07/01/2009
Duplicative hydraulic fracturing rules could imperil U.S. economy
WASHINGTON – The U.S. economy could suffer a severe blow if federal regulators demand duplicative oversight of hydraulic fracturing, a commonly used well-stimulation and completion technology already regulated by the states, part two of a three-part study by IHS Global Insight has found.
Cathy Landry | 202.682.8122| landryc@api.org
06/30/2009
API statement on EPA-California decision
WASHINGTON - The American Petroleum Institute issued the following statement today on the decision by the Environmental Protection Agency to grant California's request to impose restrictions on greenhouse gas emissions:
“The EPA’s decision to grant California’s request to impose restrictions on greenhouse gas (GHG) emissions should not trigger regulation of GHG emissions under the Clean Air Act. Using the Clean Air Act to regulate GHGs would impose costly requirements for hundreds of thousands of businesses, large and small, as well as schools, offices and buildings across the United States. Since 2000, the oil and natural gas industry has invested $59 billion in technology for zero- and low-carbon research and development, or 44 percent of the combined spending by U.S. companies and the federal government.”
Robert Dodge | 202-682-8127 | dodger@api.org
06/29/2009
Americans acknowledge need for more energy, but underestimate role of oil, natural gas, survey shows
WASHINGTON – A new survey finds that while Americans now recognize the United States will need more energy in the coming years, they continue to underestimate the amount of oil and natural gas that government experts predict will be needed to meet that demand. Conversely, respondents overestimate the role that renewable energy sources will play in meeting future demand, the amount of oil the U.S. imports from the Middle East, and oil and natural gas industry earnings. The third annual “Energy IQ” survey, conducted for the American Petroleum Institute (API) by Harris Interactive®, comes as a new administration and Congress are pursuing energy and climate policies that will determine America’s economic competitiveness for years to come.
Karen Matusic | 202.682.8118| matusick@api.org
06/26/2009
API issues statement on House approval of climate bill
WASHINGTON – The American Petroleum Institute issued the following statement today from President Jack Gerard on House approval of the Waxman-Markey climate change bill:
"In approving the Waxman-Markey climate bill, the House has chosen to ignore the legislation’s harmful effects on American consumers, businesses and the economy. At a time when America is trying to recover from a serious recession, the House has approved legislation that would cost energy users billions of dollars and add new stress to the economy.
"Independent analysis shows the bill could add substantially to the cost of fuels for consumers and businesses. According to the Heritage Foundation, the House legislation could cause gasoline prices to jump 74 percent by 2035. At today’s prices that means gasoline would be well over $4 a gallon. A recent study by CRA International for the National Black Chamber of Commerce also estimates a net loss of over 2 million jobs a year.
"The bill will cost Americans billions of dollars in higher costs, kill jobs and will not deliver the environmental benefits promised. We are hopeful that the Senate will produce a bill that does not harm the economy and includes a more balanced approach to transportation fuels and natural gas."
Robert Dodge | 202-682-8127 | dodger@api.org
6/26/2009
API President Jack Gerard addressing ads recently run by EDF
WASHINGTON - The American Petroleum Institute issued the following statement today by its President Jack Gerard responding to the Environmental Defense Fund’s (EDF’s) attack ads targeting API:
“It’s regrettable EDF wants to engage in the petty politics of personality rather than address what the Waxman-Markey climate bill means to the nation. Independent analysts have said the bill will have huge impacts on American families and businesses. EDF ignores this and simply asserts the bill would be virtually cost-free.
“EDF should address the studies that say Waxman-Markey will eliminate millions of jobs, stress family budgets, slow economic recovery, and, in particular, impose a heavy burden on people and businesses that use gasoline, diesel, and other fuels. It should explain its objections to research that shows the bill could boost gasoline prices anywhere from 23 cents more a gallon to nearly $2 more a gallon - or ten to one hundred times the increase EDF has suggested.
“We need to get this legislation right. Waxman-Markey is being rushed to a vote with insufficient analysis of its impacts on consumers, businesses and the economy and without a full appraisal of other approaches that might address the serious challenge of climate change more efficiently and with less unnecessary harm to America’s workers and consumers. The House needs to take a closer look before it acts.”
Bill Bush | 202-682-8069 | bushw@api.org
6/24/2009
WASHINGTON - The American Petroleum Institute issued the following statement today from President Jack Gerard on President Obama’s remarks on the Waxman-Markey climate bill:
“We share President Obama’s well-intentioned goal of having a comprehensive energy policy that grows the economy, creates jobs, promotes energy security and addresses climate change. But we must take issue with the president’s support for the House climate legislation authored by Reps. Henry Waxman and Edward Markey.
