WASHINGTON – The American Petroleum Institute issued the following statement today following release of the U.S. Minerals Management Service’s new 5-year plan designating additional areas for potential oil and natural gas leasing:
“We are encouraged that MMS is offering lease sales in areas where we are already exploring and producing in the Gulf of Mexico, such as the Sale 181 area (parts of which were opened last year by Congress), along with new areas south of Sale 181 and new areas off the coast in Virginia and in Bristol Bay, Alaska. Oil and natural gas from these areas could make a significant contribution to meeting the nation’s future energy needs.
“Nevertheless, it is important to remember that most U.S. offshore areas in the lower 48 states (some 80 percent of the federal outer continental shelf) remain off limits to oil and gas exploration and that these areas contain vast amounts of oil and natural gas. According to MMS, they hold an estimated 18.9 billion barrels of oil and 85.9 trillion cubic feet of natural gas. This is enough oil to heat nine million homes and power 20 million cars for 30 years and enough gas to heat 37 million homes for 30 years. Despite anticipated ‘robust growth’ in renewables between 2007 and 2030, the U.S. Energy Information Administration projects an increase in oil consumption of nearly 30 percent and natural gas consumption of nearly 19 percent over the same period. The rich energy resources now locked up off our coasts will clearly be needed.
“The decision to prohibit development of these energy reserves is also inconsistent with the excellent environmental record established by offshore oil and gas producers, which was highlighted by the stellar performance of offshore production platforms during the unprecedented Gulf of Mexico hurricanes in 2005.”