IPAA: All of America’s Offshore Energy Potential Should Be on the Table

WASHINGTON, D.C. – The Obama Administration should keep all of America’s offshore energy potential on the table this early in the decision-making process, Independent Petroleum Association of America (IPAA) President and CEO Barry Russell told reporters today as the U.S. Department of the Interior kicked off a series of public meetings around the country on the next five-year leasing program for offshore oil and natural gas development.

“As the oil and natural gas industry faces new uncertainties, it is critical that this administration match its rhetorical support of oil and natural gas production with a sound, reliable, and affordable energy policy for the nation,” said Russell. “IPAA has long-advocated for opening access to all areas of the OCS, including the Eastern Gulf of Mexico, the mid-Atlantic, and even Alaska’s waters. While we are encouraged to see the Obama Administration addressing America’s offshore energy potential by increasing access to new offshore areas in its proposed five-year plan, we feel much more can certainly be done.

“America’s independent producers account for 30 percent of U.S. offshore energy production, support more than 200,000 jobs, and, each year, send more than $10 billion in additional revenue to the United States Treasury. Even as American families are currently benefiting from low prices at the pump, we must continue to recognize the important role America’s independent producers can play in increasing our energy security and fueling a long-term revitalization of our economy.

“Opening new offshore areas to exploration will provide us with much-needed knowledge,” said Russell. “Today, we don’t know the extent of what resources lie beneath U.S. waters. As Americans, all of us own these resources and deserve to know – through the use of sound science – the full potential of our own offshore oil and natural gas reserves.

“This proposed five-year plan represents an opportunity for the Obama Administration to put a much more robust plan in place – one that opens up vital new offshore areas and best utilizes the energy resources we have right here at home. So far, this administration has failed in that mission.”

About the Independent Petroleum Association of America
The Independent Petroleum Association of America (IPAA) is the leading, national upstream trade association representing oil and natural gas producers that drill 95 percent of the nation’s oil and natural gas wells. These companies account for 54 percent of America’s oil production, 85 percent of its natural gas production, and support over 2.1 million American jobs.

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Press briefing on BOEM’s offshore oil and gas leasing proposal
Barry Russell, IPAA President and CEO
Monday, February 9, 2015

Opening statement as prepared for delivery: 

Good morning everyone, I am Barry Russell, President and CEO of the Independent Petroleum Association of America. While IPAA is encouraged to see the Obama Administration addressing America’s offshore energy potential by increasing access to new offshore areas in its proposed five-year plan, we feel much more can certainly be done.

America’s independent producers account for 30 percent of U.S. offshore energy production, support more than 200,000 jobs, and, each year, send more than $10 billion in additional revenue to the United States Treasury. Even as American families are currently benefiting from low prices at the pump, we must recognize the important role America’s independent producers can play in increasing our energy security and fueling a long-term revitalization of our economy.

As the oil and natural gas industry faces new uncertainties, it is critical that this administration matches its rhetorical support of oil and natural gas production with a sound, reliable, and affordable energy policy for the nation. IPAA has long-advocated for opening access to all areas of the OCS, including the Eastern Gulf of Mexico, the mid-Atlantic, and even Alaska’s waters. While this administration is taking small steps in the right direction, we strongly urge the Interior Department to keep all offshore areas available to exploration.

Opening new offshore areas to exploration will provide us with much-needed knowledge. Today, we don’t know the extent of what resources lie beneath U.S. waters. As Americans, all of us own these resources and deserve to know – through the use of sound science – the full potential of our own offshore oil and natural gas reserves.

This proposed five-year plan represents an opportunity for the Obama Administration to put a much more robust plan in place – one that opens up vital new offshore areas and best utilizes the energy resources we have right here at home. So far, this administration has failed in that mission.

With that, I will turn the call back over to Jack Gerard and I am happy to answer any questions you may have.