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Interior Dept. gauging interest in Gulf of Mexico wind power

June 9, 2021 — President Joe Biden’s administration wants to know whether offshore wind companies want to move into the Gulf of Mexico.

The agency that oversees offshore leases will publish a request for interest Friday in the Federal Register, for areas off Louisiana, Texas, Mississippi and Alabama, the Interior Department said Tuesday.

Those areas are largely in shallower waters where many wells have played out rather than the deep seas where the Gulf’s offshore oil and gas industry is now focused.

Biden has said he wants enough wind-generated electricity for more than 10 million homes nationwide by 2030.

Offshore wind development has the potential to create tens of thousands of good-paying, union jobs across the nation, said Interior Secretary Deb Haaland.

Her agency’s request for interest from developers “is an important first step to see what role the Gulf may play in this exciting frontier,” she said.

“The Gulf of Mexico is extremely well-positioned for the exploration of new offshore technologies and energy opportunities,” said Erik Milito, president of the National Ocean Industries Association, which includes companies building both wind and oil and gas facilities offshore.

Read the full story at the Associated Press

Ed Markey: Plan will spur ‘huge fight’ over offshore energy drilling

January 9, 2018 — BOSTON — The state’s environment, tourism and fishing industry could be threatened by President Donald Trump’s plan to open up more coastal areas to offshore drilling, according to U.S. Sen. Ed Markey, who said the proposal puts “nearly every single mile of coastline in the United States in the crosshairs of an oil spill.”

“Nothing is sacred,” Markey told reporters from the Kennedy Federal Building. “All of the United States is going to be open for the oil industry to be able to drill. That is something that the American people will want to have resolved on the floor of the House and Senate, and that is something that I am going to guarantee him that he will see. This is going to be a huge fight across our country.”

Interior Secretary Ryan Zinke on Thursday announced a proposal that would make more than 90 percent of the national outer continental shelf available for oil and gas exploration. Currently, 94 percent of federal offshore acreage is off-limits, according to the American Petroleum Institute.

The 380-page draft plan includes a note that Gov. Charlie Baker does not “support inclusion of areas adjacent to Massachusetts,” and Attorney General Maura Healey “strongly opposes opening up any of the Atlantic or any other new areas to oil and gas leasing.”

The Bureau of Ocean Energy Management estimates there are 89.9 billion barrels of oil and 327.5 trillion cubic feet of gas that have yet to be discovered on the outer continental shelf, including 4.6 billion barrels of oil and 38.2 cubic feet in the Atlantic portion of the shelf.

According to the American Petroleum Institute, Atlantic oil and natural gas development could deliver $51 billion in new government revenue, nearly 280,000 jobs and 1.3 billion barrels of oil equivalent per day for domestic energy production by 2035.

Read the full story at the Gloucester Times

 

Trump proposes massive expansion of offshore drilling

January 4, 2018 — The Trump administration is proposing to greatly expand the areas available for offshore oil and natural gas drilling, including off the Pacific and Atlantic coasts.

In the first major step toward the administration’s promised expansion of offshore drilling, Interior Secretary Ryan Zinke said nearly all of the nation’s outer continental shelf is being considered for drilling, including areas off the coasts of Maine, California, Florida and Alaska.

The proposal, which environmentalists immediately panned as an environmental disaster and giveaway to the fossil fuel industry, is far larger than what was envisioned in President Trump’s executive order last year seeking a new plan for the future of auctions of offshore drilling rights. That order asked Zinke to consider drilling expansions in the Atlantic and Arctic oceans.

“This is a start on looking at American energy dominance and looking at our offshore assets and beginning a dialogue of when, how, where and how fast those offshore assets should be, or could be, developed,” Zinke told reporters Thursday.

Read the full story at The Hill

Offshore Energy Bill Gains Support as Subcommittee Continues Broad Overhaul of Federal Lands Energy Policy

October 12, 2017 — WASHINGTON — The following was released by the House Committee on Natural Resources 

Today, the Subcommittee on Energy and Mineral Resources held a legislative hearing on a discussion draft of the “Accessing Strategic Resources Offshore Act” or the “Astro Act.” The bill, which improves access to Outer Continental Shelf (OCS) energy resources through more reliable leasing and an improved revenue sharing framework with coastal states, is part of the Committee’s broader overhaul of federal lands energy policy.

“Our offshore oil and gas industry provides our nation and the world with a safe and reliable source of energy, billions of dollars in revenues to the government, and has resulted in the creation of millions of direct and indirect jobs across the country. It is critical that we maintain and increase access to offshore exploration and production to improve upon these trends,” Subcommittee on Energy and Mineral Resources Chairman Paul Gosar (R-AZ) said. 

Under the previous administration, 94% of America’s OCS lands were off limits to development through both the 5 Year Plan process and the withdrawal of acreage.

“Natural gas and oil exploration in the Atlantic could be an opportunity for our state to see much-needed additional economic improvements, investment and job creation,” South Carolina State Senator Stephen Goldfinch stated. “Years of experience have shown that exploration and production can exist safely alongside tourism and fishing industries, as well as the military… If oil and gas is to come to South Carolina, I cannot imagine one of my constituents demanding the state decline much needed revenues for roads, schools and healthcare.”

Studies show that opening the OCS in the Atlantic, Pacific, and Eastern Gulf would create 840,000 new jobs and generate over $200 billion in revenues.

“I believe that the partnership that has worked so well for the interior states to develop federal [onshore] resources should be established for the coastal states that also host federal offshore mineral develop,” former Louisiana Senator and Senior Policy Advisory at Van Ness Feldman, LLP Mary Landrieu stated. 

The “ASTRO Act” establishes revenue sharing for states in the Mid and Southern Atlantic planning areas, in an attempt to fairly compensate the qualifying producing states, and to ensure disbursement certainty into the future.

“Our nation should produce more of the oil and natural gas Americans need here at home. And it can. This would strengthen our energy security and help put downward pressure on prices while also providing many thousands of new jobs for Americans and billions of dollars in additional revenue for our government,” Director of Upstream and Industry Operations at the American Petroleum Institute Erik Milito added. 

The “ASTRO Act” adds flexibility to the national oil and gas leasing process by giving the Secretary of the Interior the authority to conduct lease sales in areas excluded from approved 5 Year Plans. It also limits the president’s authority to withdraw OCS areas from leasing.

Click here for more information.

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