Louisiana Officials: “End the Moratorium Now”

Michael Bromwich, director of the Bureau of Ocean Energy Management, Regulation and Enforcement (BOEM), refused to give a date for ending the offshore drilling moratorium yesterday. In New Orleans at the first of eight public hearings on drilling safety, Bromwich only said "there will be a very serious, sustained effort" to shorten the moratorium. (AP)

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API's Holly Hopkins attended the hearing and reported that many speakers supported a swift end to the administration's drilling freeze:

  • Rep. Joseph Cao (R-LA) argued that BOEM is not being efficient in issuing shallow-water drilling permits and isn't adequately addressing the need for the moratorium;
  • David Camardelle, the mayor of Grand Isle, recalled that President Obama said he would end the moratorium when the well was capped. No oil... more »

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Senate Leaders Took Right Step to Shelve Flawed Spill Bill

Senate leaders took the right step to shelve a flawed spill bill, and we look forward to working with lawmakers to improve the bill so that American taxpayers, domestic jobs, the economy and our economic security are protected.

The bill proposed by the Democratic leadership is not an effective or reasoned response to the spill. Instead it will cost American jobs, threaten our fragile economic recovery and jeopardize our energy security.

Among the legislation's shortcoming is the elimination of the cap on oil spill liability. Unlimited liability for spill damages would force most oil and natural gas companies out of the Gulf of Mexico because they would be unable to purchase insurance. This would put thousands of American jobs at risk and reduce the energy supplies we get from the Gulf.

A r... more »

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The Faces of the Moratorium

We've told you about the moratorium and the toll it's taking on the U.S. economy. When combined with congressional legislation, it could result in the loss of 175,000 jobs per year and a 27 percent decline in U.S. oil production.

But have you seen the faces of the people who are most affected?

Legislation that seeks to punish an entire industry for a horrendous accident is counterproductive. And the administration's de facto moratorium on offshore development won't improve operational safety. Instead, the livelihoods of thousands of Gulf Coast families are being destroyed.

There's nothing to be gained by killing jobs. Lift the moratorium now.

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D-Day for Macondo

Today could be D-Day for the Macondo well. According to reports, BP is conducting a test to determine the likely success of killing the well from the top, while getting in position to assault the well from the bottom.

This two-pronged attack is expected to begin tonight or tomorrow with a static kill in which heavy drilling muds are pumped into the Macondo's cap and down into the well.

If the static kill works, the pressure inside the well will fall from 6,980 psi (pounds per square inch) to zero as the mud forces the rising oil and gas back down into the earth. Then engineers hope to force cement through the top of the well to permanently plug it from the top.

To further ensure Macondo's death, the relief well will intercept the wellbore and pump in heavy mud and cement, forcing the oil a... more »

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House Spill Bill = Anti-Jobs, Anti-Consumer, Anti-Energy

The House spill bill that passed today will cost American jobs, slow economic growth and will place our energy security at risk.

This is an anti-jobs, anti-consumer and anti-energy bill. Instead of addressing the risks of offshore development by improving safety and establishing a robust system for covering the costs of possible future accidents, this bill effectively bans development and sends thousands of workers in offshore communities to the unemployment lines.

The unlimited liability provisions will drive the vast majority of American companies out of U.S. waters because they will not be able to obtain insurance coverage. Those remaining will be subject to huge cost hikes, reducing energy production, economic growth, American jobs and government revenues.

While the House recognized th... more »

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