drilling fluids in 2011 from a Suncor rig operating in the East Coast province's waters.

The Canada-Newfoundland and Labrador Offshore Petroleum Board said it laid the charges after 26,400 liters (7,000 gallons) of drilling mud, which is used to maintain well pressure while drilling, spilled from Suncor's Henry Goodrich rig in March 2011. The Henry Goodrich was drilling a well in the Jeanne D'Arc Basin in the Atlantic Ocean, southeast of St. John's, Newfoundland.

Suncor is charged with causing or permitting a spill into an offshore area; failure to ensure that drilling fluids were stored and handled in a manner that would have prevented pollution; and failure to ensure that drilling fluids were handled in a way that did not create a hazard to safety or the environment, the regulator said in a release.

The charges carry penalties of up to C$1 million ($1 million) each.

Sneh Seetal, a spokeswoman for the company, said Suncor takes the charges seriously but declined comment on them.

"As the situation is before the courts it would be inappropriate for me to provide further comment," she said.

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