{"id":2833,"date":"2017-08-23T19:31:25","date_gmt":"2017-08-23T19:31:25","guid":{"rendered":"https:\/\/pickettoil.wordpress.com\/?p=75"},"modified":"2017-08-23T19:31:25","modified_gmt":"2017-08-23T19:31:25","slug":"trump-reversing-obama-will-push-to-expand-drilling-in-the-arctic-and-atlantic","status":"publish","type":"post","link":"https:\/\/pickettoil.com\/store\/trump-reversing-obama-will-push-to-expand-drilling-in-the-arctic-and-atlantic\/","title":{"rendered":"Trump, reversing Obama, will push to expand drilling in the Arctic and Atlantic"},"content":{"rendered":"

https:\/\/www.washingtonpost.com\/politics\/trump-reversing-obama-will-push-to-expand-drilling-in-the-arctic-and-atlantic\/2017\/04\/27\/757fa06c-2aae-11e7-b605-33413c691853_story.html?utm_term=.c59a8b746edf<\/p>\n

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By\u00a0Juliet Eilperin<\/a>\u00a0and\u00a0Brady Dennis<\/a><\/p>\n

April 27, 2017<\/p>\n

President Trump will take a major step Friday to expand oil and gas drilling off U.S. shores, directing the Interior Department to lift restrictions that President Barack Obama imposed in the Arctic and Atlantic oceans. But local political considerations and the global energy market are likely to influence future exploration far more than an executive order in Washington.<\/p>\n

Several industry officials and experts predict that oil and gas firms will bid on areas the administration plans to open to drilling, including those off the East Coast. But the targeted Arctic areas are much less attractive to investors right now, and even potential drilling in the Atlantic could be complicated by long-standing resistance from coastal communities.<\/p>\n

Jason Bordoff, director of the Center on Global Energy Policy at Columbia University and a former Obama energy and environment adviser, said that while the Trump administration can rescind the former president\u2019s efforts to end exploration in the two regions, that process would be complex and involve at least two years of revamping the government\u2019s long-term drilling plans.<\/p>\n

\u201cThe question then is, does anybody show up, and does anybody want these [leases]?\u201d Bordoff said. \u201cIt depends quite a bit on what the oil market looks like in two years.\u201d<\/p>\n

If it looks anything like it does today, with low oil prices and most industry growth taking place onshore, Trump\u2019s new policy might have little practical effect.<\/p>\n

How Trump is rolling back Obama\u2019s legacy VIEW GRAPHIC<\/a><\/p>\n

National Ocean Industries Association President Randall Luthi, who headed the Minerals Management Service under President George W. Bush, said what matters most is that there has been \u201cjust a complete change of attitude\u201d toward offshore development since Trump took office.<\/p>\n

The hope with the executive order is \u201cthat once the economics fall into place, the federal and regulatory regime will be right for increased leasing off the Outer Continental Shelf,\u201d Luthi said.<\/p>\n

[Obama administration moves to slam the door shut on Arctic drilling<\/a>]<\/i><\/p>\n

Interior Secretary Ryan Zinke has made clear he wants to boost drilling in federal waters to generate more royalties. While this money goes directly to the U.S. treasury, Zinke suggested in a speech Tuesday that the royalties should be spent on a maintenance backlog within the national parks system.<\/p>\n

Thursday night, he pledged that environmental protections would not be compromised as the administration looks for opportunities to develop energy offshore. He said current restrictions would probably stay in place for two years.<\/p>\n

\u201cWe\u2019re going to give local communities a voice,\u201d he said. At the same time, he said, \u201cit is better to produce energy here, under reasonable regulation, than have it produced overseas with no regulations.\u201d<\/p>\n

But opposition remains intense among politicians of both parties in the Southeast.<\/p>\n

According to the advocacy group Oceana, 90 percent of coastal municipalities from Cape May, N.J., to Cape Canaveral, Fla., have formally opposed drilling or seismic testing off their coasts. Prominent South Carolina Republicans, including Gov. Henry McMaster and U.S. Rep. Mark Sanford, have come out against drilling there.<\/p>\n

\u201cIt\u2019s not the environmentalists and the dolphin huggers,\u201d said Jacqueline Savitz, Oceana\u2019s senior vice president for oceans. \u201cIt\u2019s the business community. What you\u2019ve got is a different fight now.\u201d<\/p>\n

In Beaufort, S.C., Mayor Billy Keyserling said he is ready to again fight the prospect of offshore drilling \u2014 just as he did during the Obama administration \u2014 because of concerns over environmental threats, the potential impact on tourism and concern that more local jobs could be destroyed than created.<\/p>\n

\u201cWe will fight it harder than we did in the past,\u201d Keyserling said. \u201cWe all feel very, very strongly.\u201d<\/p>\n

