Another Gulf of Mexico oil and gas lease sale delay
Written by Nick Blenkey
Image: BOEM
File this one under “why are we not surprised.” The Bureau of Ocean Energy Management has yet again announced a delay to Gulf of Mexico oil and gas lease Lease Sale 261.
Here’s what the agency says:
“As a result of the order issued by the United States Court of Appeals for the Fifth Circuit on October 26, 2023, in Louisiana v. Haaland (Case No. 23-30666), the Bureau of Ocean Energy Management (BOEM) is postponing Lease Sale 261, which was originally scheduled for September 27, 2023, and later scheduled for November 8, 2023, in response to judicial orders. Until the court rules, BOEM cannot be certain of which areas or stipulations may be included in the sale notice.
“Potential bidders in Lease Sale 261 should not submit bids until BOEM provides additional instruction. BOEM will hold any bids already received and will hold the sale after it receives further direction from the Court of Appeals.
“As information becomes available, it will be posted at: www.boem.gov/sale-261.”
National Ocean Industries Association president Erik Milito issued the following statement after the BOEM announced this latest delay.
“Once again, the Administration is standing against domestic oil and gas production. The Administration is simply choosing to delay this lease sale, which follows in their pattern of opposing new domestic oil and gas lease opportunities.
“There are zero legal or operational constraints preventing Interior from proceeding with the lease sale pursuant to the October 5th Final Notice of Sale. The delay is especially concerning in light of the geopolitical upheaval and fragility in oil markets due to burgeoning armed conflicts in multiple oil-producing regions. A competent national security posture must exemplify strength and promote U.S. oil and gas production, as opposed to overtures to dictators and despots.
“Moreover, there is no reason BOEM should consider withdrawal of acreage or additional restrictions when NOAA, the “science-based” agency within Commerce, has just announced it needs to take additional steps before any decisions like these can be made. Rather than capitulate to the demands of activist litigants and circumvent the regulatory process, the Administration should resume oil and gas leasing in the Gulf of Mexico.”
Here’s the court order referenced by BOEM:
