Central Louisiana News

U.S. Senator Bill Cassidy, M.D. (R-LA) has released a statement in response to the successful Lease Sale 261, which received 352 total bids, just one shy of the record high for this five-year plan. Cassidy expressed optimism about the future of energy production in the Gulf, stating, "The strong showing in today’s sale sends a signal that industry is optimistic about the future of energy production in the Gulf."

Cassidy also highlighted the significance of the sale taking place after years of slow-walking by the Biden administration. He emphasized that this should serve as motivation to hold more sales, not fewer. He remarked, "It’s a win that this sale took place after years of slow-walking by the Biden administration. This should be motivation to hold more sales, not fewer."

The oil and gas lease sale for the Gulf of Mexico was held following the direction of the U.S. Court of Appeals for the Fifth Circuit. The Bureau of Ocean Energy Management (BOEM) announced last month that they would include lease blocks that were previously and unlawfully excluded due to stipulations on the Rice's whale. Cassidy had previously led a group of colleagues in introducing the Warding Off Hostile Administrative Lease Efforts (WHALE) Act to prevent restrictions on offshore energy development and military activities related to the Rice's whale.

The Biden administration had entered into a closed-door de facto settlement agreement with several environmental organizations, resulting in the removal of six million acres in the Gulf of Mexico from offshore oil and gas leasing. This agreement also imposed restrictions on oil and gas vessels, hindering exploration and production activities. However, previous analysis by the National Oceanic and Atmospheric Administration (NOAA) questioned the justification for these restrictions based on the protection of the Rice's whale.

Cassidy expressed his concerns about the agreement and filed an amicus brief asserting that it undermined the faithful execution of the laws. He argued that the lease sale was required by the Inflation Reduction Act of 2022. As a result, both the restrictions and the acreage were lifted when the sale was announced.

Cassidy has been consistent in his efforts to urge the Biden administration to follow the law and schedule Lease Sale 261. He criticized the administration's decision to delay the sale twice, originally scheduled for September 27, 2023, and later rescheduled for November 8, 2023. In response to the administration's announcement of the 2024-2029 National Outer Continental Shelf Oil and Gas Leasing Program, which excluded lease sales in certain areas, Cassidy introduced the Offshore Energy Security Act of 2023. This act requires the Department of the Interior (DOI) to hold four offshore oil and gas lease sales, two in 2024 and two in 2025.

Lease Sale 261 represents a significant step forward for the Gulf of Mexico's energy production. The successful sale and the strong industry response demonstrate optimism for the future. Cassidy's efforts to ensure adherence to the law and promote offshore energy development have played a crucial role in this achievement.

To find out more, go to this link: https://www.cassidy.senate.gov/newsroom/press-releases/cassidy-issues-statement-after-successful-oil-gas-lease-sale-261/