Gulf Economic Survival Team

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January 30, 2012:  GEST Statement on GNO, Inc. Report on Impact of Decreased Drilling Permits

Gulf Economic Survival Team Executive Director Lori LeBlanc issued the following statement in response to today’s release of ‘The Impact of Decreased Drilling Permit Approvals on Gulf of Mexico Businesses’, a Greater New Orleans, Inc. study regarding the impact on small and mid-sized businesses in Louisiana of the Federal Deepwater Drilling Moratorium and the decreased approval rate for deep- and shallow-water drilling permits:

“Today’s release of the GNO, Inc. study on the impact of drilling permit flows on small- and mid-sized companies is a welcome addition to the current debate over the future of U.S. energy policy. Just last week, the Obama administration declared support for an “all-of-the-above” energy approach that would include expanded oil and gas production along with the pursuit of renewable energy sources.

As the GNO report makes clear, the ability of government to implement an efficient and predictable regulatory process ultimately determines the vitality of U.S. energy activity and the economic health of the companies that support the oil and gas sector. According to the report, the post-Macondo decrease in the approval rate for deep- and shallow-water drilling permits severely impacted Louisiana companies, with 41% failing to make a profit, 46% moving some or all of their operations away from the Gulf of Mexico, and 50% of businesses laying off employees.

The lesson for the Obama administration is clear: for an “all-of-the-above” energy policy to be effective, it must be underpinned by a strong and efficient federal regulatory regime. Timely approval of permits for safe and environmentally sound offshore energy activity is key to the ability of companies to operate in the Gulf, directly impacting their ability to provide Americans with good jobs, contribute needed tax and royalty revenue to the U.S. Treasury, and support U.S. energy security."  READ MORE

GNO, Inc. Report

Deepwater drilling moratorium has created 'hidden victims,' study says (January 30, 2012 - Times-Picayune)

January 26, 2012:  GEST Responds to President's Lease Sale Announcement

Executive Director Lori LeBlanc issued the following statement in response to President Barack Obama’s announcement today of a June 2012 Gulf of Mexico lease sale to be held in New Orleans:

“We are pleased to see President Obama recognize the tremendous value of the Gulf energy industry in providing good jobs, tax revenue and energy security at a time when Americans need them the most. However, while additional lease sales will provide an opportunity to move this nation closer toward energy independence and create jobs across the country, permits are the key to turning this opportunity to reality.

We hope that today’s announcement of the scheduled Central Gulf lease sale is followed by a commitment to resolve the tough challenges that remain in making the permitting process for Gulf energy activities as efficient as possible.  Nearly a year and half after the lifting of the deepwater moratorium, there continues to be tremendous uncertainty with regard to the federal government’s ability to timely approve the necessary plans and permits required to get the drill bits turning."  READ MORE

BOEM schedules central gulf lease sale for June 20 (Oil & Gas Journal, 1/27/12)

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!