“Independent analysis has shown that the legislation would burden American consumers and businesses with substantially higher energy costs. In fact, when faulty assumptions in the Congressional Budget Office’s analysis of the Waxman-Markey bill are corrected, the annual cost to a household could be as much as $3,300 by 2020 - not the $175 the CBO forecast.
“That is more than a few postage stamps.
“The House bill is a job killer. A recent study by CRA International for the National Black Chamber of Commerce estimates a net loss of over 2 million jobs a year. While we support creating new jobs, the legislation offers an unnecessary and false choice of eliminating good jobs in the oil and natural gas industry to create green jobs.
“We can have both. We need to retain the good jobs we have in the oil and natural gas industry and create new jobs with the technologies described by the president because America will need all the energy it can get to fuel the economy of the future.
“The House should take the time necessary to get this legislation right. It is too important to be pushed by an arbitrary deadline. API stands ready to work with policymakers and other stakeholders on a comprehensive energy policy that would provide increased access to domestic resources, including oil and natural gas, and address climate change.”
Robert Dodge | 202-682-8127 | dodger@api.org
6/24/2009
API statement on CBO calculations for the Waxman-Markey climate bill
WASHINGTON - The American Petroleum Institute issued the following statement today from President Jack Gerard on the most recent costs CBO calculated for the Waxman-Markey climate bill:
“The calculations give new meaning to the term ‘rosy scenario.’
“CBO pegs the annual household cost of Waxman-Markey at $175 per household, yet its own report suggests gasoline could rise 77 cents a gallon. That’s $800 more a year just for gasoline, assuming a family uses 20 gallons a week.
“CBO also claims free emission allowances will offset this. But they go to businesses and government, not consumers. Also, unlike other analyses, including EPA’s, CBO assumes the legislation won’t slow down the economy. Tweak CBO’s assumptions with common sense and the annual bill to households is more like $3,300. And that’s in 2020 before the emissions cap ratchets down and the costs climb thousands more.
“Proponents of Waxman-Markey want you to believe cap-and-trade isn’t going to cost more than taking a few people to Disney World for a day. No amount of econometric sleight-of-hand can make that true.”
Bill Bush | 202-682-8069 | bushw@api.org
6/24/2009
WASHINGTON - The U.S. Bureau of Land Management on June 23 suspended the sale of all 31 oil and natural gas drilling tracts in Utah that had been purchased earlier in the day during a regularly scheduled lease sale, after the bureau accepted last-minute protests about the sale from two environmental groups. BLM has put all the leases on hold to conduct an environmental assessment.
“While we appreciate the need to address all protests to proposed lease sales, the deviation from the set procedures by accepting the late protests does not promote confidence that the Obama administration is committed to an orderly and predictable lease sale process that allows development of energy resources that belong to the American people. This apparent policy of delaying oil and natural gas development – which flies in the face of public sentiment that favors greater access to domestic oil and natural gas resources – serves as a disincentive to companies who are willing to spend billions of dollars in America to hire American workers to produce American fuel for the American consumer.”
Cathy Landry | 202-682-8122 | landryc@api.org
6/23/2009
API opposes Waxman-Markey climate change legislation
The Waxman-Markey climate change legislation will drive up the cost of gasoline and other petroleum fuels for consumers and businesses and should be set aside, API President Jack Gerard said in a letter to Congress today. API opposes the legislation, as it appears time has run out to fix the proposal’s many flaws.
6/18/2009
API Statement on Potential Gas Committee report
WASHINGTON - The American Petroleum Institute issued the following statement on the report released by the Potential Gas Committee, a nonprofit group that provides analyses of US natural gas resources, showing a 35 percent jump in domestic gas estimates. The report estimated the U.S. resource base at 1,836 trillion cubic feet (Tcf) worth of likely and potential resources, the highest in the group's 44-year history and a sharp increase from its previous estimate of 1,321 Tcf.
“The report, which cites shale-gas formations as the major reason for the uptick in resources, underscores the vital role of hydraulic fracturing, a production technology needed to develop shale gas. Without hydraulic fracturing, these crucial American-owned natural gas resources would likely remain in the ground.
Allowing additional access to now-closed federal lands and offshore federal waters could contribute trillions in government revenue, create new jobs for Americans, help to address the global climate challenge and increase U.S. energy security.”
