California Offshore Fracking Paused for More Environmental Study

Federal agencies can’t approve permits for offshore well stimulation treatments near California until they complete a more extensive environmental review, the Ninth Circuit ruled Friday in a setback for Exxon Mobile Corp. and DCOR LLC.

Offshore well stimulation treatments may harm endangered or threatened species and affect “unique geographic areas” in the Pacific Outer Continental Shelf, according to the US Court of Appeals for the Ninth Circuit. The effects of the treatments are also “highly uncertain and involve unknown risks,” the court said.

An environmental impact statement was warranted under the National Environmental Policy Act, according to the ruling, and ...