API Jack Gerard's Statement on Draft House Resources Bill

Cathy Landry | 202-682-8122 | landryc@api.org

WASHINGTON, May 29, 2009 - American Petroleum Institute President Jack Gerard issued the following statement on the draft House Natural Resources bill, which would among other things, shorten initial onshore lease terms from 10 to five years, raise onshore royalty rates to 18.75 percent, add layers of complex and redundant planning, and impose new fees on nonproducing leases.

“During these tough economic times - when the need for jobs and investment has never been greater - this draft bill poses a major threat to our nation’s energy security, and to the benefits of jobs, revenues and secure energy supplies that investment in America’s oil and natural gas resources can bring. We need more energy. Provisions of this draft bill will not provide us with more energy. Instead, the draft bill will impose hurdles, drive up costs and stifle investments, which will lead to less energy.”