The Trump administration on Thursday unveiled a five-year plan to hold as many as 34 auctions for oil and gas drilling rights leases in the Gulf of Mexico and in federal waters off the coasts of Alaska and California.
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The Interior Department proposal is aligned with US President Donald Trump’s energy-dominance agenda to supercharge domestic fossil fuel production. It is likely to set off a fresh conflict with California Governor Gavin Newsom, a Democrat who is among the president’s harshest critics.
The plan contemplates 21 sales off the coast of Alaska starting next year, seven in the Gulf of Mexico and six in the Pacific Ocean from northern to southern California.
Oil and gas leases in federal waters accounted for 14 per cent of US oil production and 2 per cent of domestic natural gas production in financial year 2024, according to federal data. Most of that output is from leases in the Gulf of Mexico.
The proposal would replace a schedule set by the administration of former US president Joe Biden that included just three lease sales in the Gulf of Mexico.
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“The Biden administration slammed the brakes on offshore oil and gas leasing and crippled the long-term pipeline of America’s offshore production,” Interior Secretary Doug Burgum said in a statement.
“By moving forward with the development of a robust, forward-thinking leasing plan, we are ensuring that America’s offshore industry stays strong, our workers stay employed and our nation remains energy dominant for decades to come.”