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ENERGY

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From Times Staff and Wire Reports

Energy Dept. Mulls Administrative Changes: The department, which pays private contractors millions of dollars to manage its huge oil reserves, wants to put the fields under a government corporation to cut costs. Officials are studying putting the Naval Petroleum Reserve, three federally owned oil fields, under a government corporation so it would operate like a private firm. A department official said the reserve is highly over-regulated compared to commercial oil fields. Exempting the reserve from the regulations would translate into fewer workers and substantial savings, he said. The biggest federal field, the Elk Hills Naval Petroleum Reserve near Bakersfield, is one of the 10 largest oil fields in the continental United States.

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