New Drilling Policy Denies Atlantic, East Gulf Expansion Through 2017

Interior Secretary Ken Salazar and Director of Bureau of Ocean Energy, Management, Regulation and Enforcement (BOEMRE) Michael Bromwich announced today that OCS drilling in the Eastern Gulf of Mexico and along the Atlantic coast will not be permitted through 2017.

In March, proposals were made that would expand exploration and oil extraction from both of these shores, but in wake of the Deepwater Horizon spill, Salazar and Bromwich are reversing their decision to expand.

“We are in the process of putting into place the most stringent environmental standards in the world,” Salazar said. “As that oversight regime is put into place, we believe that the most appropriate course of action is to focus development on existing leases and not expand to new areas at this time.”

The revised policy will allow for new lease sales to be purchased off the Western and Central Gulf shores by the end of 2011. The Arctic has different conditions that will require rigorous analysis. Salazar said this analysis will influence his decision on whether and where to schedule Alaska lease sales in the 2012-2017 program.  However, through the next seven years, leases will not be permitted for the Eastern Gulf shore nor will they be permitted off the Atlantic coast.

Rep. Steve Scalise (R-La.) opposes the policy reversal saying it was a “purely political decision” and believes it will “increase our dependence on Middle Eastern oil.”

“This retreat away from domestic energy sources will jeopardize America’s energy security and does absolutely nothing to make energy exploration and development safer,” Scalise said.

Salazar and Bromwich told reporters that focus will instead be shifted from selling new leases to taking advantage of the 43 million acres that are currently leased. The duo added that of the currently active acreage, 29 million are not being used, providing companies with the opportunity to continue business through 2017. 

“The changes that we have made today are based on the lessons that we have been learning,” Salazar said.