Cathy Landry | 202-682-8122 | landryc@api.org
6/17/2009
API President Jack Gerard comments on Senate ENR passage of energy bill
WASHINGTON - American Petroleum Institute President Jack Gerard issued the following statement on the Senate Energy and Natural Resources Committee’s 15 to 8 vote to approve an energy bill that would open part of the Eastern Gulf of Mexico for additional oil and natural gas leasing and clarify ambiguous language in Section 526 of the Energy Independence and Security Act of 2007, which, as originally written, could have precluded federal agencies from using transportation fuels derived from Canadian oil sands:
“The committee took a positive step forward by passing this bill which recognizes the importance of additional offshore oil and natural gas development and Canadian oil to our nation’s energy and economic security. The majority of Americans favor greater offshore development, and they recognize this development means more jobs, more government revenues and more domestic energy supplies.
As the bill moves forward to the full Senate, we hope a resolution can be found to ensure that coastal states are compensated for hosting development off their shores because that production will benefit all Americans in terms of revenues, additional jobs and greater domestic energy supply.”
Cathy Landry | 202-682-8122 | landryc@api.org
6/17/2009
API, labor sign historic jobs promotion agreement
WASHINGTON - The American Petroleum Institute and 15 labor unions announced today the historic creation of the Oil and Natural Gas Industry Labor-Management Committee, which will work to promote job retention and growth.
6/17/2009
U.S. crude oil production posts fifth monthly increase, API data show
WASHINGTON - Crude oil production in May posted its fifth consecutive monthly year-on-year increase, API data show, as increased offshore Gulf of Mexico production combined with higher output from North Dakota’s Bakken shale to push U.S. output above 5.3 million barrels per day. At the same time. U.S. demand for oil in May slumped by more than four percent to the lowest level for the month in 10 years, according to API’s , as the economic downturn continued to take a toll on freight transportation and air travel. For more information, see also and for March 2009 (latest available).
6/15/2009
API Media Teleconference
API's John Felmy and Ron Planting |
On June 15 in a teleconference with journalists, API Chief Economist John Felmy and API Statistics Manager Ron Planting discussed gasoline market conditions. Felmy told journalists that gasoline prices have increased 61 cents a gallon since April 21 due to the increased cost of crude oil and the beginning of summertime gasoline requirements. Crude oil costs have increased by 64 cents over the same period due to OPEC production restraints and signs of economic improvements. Planting pointed out that U.S. refiners are producing near-record amounts of gasoline and diesel fuel. 6/15/2009
Oil and gas industry leads investments to cut greenhouse gases
WASHINGTON – U.S.-based oil and natural gas companies invested $58.4 billion from 2000 through 2008 in technologies to reduce greenhouse gas emissions, according to a new study by T² and Associates and the Center for Energy Economics at the University of Texas. This was more than was invested by either the federal government or by all other U.S.-based private industries combined. It was 44 percent of the total invested by all U.S.-based private industry and the federal government.
6/11/2009
API Statement on Utah Leases
WASHINGTON - The American Petroleum Institute issued the following statement on the Interior Department’s decision to comprehensively review and possibly reinstate some of the 77 Bureau of Land Management (BLM) - administered Utah leases that had been withdrawn by the Interior Department:
“While we are pleased that the Interior Department has agreed to review whether to re-instate these leases, we are concerned that the report could be used to justify inaction on development of the energy resources that are found on federal public lands in the Mountain West. Oil and gas production from these lands is essential to helping America meet its energy needs in the years and decades to come. Development of these lands also represents an important source of good-paying jobs and government revenues to the region’s economy. In May, hundreds of concerned citizens made the case to Interior Department Assistant Secretary David Hayes that this is particularly the case for rural areas such as the Uintah Basin in northeastern Utah.”
Cathy Landry | 202-682-8122 | landryc@api.org
6/10/2009
API statement on refinery safety
WASHINGTON – The American Petroleum Institute issued the following statement today on the Occupational and Safety Health Administration (OSHA) comments on its refinery National Emphasis Program (NEP) inspections on process safety:
“The protection of our workers, our contractors and our neighbors is a top priority for the oil and natural gas industry. API and its member companies believe it is important for the industry, the government and other stakeholders to work together to improve worker safety. API member companies are committed to complying with the OSHA Process Safety Management regulations and are fully cooperating with OSHA during NEP inspections.
