POTENTIAL OFFSHORE OIL AND GAS DEVELOPMENT 



Development of offshore oil and gas fields near Northwest Florida could 

 have serious multiple-use conflicts onshore. Offshore oil and gas develop- 

 ment, whether on the outer continental shelf (OCS) or nearshore, could have 

 direct environmental impacts from the wells, particularly from a blowout, from 

 brine discharges, and from mud discharged during the drilling process. Even 

 more significant could be the socioeconomic and environmental impacts caused 

 by onshore support facilities. These conflicts are discussed more fully in 

 the chapter on "Minerals Production," but a review of exploration in Santa 

 Rosa County is given here. 



In Santa Rosa Coutny, Getty Oil proposed to drill a 17,800-ft exploratory 

 well for gas near the center of East Bay. East Bay is an inland water arm of 

 the Pensacola Bay estuary system. The object of the well will be to test the 

 Jurassic Age Smackover-Norphlet formations which have produced hydrocarbons in 

 other areas of Northwest Florida, Alabama, and the gulf coast. Natural gas is 

 anticipated at this depth. Development of an East Bay gas field has the 

 potential of contributing more than $27 million to the local economy and $45 

 million to State and local governments (Florida Department of Environmental 

 Regulation working file). 



An East Bay discovery of natural gas would provide a needed backyard 

 supply for domestic and commercial users in Pensacola and Milton. The well 

 would have been drilled from a self-contained bay-barge position over the 

 anticline near the center of East Bay. If the well were found productive, a 

 production platform with a series of high pressure valves would be installed. 



Environmental damage is always a potential threat, but the "worst case" 

 accident scenario would require the following to occur simultaneously: hydro- 

 carbons must be present; the hydrocarbons must be in the form of crude oil 

 rather than natural gas; and the well must have a blowout. The odds of an 

 occurrence of just one factor, finding hydrocarbons, are about one chance in 

 twelve. The geologic rule for wells within the Jurassic Age is that sediments 

 of a depth greater than 17,000 ft are likely to produce natural gas rather 

 than crude oil. For all offshore wells drilled, there is one chance in 1,250 

 of a blowout occurring. The probability of a find and a blowout are virtually 

 nonexistent. 



Getty Oil Company acquired leasehold rights from the State in 1968 for 

 approximately 47,932 acres of bay bottom in East Bay, Blackwater Bay, and the 

 portion of Escambia Bay that lies in Santa Rosa County. The first application 

 for drilling in 1971 was turned down by the Florida Department of Natural 

 Resources. Subsequent applications for drilling permits were alternatively 

 granted and rejected by various State officials, the Cabinet and the legisla- 

 ture. One agreement required Getty to use strict pollution controls and post 

 a $35 million bond to cover any adverse effects. The final disposition of the 

 Getty permit application will be determined by the courts. 



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