Gulf Economic Survival Team

TOP NEWS

MAY 17, 2012: GEST COMMENTS ON INTERIOR DEPT'S JUNE LEASE SALE ANNOUNCEMENT

Lori LeBlanc, Executive Director of the Gulf Economic Survival Team (GEST), released the following statement in response to today's announcement by the Department of Interior regarding the June lease sale:

Today, Secretary of the Interior Ken Salazar announced final details for the long-anticipated Central Gulf of Mexico lease sale, alleging the sale would increase U.S. production.

While we are glad to see the Department of the Interior moving forward with this long-awaited sale, it is important to place the Administration’s activity with regard to offshore oil and gas development in perspective.  The fact is, lease sales have gradually diminished under this Administration – an often overlooked fact that is critical for two main reasons. 

First, lease sales have the benefit of generating immediate revenue for the U.S. Treasury.  During 2008, for example, $9.4 billion was generated in new offshore lease bids.  That figure has shrank noticeably each year of this administration – to $1.1 billion during 2009, $979 million in 2010, and then to a paltry $36 million in 2011 as the Interior Dept. managed only one lease sale during the entire year. 

Lease sales also provide the foundation for new exploration and development that leads to the production of the energy Americans need for years to come.  Each lease takes years and millions or billions of dollars to fully develop.  Companies go through a lengthy process involving geological mapping, testing, and drilling exploratory wells before production can even begin.  In short, these leases are the necessary prelude to developing a tract of land and bringing energy to market.

It’s hard to believe that an administration claiming to be focused on increasing U.S. energy independence and on finding ways to balance the budget and reduce the federal deficit has largely failed so far to advance these goals by fostering more robust activity in the Gulf.  We hope the June lease sale does in fact occur as scheduled and, more importantly, is the sign of a more active commitment by the Administration to fulfill the energy and fiscal needs of Americans going forward.

 

APRIL 17, 2012: GEST RESPONDS TO OBAMA'S CALL FOR INCREASED SCRUTINTY OF OIL MARKETS

Lori LeBlanc, Executive Director of the Gulf Economic Survival Team (GEST), released the following comments regarding the President’s announcement to increase scrutiny over oil markets.  

“Today President Obama announced an initiative to increase oversight of oil markets, calling it “critically important to ensure that illegal manipulation, fraud and market rigging are not contributing to gas price increases.”  The President should rest assured – illegal manipulation, fraud and market rigging are almost certainly NOT contributing to gas price increases.  Rather, it is the President’s own policies that need to be scrutinized for their contribution to today’s high prices at the pump.

“We suggest President Obama begin his oversight initiative by taking a close look at his own regulatory regime to identify areas where the process can be made more efficient and transparent.  By ensuring better long-term conditions for offshore energy investors, the President could have a positive impact on energy market prices in both the short and longer term."

Read full statement here.

About GEST

The Gulf Economic Survival Team is a nonprofit organzation founded in June 2010 to push for a swift end to the federal moratorium on offshore drilling.  Since October 2010, when the moratorium was lifted, GEST has served as a facilitator between operators, state government, and the federal government to clarify new exploration and drilling plan and permit requirements, and as an advocate for the full return of economic activity and energy production in the Gulf region. With the leadership of Louisiana Department of Natural Resources Secretary Scott Angelle, GEST meets nearly regularly with  BOEM and BSEE officials to resolve these issues and continues working with the agency at the highest levels.

Building on the findings from a 2011 IHS/CERA study that focused on the economic value of an increased pace of deepwater permitting, GEST is now launching a national “Back to Work with American Energy” campaign to spread the word about the value of a robust energy industry in this nation.

Now, more than ever, America deserves the dependable source of domestic oil and gas provided by the Gulf of Mexico, and Americans deserve the economic stimulus provided by the offshore energy industry.

Let's get Back to Work with American Energy!