implications for offshore oil and gas | Bud's Offshore Energy (BOE)

Posts Tagged ‘implications for offshore oil and gas’

Offshore oil and gas:

The current 5 year OCS oil and gas leasing plan, which provided for the fewest sales in history, will be rewritten.
The new program will include at least one Gulf of Mexico lease sale annually.
Where there is State support (e.g. Alaska), other offshore areas may be added to the program.
Reversal of the Beaufort Sea Presidential withdrawals, either by executive order or, if necessary, by congressional action, is a distinct possibility.
A Gulf of Mexico oil and gas sale will be held during the first half of 2025. This can be accomplished under the Biden administration’s 5 year plan.
Judge Boardman’s ruling requiring a new biological opinion under the Endangered Species Act (ESA) has created some uncertainty regarding the timing of a GoM sale. Her decision is being litigated and the effective date of her ruling is now 5/21/2024 (see attached). Congressional action could also reverse this decision.
Expect other litigation on NEPA and ESA grounds with the intent of stalling oil and gas leasing. Congressional action could reverse or limit such litigation.

Offshore wind:

Expect offshore wind leasing to be “paused.”
Current leaseholders are contractually entitled to continue developing and operating their leases. Expect construction and operation plans to be more closely scrutinized.
Expect BSEE’s report on the Vineyard Wind turbine blade failure to receive added attention and publicity.
Expect considerable tension between North Atlantic governors, strong supporters of offshore wind, and the new administration.

Expect less babble about absurd topics like “petro-masculinity.” 😉