Excessive costs of drill rigs acquired by the strategic petroleum reserve office-New Orleans, Louisiana

Technical Report · Wed Jul 01 04:00:00 EDT 1981

OSTI ID:6311439

Review showed that the program office incurred excessive costs of at least $7.1 million by hastily acquiring inadequate, often defective, drill rigs in 1978. Since Phase III drilling operations are planned to begin in FY 1982, IG recommended that program officials: emphasize competitive procurement; make a thorough analysis of data before contract decisions; be more flexible in adjusting schedules for cost savings; and reevaluate the inventory of government-furnished equipment provided to contractors. Remedial action on most of the recommendations has been initiated and comments on the draft of this report by the Acting Assistant Secretary for Environmental Protection, Safety and Emergency Preparedness are appended.

• Research Organization: Department of Energy, Washington, DC (USA). Office of Inspector General
• OSTI ID: 6311439
• Report Number(s): DOE/IG-0164; ON: DE83008318
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020000 -- Petroleum
29 ENERGY PLANNING, POLICY, AND ECONOMY
290000* -- Energy Planning & Policy
ACCOUNTABILITY
AUDITS
CONSTRUCTION
COST
COST OVERRUNS
DRILLING RIGS
ENERGY SOURCES
EXCESS COSTS
FEDERAL REGION VI
FOSSIL FUELS
FUELS
LOUISIANA
MANAGEMENT
NORTH AMERICA
PETROLEUM
PROGRAM MANAGEMENT
RECOMMENDATIONS
RESERVES
RESOURCES
SCHEDULES
STORAGE
STRATEGIC PETROLEUM RESERVE
UNDERGROUND STORAGE
USA