Detail of the Inglewood Oil Field, showing its position relative to nearby cities. Active oil wells are shown as black dots; blue dots are active water injection or disposal wells. Photo courtesy of Wikipedia.
Los Angeles County, CA - Sentinel Peak, the owner of Inglewood Oil Field in Los Angeles County, has launched a lawsuit against the state of California over a law, AB 2716, that will require it to stop production and plug its wells or face costly fines.
Governor Gavin Newsom signed the law in September as one of several laws aiming to reduce pollution by giving local governments more authority to restrict oil and gas operations by shutting down idle wells, according to a press statement from Elected Officials to Protect America (EOPA) and EOPA California.
An idle well is one that has not been used for two years or more and has not yet been properly plugged and abandoned (sealed and closed), according to CalGEM, the state’s oil and gas regulator. The laws fines companies for operating low-producing oil wells in the Inglewood oil field.
AB 2716 requires all low production wells in the Inglewood Oil Field to halt operations by March 2027 and all wells to be plugged by the end of 2030. A monthly $10,000 penalty will be imposed for every well in violation of those deadlines.
In the court documents, Sentinel Peak attorneys claimed the law “represents an illegal attempt to coerce an individual company to stop operation of its legal business.”
“The monetary penalties imposed by AB 2716 are grossly disproportional to the gravity of the offense that it is designed to punish,” the lawsuit states. “The imposed penalties are fixed and mandatory with no apparent upper limit. They have no relationship to any actual harm incurred by neighboring uses.”
Assemblyman Isaac Bryan, who represents the area where the oil field is located and authored the law, vowed to defend it.
“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,” Assemblyman Bryan told the LA Times. “The people of California spoke through their legislature that dangerous oil wells have no business right next to the community.”
The 1,000-acre area southwest of downtown Los Angeles has approximately 820 unplugged wells, including 420 that are actively pumping, according to EOPA. Roughly 80 percent of the operating wells are considered low-producing. They yield less than 15 barrels of oil or 60,000 cubic feet of gas per day.
“2024 marks the 100th year of oil drilling in the Inglewood Oil Field, the largest urban oil field in the nation,” Meghan Sahli-Wells, Former Culver City Mayor, Elected Officials to Protect America (EOPA) California Director. “That's 100 years of pollution, 100 years of greenhouse gas emissions imperiling our future, 100 years of oil spills and toxic releases, right next to homes, schools, parks, and churches.”
“Enough is enough,” she stated. “The residents who have endured the drilling for generations deserve healthy communities, free from dangerous oil extraction. Residents have advocated for years for the right to breathe clean air, and are deeply grateful to Assemblymember Bryan for championing and Governor Newsom for signing legislation that holds polluters accountable and cleans up this site by the end of this decade. While the oil corporation fights this in court, Elected Officials to Protect America stands by our communities who are fighting for the dignity of a safe future, and for people over profits."
Sahi-Wells was instrumental on the Culver City Council as mayor to stop drilling operations on the city’s portion of the Inglewood Oil Field, setting a precedent for other communities, the group noted. Culver City’s actions showed oil companies that local communities have the jurisdiction and legal right to protect their citizens from harm.
“For decades communities have suffered from cancers, lung disease, consistent headaches, bloody noses and asthma because of oil operations,” said Dominic Frongillo, Elected Officials to Protect America Executive Director/Co-Founder. “That’s why Elected Officials to Protect America (EOPA) California has been working since 2017 to help transition the state to 100 percent clean energy for the health of Califonians, especially those living in environmental justice areas who have been suffering the most from oil operations.
Frongillo added, “Over 500 elected officials across California have signed our letter to ensure a just transition as we wean ourselves off of fossil fuels to protect our people and planet. Culver City stood up to Big Oil. Local actions have encouraged lawmakers in Sacramento and the Governor to do the same. We urge the courts to uphold these laws.”
According to Sentinel One's fourth quarter fiscal year 2023 financial results, the company reported a significant increase in revenue, with total revenue reaching $422.2 million, representing a 106 percent growth compared to the previous year, EOPA revealed. This growth was accompanied by a substantial rise in Annualized Recurring Revenue (ARR) which reached $548.7 million.
“These oil corporations have made profits at the expense of the people who live near their operation,” said Ahmad Zahra, Councilmember of Fullerton, EOPA California Leadership Council member. “They even have continued to operate drills that barely produce yet pollute.”
“Lawmakers have stood on the side of the people. These facts along with the reality of the man-made climate crisis which is being fueled by fossil fuels clearly show it's time we plug these operations with a just transition to clean energy for all. Local governments must be able to create laws that protect their citizens from the harms that some corporations pose,” Zahra concluded.
Elected Officials to Protect America is a network of current and former elected officials who care deeply about protecting the planet and people. EOPA is committed to solving the climate crisis, ensuring environmental justice, and protecting our lands, waters, and democracy. EOPA educates through value-based storytelling, training lawmakers, and connecting elected officials to inspire strong environmental leadership.
EOPA California is a statewide, non-partisan network of California elected officials committed to protecting our communities, public health, and climate for all we represent.