”U.S. refiners have maintained a strong safety record despite a challenging work environment that involves heavy equipment, hazardous materials, high temperatures and high pressure equipment. According to Bureau of Labor Statistics data, a refinery employee is four to five times less likely to be injured on the job than employees in other manufacturing sectors. The injury rate has steadily decreased – including a decline of 16 percent since 1998 for job-related injuries and illnesses. Our industry has a lower injury rate than the broader manufacturing sector in worker safety – about 71 percent less than that of the US manufacturing sector as a whole.
“Refineries strive to eliminate hazards through rigorous process hazards analyses (PHA's) and aggressive closure of action items arising from those analyses. Any incident or near miss is thoroughly investigated and corrective actions are implemented to prevent recurrence. Refiners also take steps to ensure that process equipment is maintained and operated in a safe and reliable manner.
“Process safety management is essential to the protection of employees, contractors and the communities in which API members operate. The industry invests significant resources to train our workforce on safe equipment operation as well as proper inspection and maintenance procedures. API has developed and maintains more than 100 safe operating standards and safe work practices. To continue to improve our efforts on process safety, API is working with labor organizations, academia and other interested stakeholders to develop process safety performance metrics and fatigue risk management standards.”
Karen Matusic | 202.682.8118 | matusick@api.org
6/10/2009
API President Jack Gerard's statement on the introduction of the American Energy Act in the House
WASHINGTON – American Petroleum Institute President Jack Gerard issued the following statement on the introduction of the American Energy Act in the House:
“This bill recognizes that we need more of all sources of energy to meet growing demand. By developing the oil and natural gas resources in federal lands and waters off our coasts that had been off limits, Americans can benefit from nearly $2 trillion in additional revenue, thousands of new jobs and more domestic oil and gas supplies that will strengthen our energy and economic security.
Cathy Landry | 202.682.8122| landryc@api.org
6/10/2009
API statement on resolution recognizing National Pipeline Safety Day
WASHINGTON - The American Petroleum Institute and the Association of Oil Pipe Lines issued the following statement on U.S. Representative Rick Larsen’s resolution to recognize today, June 10 - the tenth anniversary of the 1999 Bellingham pipeline explosion - as National Pipeline Safety Day:
“Recognizing National Pipeline Safety Day is a fitting tribute to the lives lost in Bellingham, Washington, and a reminder of the critical importance of safe pipeline operations to the nation and to pipeline companies. Since the tragic incident, pipeline companies have improved how they operate, monitor, test and maintain pipelines. The improvements have contributed to a reduction in the number of hazardous liquid pipeline releases of about 60 percent. Statistically, pipelines are the safest way to move crude oil and petroleum products that fuel our nation’s economy. The men and women of the U.S. pipeline industry work hard every day toward a goal of zero incidents and zero injuries.
The nation’s pipeline system is a critical asset, whose care and stewardship are jointly shared by the industry, federal and state regulators and the public. We all have a stake in safe pipelines, and we appreciate Rep. Larson’s effort to focus increased attention on this important matter.”
Rebecca Garber | 202-292-4506 | rgarber@aopl.org
Bill Bush | 202-682-8069 | bushw@api.org
6/10/2009
Women of oil, gas industry take their stories to Capitol Hill
WASHINGTON - Women working for America’s oil and natural gas companies in 11 states are on Capitol Hill this week to meet with policymakers and discuss their concerns on major issues affecting their industry. Geologists, petrophysicists, land professionals, refinery workers and others from Louisiana, Illinois, Texas, Arkansas, Alaska and beyond - all active, contributing members of their communities and their states - are using the opportunity to talk about how legislation under consideration would affect them, their communities and all American consumers.
6/9/2009
New study finds sharp drop in production with additional federal hydraulic fracturing regulations
WASHINGTON - U.S. oil and natural gas production would drop significantly if Congress passes legislation to place additional federal regulations on the use of a widely used well-completion technique known as hydraulic fracturing, according to a new study. Jobs could be lost, government revenues would fall and the U.S. would be less energy secure.
6/9/2009
API President Jack Gerard statement on passage of Dorgan amendment
WASHINGTON - American Petroleum Institute President Jack Gerard issued the following statement on 13 to 10 Senate Energy and Natural Resources Committee vote in favor of adopting the opening the Eastern Gulf of Mexico for additional oil and natural gas leasing.
“By allowing greater access to oil and natural gas leasing in promising areas of the Eastern Gulf of Mexico, Senator Dorgan’s amendment stands to help the American people by creating new jobs, adding new energy resources and providing new revenues to federal, state and local governments.
The Dorgan provision provides access to the Destin Dome area, a proven natural gas field, which, because it is located near existing pipelines and plants, could allow supplies to be brought to market in relatively short order.
