Gale Norton News

The U.S. Outer Continental Shelf, according to a Reuters report. However, Interior Secretary Gale Norton said she would uphold a White House promise and not offer any federal leases through 2012 within 100 miles of Florida's coast. The new U.S. areas of the Outer Continental Shelf. tourism industries. the government develops its 2007-2012 leasing plan. five-year leasing program expires on June 30, 2007. Public comments are due by Oct. 11 . four states -- Alaska, Alabama, Louisiana and Texas. federal offshore waters. leases. according to government estimates.

There has been a steady stream of bad news recently in the marine press regarding the health of the oil and gas industry in the Gulf of Mexico. Much of this bad "press" is fueled by boat operators who are trying to do a "Rope-a-dope" on their competitors. That is by "talking the industry down" they are trying to convince competition that "better days" may be years out, hoping they may not be ready when the turnaround comes. All indications are that the industry will indeed drill itself out of the current malaise - sooner than later. And the indicators for such a turnaround are right in front of your face if you know where to look. In general, people who follow intensely the oil and gas industry all agree that a significant rebound is on the way.

The Senate on Thursday backed a White House compromise that drastically reduced proposed oil and natural gas drilling off Florida's Gulf Coast, rejecting a bid by the state's Democratic senators to temporarily block development of the tract. Voting 67-33, the Democratic-led Senate rejected an amendment pushed by Florida Sens. Bill Nelson and Bob Graham to delay for six months oil and gas leasing in a lucrative tract in federal waters off the coasts of Florida and Alabama. After the Republican-led House of Representatives voted last month for a six-month ban on the leasing, President George W. Bush agreed to shrink the tract by 75 percent and keep it at least 100 miles away from Florida's beaches. Florida lawmakers, including Gov.

The Bush administration's plan to open an Alaskan wildlife refuge to oil drilling was approved by the House of Representatives early on Thursday, but it faces a tougher fight in the Senate, which wants U.S. energy policy to focus on conservation. The key issue in the debate over a broad national energy policy is the fate of the Arctic National Wildlife Refuge (ANWR), home to polar bears, caribou and 160 kinds of migratory birds. While green groups and many Democrats view the remote and pristine refuge as an American Serengetti, drilling proponents contend oil and gas could be safely extracted from a tiny area. Republican-led House passed, on a 240 to 189 vote, a comprehensive energy bill that included drilling in ANWR.

Although this has been considered an off year in the Gulf of Mexico from rig count and fleet utilization standpoints, it is another record year for major offshore operators expanding their fleets and the shipyards that are building these vessels. Last year, over 50 supply boats were delivered and about an equal number of crew/supply vessels made their way into the fleets of operators. This year looks equally robust as vessels are being ordered in quantities of four, six and even 10. This begs the question as to why offshore vessel operators are order record number of vessels if the business is sluggish? The answer is two fold: Deep water and deep gas. Drilling activity is bound to increase based on these two factors industry leaders believe.