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Chapter 5 — Industry Considerations Related to Asset Retirement Obligations and Environmental Obligations

5.7 Oil and Gas

5.7 Oil and Gas

The oil and gas industry is subject to retirement obligations across the entire industry value chain, from the upstream extraction of hydrocarbons to the downstream processing and ultimately the retail distribution of refined products. Retirement obligations in the industry include those associated with the following systems and facilities:
  • Upstream:
    • Oil wells.
    • Saltwater disposal wells.
    • Well pads — including tank batteries, ponds, and other improvements.
  • Midstream:
    • Gathering systems.
    • Transmission lines.
    • Pressurization systems.
  • Downstream:
    • Refineries.
    • Liquefied natural gas terminals.
    • Shipping terminals.
  • Retail:
    • Underground storage tanks.
    • Aboveground storage tanks.
  • Offshore:
    • Pipelines.
    • Platforms.
    • Wells.