Destin Dome by itself contains at least 2 trillion cubic feet (Tcf) of natural gas - enough to heat 2 million homes for 15 years - while the potential resources in the entire Eastern Gulf of Mexico are estimated at 3.7 billion barrels of oil and 21.5 Tcf of natural gas.
This amendment represents an important common-sense approach to energy policy, especially with demand for natural gas expected to grow as the nation seeks to meet our growing energy needs while addressing the global climate challenge.
Still, continued discussion is necessary to ensure that coastal states should be given a portion of the revenues associated with the development of oil and gas off their shores because that production will benefit all Americans in terms of revenues, additional jobs and greater domestic energy supply.”
Cathy Landry | 202-682-8122 | landryc@api.org
6/8/2009
Statement from API President Jack Gerard on CBO's Cost Estimate on the American Clean Energy and Security Act of 2009
WASHINGTON – The American Petroleum Institute issued the following statement today from President Jack Gerard regarding the Congressional Budget Office cost estimate on The American Clean Energy and Security Act of 2009:
“The study confirms the bill discriminates against ordinary Americans who depend on cars, trucks, trains and airplanes and will be massively costly. The $846 billion price tag on emission allowances – borne disproportionately by oil consumers – will drive up costs of producing and refining gasoline, diesel and other fuel products while doing nothing to protect fuel consumers, including American families, trucking, the airlines, the construction industry and many other businesses that rely on oil to make or transport products. Based on allowance costs in the study, cost impacts could be as much as 77 cents per gallon for gasoline, 83 cents per gallon for jet fuel, and 88 cents for diesel fuel. This is what happens when market-based regulation is abandoned in favor of picking winners and losers. Putting most of the burden on one sector also helps explain why the legislation promises to be a job killer.”
Bill Bush | 202.682.8069 | bushw@api.org
6/8/2009
Statement by Jack Gerard on Impending Mark-up of Oil and Gas Title of Senate ENR Bill
WASHINGTON – American Petroleum Institute President Jack Gerard issued the following statement on the impending mark-up of the oil and gas title of the Senate Energy and Natural Resources Committee bill:
“While we applaud the Senate Energy and Natural Resources Committee for addressing the serious energy challenges America faces, we urge the panel to ensure that any final bill include provisions to provide real access to domestic oil and natural gas resources, leading to real production to meet the needs of the American consumer and industry.
“Any bill should include the lifting of the remaining moratoria on the Eastern Gulf of Mexico and provide assurance that there will not be policy changes that would slow the progress of the five-year oil and gas leasing plan that covers new areas opened last year that had been off-limits for decades. Developing those areas could result in more than a trillion dollars of new government revenues and the creation of thousands of new jobs, while enhancing our nation’s energy security.
“Coastal states should be given a portion of the revenues associated with the development of oil and gas off their shores because that production will benefit all Americans in terms of revenues, additional jobs and greater domestic energy supply.”
Cathy Landry | 202.682.8122 | landryc@api.org
6/8/2009
API Fact Sheet on the Benefits of Canadian Oil
WASHINGTON - Canadian oil is a reliable and plentiful strategic resource for meeting growing U.S. energy demand and making the United States more energy secure. According to the Department of Energy, Canada is our biggest supplier of imported oil and natural gas.
Size: 79 KB | Date: June 8, 2009 | License: Free
6/4/2009
API President Jack Gerard Statement on Senate Energy and Natural Resources Committee Bill
WASHINGTON – American Petroleum Institute President Jack Gerard issued the following statement on oil and gas title of the Senate Energy and Natural Resources Committee energy bill, released today.
“As Goldman Sachs noted today when it raised its forecast for U.S. benchmark crude oil price by 31 percent for the end of this year, ‘As the financial crisis eases, an energy shortages lies ahead.’
While the Bingaman oil and gas title recognizes the need for increased domestic production by incentivizing construction of a natural gas pipeline, Goldman and other experts have cautioned that more needs to be done to ensure reliability of energy supplies.
This bill does little to provide new access or bring on additional supplies of domestic oil and natural gas, despite the clear desire of the American people for additional development. Opening new areas off America’s coast lines to oil and gas leasing would create new jobs, add new energy resources and provide new revenues to federal, state and local governments. We hope this bill is amended to allow greater development of our domestic oil and gas resources."