In other states, elected officials remain split on the issue. Virginia Gov. Terry McAuliffe (D) backs drilling in federal waters off his state\u2019s coast only if the state gets a share of the royalty revenue, which would require a change in current law. Rep. Barbara Comstock (R-Va.) has introduced legislation calling for a lease sale off Virginia Beach within the next year, along with two additional lease sales off Virginia\u2019s coast during each subsequent five-year period.These lease sales would be exempt from review under the National Environmental Policy Act until 2022, according to the bill, which would accelerate the process.<\/p>\n

Despite the drilling restrictions Obama put in place for Alaska\u2019s Arctic, activity continues there. The Italian oil giant Eni wants to reach reserves in a federal area of the Beaufort Sea off Alaska by doing directional drilling from an artificial island it is using in state waters. Hilcorp has taken over a project formerly owned by BP. And Shell, after deciding to drop further exploration plans, gave its offshore acreage to the Arctic Slope Regional Corp., an Alaska Native entity.<\/p>\n

[How Trump is rolling back Obama\u2019s legacy<\/a>]<\/i><\/p>\n

Christy Goldfuss, who headed the White House Council on Environmental Quality at the end of Obama\u2019s second term, said that the executive order he issued in December specifically allowed exploration in 2.8 million acres in the near-shore Beaufort Sea where commercial interest is greatest.<\/p>\n

\u201cThe idea that people are breaking down the administration\u2019s door to get access to the Arctic is just false,\u201d said Goldfuss, who now serves as vice president for energy and environment policy at the Center for American Progress, a liberal think tank.<\/p>\n

Several industry officials said that even with a change in leasing policy, additional regulatory changes would be needed to make drilling in the Arctic more economically viable. Just last July, the Interior Department finalized stricter rules for exploratory drilling there.<\/p>\n

Luthi said that the rules add \u201canother two or three layers of difficulty to drilling\u201d and that he was \u201cfairly optimistic\u201d the new administration would look at revising them as part of its broader regulatory overhaul effort.<\/p>\n

Yet the bipartisan National Commission on the BP Deepwater Horizon Oil Spill and Offshore Drilling is urging Congress to preserve them. Arctic drilling rule. \u201cWe believe that these exploratory drilling regulations are necessary to prevent or reduce the severity or duration of a catastrophic oil spill in the Arctic Ocean,\u201d the commission wrote to lawmakers last month.<\/p>\n

Still, broader energy trends are likely to shape the future more than any regulatory decision.<\/p>\n

\u201cIf the last 10 to 15 years teaches us anything at all, it\u2019s that we should be humble about our ability to forecast oil prices,\u201d said Bob McNally, a former Bush administration energy official and president of the Rapidan Group consulting firm.<\/p>\n

Over the past decade, he noted, those prices have fluctuated between $26 and $140 a barrel. They now hover around $50, but should that start to creep up, interest in offshore exploration and drilling could rise, too.McNally pointed to the recent five-year oil market forecast from the International Energy Agency, which found that demand is expected to \u201cgrow strongly\u201d through 2022 and that \u201cthe need for more production capacity becomes apparent by the end of the decade, even if supply appears plentiful today.\u201d<\/p>\n

\u201cAt $100 a barrel, the economics and the politics change,\u201d McNally said. \u201cYou\u2019d see more industry interest and political calls for offshore development.\u201d<\/p>\n

No matter what the future brings, the current administration is lifting restrictions that the industry sees as unnecessary and unwise.<\/p>\n

\u201cTrump is concluding that what Obama put in place was unreasonable,\u201d McNally said. Policy \u201cshould set reasonable standards and let market forces and technology \u2014 and geology in the case of oil and gas \u2014 dictate what activity takes place.\u201d<\/p>\n

Steven Mufson contributed to this report.<\/p>\n<\/div>\n<\/div>\n<\/div>\n

Source:<\/span>Washington Post<\/a><\/div>\n
<\/div>\n
<\/div>\n","protected":false},"excerpt":{"rendered":"

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But local political considerations and the global energy market are likely to influence … Read more<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2833","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"yoast_head":"\nTrump, reversing Obama, will push to expand drilling in the Arctic and Atlantic - Pickett Oilfield, LLC<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/pickettoil.com\/store\/trump-reversing-obama-will-push-to-expand-drilling-in-the-arctic-and-atlantic\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Trump, reversing Obama, will push to expand drilling in the Arctic and Atlantic\" \/>\n<meta property=\"og:description\" content=\"https:\/\/www.washingtonpost.com\/politics\/trump-reversing-obama-will-push-to-expand-drilling-in-the-arctic-and-atlantic\/2017\/04\/27\/757fa06c-2aae-11e7-b605-33413c691853_story.html?utm_term=.c59a8b746edf By\u00a0Juliet Eilperin\u00a0and\u00a0Brady Dennis April 27, 2017 President Trump will take a major step Friday to expand oil and gas drilling off U.S. shores, directing the Interior Department to lift restrictions that President Barack Obama imposed in the Arctic and Atlantic oceans. 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