Offshore Drilling Eyed in Mexican Gulf

(AP)  The Obama administration is moving ahead with an oil lease sale in the Gulf of Mexico next month despite legal questions about whether the proposal and other offshore drilling plans initially drawn up under President George W. Bush went through a full environmental review.

The decision comes three months after the U.S. Court of Appeals in Washington blocked lease sales in Alaska, saying the Bush administration didn't properly study the environmental consequences. The Alaska drilling was part of a five-year plan to expand drilling around the country, including in the Gulf. The court didn't say whether its ruling also applied to Gulf drilling, but many experts watching the case said they believed the decision could cover the entire program, not just the Alaska portion.

Interior Department spokeswoman Kendra Barkoff said the agency has sought clarification from the courts. But after not getting further guidance, Secretary Ken Salazar decided to move ahead, Barkoff said.

"We're planning as if it doesn't affect the Gulf, but if the court provides direction otherwise, we will follow it," she said.

The sale would pave the way for drilling in some 18 million acres in the western Gulf near Texas. The area comes as close as nine miles from shore in some parts and stretches as far as 250 miles out in places.

The department's Minerals Management Service, which conducts lease sales, estimates the area could yield up to 423 million barrels of oil and up to 2.64 trillion cubic feet of natural gas.

The U.S. uses about 7.5 billion barrels of oil per year, so the estimated oil production is the equivalent of a roughly three-week supply. The nation uses about 23 trillion cubic feet of natural gas per year, so the estimated gas production amounts to nearly six weeks of consumption.

Salazar's decision to proceed comes amid Republican criticism that the Obama administration isn't moving fast enough to open up new areas to drilling.

"Secretary Salazar believes that it is important to move forward with President Obama's comprehensive energy agenda for the country," Barkoff said.

The lease sale is planned for Aug. 19 at a hotel in downtown New Orleans.

[ABM_21]

Drilling is a bad idea. Out of all the things I agree with the president on, this is not one of them. Oil companies already have land upon which they can drill but they have not touched it. "Drill baby drill'? I say stop and think...

[speakinup22]

Gee, and I thought this was McCain's solution.

eeeh, it's ok, Barry knows so much more than McCain does about the economy.


Saaay, just when does that Stimulus Package really start to kick in, huh ?




How's that "hope" and "change" workin' out for ya'll ?

[Sloughfoot]

Doing what has to be done even if it means eating a little crow. However, without the oil there would sure be a new culture arising in this Nation.

[tonya428]

All I have to say is that my husband has worked in the oil industry for over 20 years; and the day obama took office, he lost his job and so did MILLIONS of AMERICANS. Does this not set off a light in your head? As for those companies like GMC,AIG,and others needing bailed out; well they have financial problems before he came along, but the companies never stopped & people continued to work. What the AMERICAN people should have done was ask for a recount of the vote when the election was over to see if this person was voted in or simply placed there by other.

[gulfcoastdude]

Yes, I know plenty of people along the gulf coast that have always had secure jobs in the oil industry, after Obama was elected many of them were laid off. Maybe this decision by Salazar will help things a little.... maybe.

[sjc_1]

ANWR was projected to supply less than 3 percent of the oil the U.S. uses every year and that was optimistic. The leases are for the oil companies to hold, nothing says that they have to drill, develop and deliver. They are just assets on the books.

[sean58z]

Hey azure13, your comment is based on what geological survey? Save your hot air for your OPEC friends.

[sean58z]

Mexico, Jamaica, and Cuba possess vast reserves of off-shore petroleum. Why rely on thieves like OPEC? American Oil Companies could migrate farther south to Colombia and Brazil. The revenue will provide funds to the governments for ecology, social programs, and education.

[nottellin1]

Since when does Mexico, Jamaica, and Cuba govenment spend money on "ecology, social programs, and education". Oh yeah, they don't.

Just sayin.

[sjc_1]

The oil companies have 68 million acres under least including 8 million acres off the coast of Florida with proven reserves. The oil companies COULD have been drilling and pumping the last 8 years, but they have not.

[speakinup22]

Source of information please.

[azure13]

Amounts to 3 week supply. lol

What's the point?