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Industry Presses Feds To Keep Atlantic Drilling On The Table

(SUBHANKAR BANERJEE / Associated Press)

WASHINGTON — Oil industry leaders on Monday beseeched the Obama administration to sell drilling rights in East Coast waters before 2022, even as environmentalists asked that the territory be closed to the activity.

The widely ranging views came as the Bureau of Ocean Energy Management kicked off coast-to-coast hearings on its draft plan to sell offshore oil and gas leases from 2017 to 2022.

The proposal, unveiled last month, paves the way for 14 sales of offshore drilling leases: 10 in the Gulf of Mexico, three off the coast of Alaska and one for territory along mid- and south-Atlantic states.

Read more: Offshore drilling plan targets Atlantic and Arctic waters

Regulators at BOEM will continue refining the five-year leasing plan and are set to publish at least two more versions before setting on a final sale schedule. But at this point, it is only likely to get smaller; new sales and leasing areas cannot be added to the program without restarting the entire planning process.

That leaves oil industry advocates imploring regulators to keep the 14 proposed lease sales on the books and not whittle the draft down further — even though the program is smaller than they would like.

“Keeping in mind that areas excluded at any stage of the program cannot be added later (we) are not going to miss our opportunity to engage during the scoping meetings and comment period,” said Randall Luthi, head of the National Ocean Industries Association. “We strongly urge BOEM to keep all areas in the (proposal) in the next draft version of the program, including the proposed Atlantic lease sale.”

The Atlantic sale, proposed for 2021, is viewed as particularly tenuous.

When it was announced, Interior Secretary Sally Jewell stressed to reporters that “critical scientific information” is needed before any Atlantic auction.

“Safe to say that when it comes to considering leasing on the Atlantic, we need more information,” Jewell said at the time. “We’re interested in learning more about the resource potential as well as the potential conflicts with the environment and other uses. The current data we have about oil and gas resources in this area is about 30 years old. We also need to assess whether important infrastructure can be available to to prepare for development in this region, particularly spill response capabilities.”

American Petroleum Institute President Jack Gerard noted that the government is proposing only one possible Atlantic lease in the next five-year program, and that “was quick to say even that may be canceled.”

On Monday, the ocean energy bureau held two public meetings on the draft proposed plan — one in Washington, D.C. and another in Fairbanks, Alaska. Eighteen more are scheduled around the country — in Alaska and along the East and Gulf coasts — including a Feb. 23 summit in Houston.

Environmentalists opposed to offshore drilling rallied outside the Washington, D.C. meeting. They hoisted signs — “Oil spills, seismic kills” — and held banners. A person in a polar bear costume held a poster board proclaiming “No Atlantic Drilling.”

“While we agree with President Obama on many things. . . we disagree with the new offshore drilling plan because it’s wrong,” said Erich Pica, president of Friends of the Earth. “It’s wrong that we are going to be opening up our East Coast that has 1.4 million coastal jobs.”

Inside the meeting, environmentalists told regulators they don’t want to see an offshore oil spill mar the East Coast or put Arctic life at risk.

“I want the administration to know that I don’t want to gamble having the coast where I grew up — or other valuable areas — damaged by a catastrophic oil spill like the BP Deepwater Horizon disaster,” said Alex Adams, an ocean advocate with the Natural Resources Defense Council.

 

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