U.S. Plans to Expand Offshore Continental Shelf for Drilling
The United States will launch a 45-day public consultation period to gather feedback on a new five-year leasing program for offshore oil and gas exploration. The results of the discussions will shape a long-term plan for resource development on the U.S. Outer Continental Shelf.
According to Reuters, the program could potentially include new drilling zones in the Arctic.
Former President Donald Trump has directed federal agencies to find ways to increase U.S. oil and gas production — already at record highs — arguing that previous administrations unnecessarily limited drilling activity. Trump has also overturned efforts by former President Joe Biden to block oil drilling in the Arctic, as well as along the Atlantic and Pacific coastlines.
The Bureau of Ocean Energy Management (BOEM), under the U.S. Department of the Interior, has recently been granted oversight of new Arctic territories in higher latitudes. Additionally, the boundaries of other areas of the Outer Continental Shelf are being reviewed, with a likelihood that these zones will be opened to future oil and gas leasing.
Importantly, drilling auctions in the Gulf of Mexico, scheduled under the Biden administration, will remain in effect.
According to the Department of the Interior, offshore lease production currently accounts for about 14% of total U.S. crude oil output.
