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  • Drilling Permitorium Continues

    Although Congress lifted the ban on deepwater drilling in October and drillers are eager to return to work, the government still has not issued any permits. And the news is unlikely to improve much next year. CNNMoney reports:

    Even if a few permits come through, analysts say it will be a far cry from the amount issued pre-spill. “We’re not holding our breath for a return to business as usual,” Whitney Stanco, and energy analyst at the Washington Research Group, wrote in a recent research note. “Despite pressure from Gulf state lawmakers and the oil and gas industry, we believe permitting in 2011 will likely be slower than it has been in recent years.”

    The moratorium did not affect current oil production in the deepwater Gulf of Mexico, which comes from wells that have already been drilled. Currently, about a quarter of the nation’s five-million-barrel-a-day crude output comes from the deepwater Gulf, according to the Government’s Energy Information Administration. But future output could fall if new wells aren’t drilled. EIA predicts U.S. output will drop by about 170,000 barrels a day in 2011 thanks to the ban.

    Part of the problem for the oil companies was figuring out the complexities and intricacies of the new rules, but now drilling requests are increasing, reports the International Energy Agency. A newly released report says, “Oil companies are queuing up to submit requests to recommence drilling, including many of those previously active in the area. Companies remain keen to work in the Gulf of Mexico, seeing it as one of the more profitable regions accessible to them.”

    Seven experts from National Academy of Engineering recommended that a blanket moratorium was not the answer, would not significantly reduce the risks of offshore drilling, and would punish the innocent. The ban went forward anyway, punishing deepwater and shallow water drillers. Just two days ago, Politico broke a story in which the Department of Interior inspector general says that the White House re-wrote sections of a report to make it appear that an independent panel of experts supported the drilling moratorium.

    The permitorium is causing businesses and families to unnecessarily struggle when job creation is at a premium. With regards to drilling, businesses want to create jobs without money from the taxpayer, yet the government is dragging its feet issuing permits, and the dragging will continue throughout 2011.

    It’s sad (but not unexpected) for an Administration so keen on bringing objectiveness and transparency to Washington to fall victim to political pressures.

    Posted in Energy [slideshow_deploy]

    11 Responses to Drilling Permitorium Continues

    1. Pingback: Big Propaganda

    2. Anita Locashio says:

      We're sick & tired of all the restrictions & useless choke holds these jerks have on us. We need to utilize all of our God given resources! And with fresh & sound minds in the houses this will be accomplished!

    3. HawkWatcher, Mi. says:

      Why won't the poisonous statists let us go to work? They say it's all about jobs while they obstruct us on many economic fronts. How does this in any way reflect a representative government? 2012 can't come soon enough, then every 2 years we replace and replace, we hack and we hack, until we have a limited federal government run by citizens that will actually work for us. Never rest for long, even after we achieve victory. These statists, though limited in number, are pervasive and persistent. Only through our continued vigilance will the republic prevail.

    4. Mark Groves, Brandon says:

      Tree huggers are Mother muggers, they force us to buy oil from people who hate us or fight wars to keep the flow, wars kill, too high a price to pay for oil. Support U.S. drillers EVERYWHERE specially the North Slope of Alaska which is a barren ice covered desert in which a drill platform can NOT sink! Oil spilled in subfreezing conditions won't flow anywhere, it will freeze and then you can pick it up like ice cubes.

      If U.S. companies can't drill in the Gulf China, Cuba and third world countries already have plans to drill, and we have NO control over them! At least U.S. companies can be inspected and must meet safety rules, do you really think Cuba is the best country to drill 50 miles off the coast of Florida right in the middle of the Gulf Stream so an 'accident' will damage OUR coasts not theirs, sounds like a strategic OOPS plan to me, 'oops we have an oil spill, so sorry it's destroying your fisheries, ours are fine. Thanks' Castro.

      If we do switch to 'Green Energy' oil will be worthless so let's use it while it's still useful, and profitable, think about that.

    5. William Downey, JD L says:

      The continued delaying tactics are part of the administration "dedication" to force a more rapid change to renewables. I do not think they understand that there is a tremendous amount of work and investment to build or rebuild the infrastructure necessary to achieve a greater reliance on renewable.

      Holding the nations deep water oli and gas exploration and development hostage to this agenda weakens not only our national economy but seriously harms our national energy security.

      See America's Aging Infra-Structure What to Fix and Who Will Pay Knowledge Wharton

    6. Pingback: Haynesville Shale Education Center | Lousiana Oil and Gas Association

    7. Leon Lundquist, Dura says:

      It is perfectly clear to me what Obama is doing! He is using Administrative means to continue his harmful practices. I expect this kind of thing to continue all through the economy. If I was Impeaching Obama I'd ask "Why did you ban oil drilling?" Knowing it was harming American Interests, why did he continue to stop it using the Permitting Process? What? The Oil Industry wasn't going down like it was supposed to? It needed an extra 'nudge?' Here's what we need to do with this crazy guy. Don't listen to a single thing Obama says, listen only to his actual acts. His acts prove decisively that he is Anti American and Obama acts entirely in the Foreign Interest. (In this case it is Brazil, BP and God knows? The Russians?)

      I can't for the life of me see one single thing Obama has done for Americans (outside his gang of special interests.)

    8. Pingback: Lunch With Heritage Online Chat on the Drilling Moratorium – LIVE NOW | The Foundry: Conservative Policy News.

    9. Pingback: The World Powers Up While America Powers Down | The Foundry: Conservative Policy News.

    10. Pingback: AntiObamaBlog.com » The World Powers Up While America Powers Down

    11. Pingback: Egypt and Renewable Energy | The Foundry: Conservative Policy News.

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