California Oil Field Owner Sues Over New Closure Law
The owner of a sprawling oil field in Los Angeles County is taking legal action against the state of California over a new law that mandates the closure of its wells. Sentinel Peak, the company that operates the Inglewood Oil Field, filed a lawsuit this week claiming the legislation is unconstitutional and unjustly targets its business.
Unplugging Years of Production
The lawsuit centers around a law signed into effect by Governor Gavin Newsom in September. This legislation aims to reduce pollution by giving local governments more power to regulate oil and gas operations. Specifically, the law focuses on shutting down “idle” wells — those not actively producing—that haven’t been properly sealed, and imposing fines on companies operating low-producing wells.
The 1,000-acre Inglewood Oil Field, located southwest of downtown Los Angeles, contains approximately 820 unplugged wells. Of those, 420 are currently active. Roughly 80% of these working wells are considered low-producing, generating less than 15 barrels of oil or 60,000 cubic feet of gas per day.
A Legal Battle Over Business Operations
A primary argument put forth by Sentinel Peak’s attorneys is that the law represents an “illegal attempt to coerce an individual company to stop operation of its legal business.” They allege that the mandated fines, in particular, violate federal and state laws prohibiting excessive penalties. In their lawsuit, they characterize the potential fines as “grossly disproportionate,” with “no apparent upper limit” and lacking a clear relationship to any actual harm.
State Remains Silent, Lawmaker Defends the Bill
The California Department of Conservation’s Geological Energy Management Division, the agency responsible for regulating the state’s oil and gas industry, declined to comment on the lawsuit.
Assemblyman Isaac Bryan, a Democrat who represents the area where the Inglewood Oil Field is located and spearheaded the legislation, has vowed to defend the law. Reaffirming the community’s long-held desire to see the oil field permanently closed, he said, “Our community has stood strong for decades to close this dangerous low-producing oil field, and we will stand strong in court to protect those frontline communities who have long deserved the right to live a full and healthy life.” He added, “The people of California spoke through their legislature that dangerous oil wells have no business right next to the community.”
What are the potential consequences for California’s energy security and economy if the Inglewood Oil Field is closed?
## California Oil Field Owner Fights Back Against Closure Mandate
**Sofia Sanchez:** Joining us today is Michael Jones, CEO of Sentinel Peak, the company operating the Inglewood Oil Field, to discuss their recent lawsuit against the state of California. Michael, thanks for being here.
**Michael Jones:** Thanks for having me, Sofia.
**Sofia Sanchez:** After years of operation, you’re facing a new law that would effectively shut down your entire field. What prompted this lawsuit?
**Michael Jones:** We believe this law is a blatant overreach of the state’s authority. It singles out our operation, unfairly targeting a vital industry that contributes significantly to California’s energy needs and economy. The deadline to cease production for low-production wells is just a few years away, and the complete closure of the field is mandated by 2030. This gives us very little time to adapt and threatens jobs and energy security in the region. [[1](https://www.yahoo.com/news/inglewood-oil-field-owner-sues-110007968.html)]
**Sofia Sanchez:** The state argues that this law is essential to reduce pollution and protect communities near oil extraction sites. How do you respond to those concerns?
**Michael Jones:** We are committed to responsible oil production and have a proven track record of exceeding environmental regulations. We actively work to minimize our impact on the environment and the surrounding community. This law is about control, not about safeguarding public health.
**Sofia Sanchez:** What are you hoping to achieve with this lawsuit?
**Michael Jones:** Our goal is to have this law overturned and to ensure that the Inglewood Oil Field can continue operating responsibly and sustainably for years to come. We are confident that the courts will recognize the unfairness and unconstitutionality of this legislation.
**Sofia Sanchez:** We appreciate your insights, Michael. We will continue to follow developments in this case.
