Oil pipeline corrosion project cancellation—offset regulations

Another one came to me from a student who took this class three years ago. She had worked for an oil company down in Houston one summer, and there was an oil-country project with very corrosive crude oil. They were trying to decide whether they could use carbon steel or clad steel. The technical decision was that carbon steel would corrode too quickly, and you really needed clad steel pipe. But the country where they were going to do this — she never told me the actual country — required offsets. Offsets on major projects exist because these countries would like to create jobs within their country.