Coastal Petroleum Loses Court Battle for Compensation
A Leon County, Florida circuit judge, L. Ralph Smith, ruled that Florida doesn't owe Coastal Petroleum any compensation for denying it a permit to drill in the eastern portion of the Gulf of Mexico. "If it holds up on appeal, I frankly believe it may be the death knell for them," said Jon Glogau, special counsel to the state attorney general.
Coastal lost a legal battle several years ago to be able to drill on the 400,000 acres that covers and offshore area from Apalachicola to Tampa. Coastal claimed that by denying them the ability carry out exploratory work, the state was 'taking' property rights it has held for the past 60 years. The judge denied the argument.