The Congressional Budget Office (CBO), using information provided by the Department of the Interior, estimates lifting the ban on drilling for oil in certain areas could increase U.S. oil reserves by 30 percent. A current proposal to lift certain restrictions on oil and gas drilling on federal land will create a windfall for the U.S. treasury and tap into vast hydrocarbon reserves.
In this space, several months ago, it was reported oil and gas drilling declined in two areas. The current administration has a five-year plan that closes virtually all of the Outer Continental Shelf (OCS) area until 2017 (except mainly the central and western Gulf and northern Alaska). Further, oil and gas production on federal lands has also been restricted, declining by about 11 percent in 2011 and declining almost as much this year. Continue reading “Opening Federal Areas to Oil Production Found Economically Viable”