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  • Permitorium: 103 Gulf of Mexico Drilling Plans Await Government Approval

    As oil prices continue to climb, a backlog of more than 100 offshore drilling plans for the Gulf of Mexico are awaiting approval from the Obama administration, according to federal data.

    The federal government has not approved a single new exploratory drilling plan in the Gulf of Mexico since lifting its deepwater drilling moratorium on Oct. 12. There are currently 103 plans awaiting review by the Bureau of Ocean Energy Management, Regulation and Enforcement.

    The information reveals that the Obama administration — not the oil industry — is the culprit for the slowdown of drilling activity in the Gulf. The Gulf of Mexico accounts for more than 25 percent of domestic oil production.

    “These new findings prove that BOEMRE cannot claim it isn’t receiving job-creating plans from oil exploration and production companies,” said Gregory Rusovich, chairman of the Business Council of Greater New Orleans and the River Region. “The plans are there. Until BOEMRE reviews the 103 plans awaiting approval, our economy’s stability remains in jeopardy.”

    Every two weeks Greater New Orleans Inc. releases a Gulf Permit Index based on publicly available federal data. Thursday’s index revealed an 88 percent decline in deepwater permits compared to the historical average. Not a single deepwater permit was approved in January.

    Even shallow-water permits have taken a hit in the Gulf, despite not being subject to the administration’s moratorium last year. Only two new shallow-water permits were approved by BOEMRE in January. Permit issuance is down 30 percent from the historical average.

    The decline in drilling is having an economic impact on the Gulf region and also threatens to exacerbate the problems with rising oil prices.

    It also means less money for the federal government. With production in the Gulf of Mexico expected to drop this year by 220,000 barrels per day, according to the U.S. Energy Information Administration, that equals about $3.7 million in lost revenue each day (based on the $90/barrel oil and the royalty rate of 18.75 percent).

    Posted in Scribe [slideshow_deploy]

    14 Responses to Permitorium: 103 Gulf of Mexico Drilling Plans Await Government Approval

    1. Bobbie says:

      Time is economic growth, Mr. Obama. Something GOVERNMENT IS interfering with. YOUR INTERFERENCE IS UNNECESSARY AND NEEDS ARREST!

      Since the president isn't man enough to follow the laws he holds everyone else accountable for, while setting irresponsible and frivolous regulations there is no reason for, resulting in neglect to economic growth in America and the livelihoods of many, we have to rise above him. No violence. Just do it before this country is taken over.

    2. Kevin, Peoria AZ says:

      Isn't it amazing that the government recieves 18.75% royalty from oil and yet spends billions on renewable engery subsidies? Oil produces a large percentage (85%) of energy in America while wood (2%), yes wood, produces more than wind and sun combined (.8%). http://en.wikipedia.org/wiki/World_energy_resourc

    3. Jeff, Florida says:

      The entire Gulf Oil Spill response has been nonsense.

      Does anyone remember Obama's speech on the "oil crisis"; the one where he mentioned how much oil the US uses in relation to how much it produces…

      This administration is indeed attempting to roll back progress in the US. After all, isn't it time that the 3rd world countries get a turn at prosperity?

      I wonder if any of the die-hard Obama voters thought that there were going to be rolling blackouts in Texas because of nonsensical energy policy?

      I fear for the future of this country.

    4. Lloyd Scallan (New O says:

      I really don't understand why this article is news or a surprise to anyone. What will it take before the people of this nation realize that Obama will do or say anything he must to get his agenda shoved down our throats. Obama agenda is to end our economical system by causing the prices of everything that touches our daily lives to rise to the point many will not be able to live the American way of life. Believe, Obama is drooling waiting for the time when he installs his socialist/communist, (aided by the media and Dems) fully controled government systems that will rule every aspect of our lives. His deliberate destruction of the oil producing industry is one key piece of his plans. We must understand that oil is the life blood of this nation. That's why Obama must destroy it.

    5. Harry Snyder Tempera says:

      I hate to say to say it, but, after looking at the events and policy decisions of the Obama Administration the past months, I have to say that Obama does not want oil production resumed in the Gulf of Mexico, although he seems not to object to Mexico and other countries continuing and increasing their exploration and drilling there.

      He said he wanted to transform the U.S. during the campaign; this will certainly will transform it as petroleum product prices continue to rapidly rise.

      Didn't he say he had no objection to $4 per gallon gas? Just that it should not happen too quickly? We should have listened more attentively………

    6. Pingback: Anti-Energy Agenda Could Cause More Rolling Blackouts | The Foundry: Conservative Policy News.

    7. Spiritof76, NH says:

      I agree with the post of Lloyd Scallan above.

      It is tiring to read over and over that somehow Obama and his administration are not understanding the consequences of their actions. Why is it so difficult to accept the plain fact that Obama is a committed socialist, a disciple of Saul Alinksy and possesses anti-American views? Destruction of the energy production in this country is his aim so that he can cripple our society built on free enterprise and capitalism.

    8. Pat from Texas says:

      Lost revenue, lost jobs……what else can this administration do to further wreck our economy???

    9. Pingback: Anti-Energy Agenda Could Cause More Rolling Blackouts | Big Propaganda

    10. Pingback: Tweets that mention The Foundry: Conservative Policy News. -- Topsy.com

    11. Pingback: Offshore Drilling and the Federal Deficit | The Foundry: Conservative Policy News.

    12. Pingback: The Absurd Report » Is there not one Patriot left in Washington? By the Bear

    13. Pingback: Obama on Oil Subsidies | ConserveCapitalism.com

    14. joe says:

      approval from chu obama or lisa jackson???

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