A Northern California county has lost an appeal to curb oil and natural gas development following an appeals court ruling.

California production

Monterey County voters in November 2016 approved Measure Z, a ballot initiative to prohibit new drilling activities in unincorporated areas. San Ramon, CA-based Chevron Corp. and other producers then filed a lawsuit, arguing the county measure was preempted by state and federal law in Chevron USA v. County of Monterey, No. H045791. 

The companies prevailed in Monterey County Superior Court, which struck down the measures. The county’s latest appeal was tossed on Tuesday by the California Court of Appeal, Sixth Appellate District in San Jose. 

California has authority over all practices that “increase the recovery of oil and gas,” the three-judge...