Cathy Landry | 202.682.8122 | landryc@api.org
6/4/2009
Media Advisory: API's New EnergyTomorrow Blog
WASHINGTON - The American Petroleum Institute today launched the EnergyTomorrow blog to provide information and engage in a dialogue about energy issues. For reporters and editors, the blog is a resource representing API’s positions and containing links to materials, podcasts and videos that might be useful in developing story ideas. We invite you to visit the blog and submit comments, if desired, at .
Jane Van Ryan | 202.682.8181| vanryanj@api.org
6/4/2009
Final Joint Statement of Oil and Gas Trades to House Subcommittee on Energy and Mineral Resources
WASHINGTON - API and five other trade associations presented the views of the U.S. oil and natural gas industry on shale gas development and related issues in a joint statement submitted to the House Natural Resources Subcommittee on Energy and Natural Resources for its June 4, 2009 shale gas development hearing. The joint statement said that increased shale gas development must be a major component of a comprehensive, multi-pronged approach to meeting U.S. energy challenges.
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6/3/2009
API President Jack Gerard Comments on Monmouth University Coastal State Poll
WASHINGTON – American Petroleum Institute President Jack Gerard issued the following statement on a Monmouth University Mid-Atlantic coastal community survey, which found that 46 percent of coastal residents in New York, New Jersey, Delaware, Maryland and Virginia support oil and natural gas drilling off their coasts, compared with 37 percent who are opposed and 12 percent who have no opinion. Two years ago, coastal resident support for drilling in the Atlantic stood at 33 percent, opposition at 40 percent and no opinion at 24 percent. Moreover, the majority of residents in tourism-rich coastal Maryland (65 percent), Delaware (52 percent), and New Jersey (51 percent) support drilling for oil in the Atlantic Ocean.
“This survey clearly shows that Mid-Atlantic coastal residents understand the importance of oil and natural gas to their economic future. They understand the benefits leasing, exploration and production will mean to their local community, and to America -- in terms of revenues, jobs and energy security. And they recognize that this development is compatible with tourism and can be conducted in an environmentally safe way. The majority of Americans agree. A poll, conducted in February by Harris Interactive and commissioned by the American Petroleum Institute, found that 61 percent of Americans who voted in the 2008 presidential election support access to offshore oil and natural gas resources. Only 26 percent of those polled opposed exploration and development of those resources.”
Cathy Landry | 202.682.8122 | landryc@api.org
5/29/2009
API Jack Gerard's Statement on Draft House Resources Bill
WASHINGTON - American Petroleum Institute President Jack Gerard issued the following statement on the draft House Natural Resources bill, which would among other things, shorten initial onshore lease terms from 10 to five years, raise onshore royalty rates to 18.75 percent, add layers of complex and redundant planning, and impose new fees on nonproducing leases.
“During these tough economic times - when the need for jobs and investment has never been greater - this draft bill poses a major threat to our nation’s energy security, and to the benefits of jobs, revenues and secure energy supplies that investment in America’s oil and natural gas resources can bring. We need more energy. Provisions of this draft bill will not provide us with more energy. Instead, the draft bill will impose hurdles, drive up costs and stifle investments, which will lead to less energy.”
Cathy Landry | 202-682-8122 | landryc@api.org
5/28/2009
API Statement on New Study by Ground Water Protection Council
WASHINGTON – The American Petroleum Institute issued the following statement today regarding the Ground Water Protection Council study on regulation of oil and gas field activities:
“The study confirms what the industry has been saying: that regulation of oil and gas field activities, including hydraulic fracturing, is best accomplished at the state level where regional and local conditions are best understood and where state regulators are on hand to conduct inspections and oversee specific operations like well construction and testing and plugging as well as hydraulic fracturing. Hydraulic fracturing is a tried-and-true, more than 50-year old technology, increasingly essential for producing the nation’s natural gas.”
See the full study: State Oil and Natural Gas Regulations Designed to Protect Water Resources
For additional information, see:
Bill Bush | 202.682.8069 | bushw@api.org
5/21/2009
API Statement on House Energy and Commerce Approval of Waxman-Markey Bill
WASHINGTON – The American Petroleum Institute issued the following statement today from President Jack Gerard on approval by the House Energy and Commerce Committee of the Waxman-Markey cap-and-trade proposal:
“While the bill has laudable environmental and economic goals, its inequitable system of allocations remains intact and if enacted would have a disproportionate adverse impact on consumers, businesses and producers of gasoline, diesel fuel, jet fuel, crude oil and natural gas.
“There is time to get this right. As the bill moves to the full House, we ask lawmakers to look at all the consequences of the bill, consider the implications on ordinary Americans at a time of economic hardship and come up with an equitable plan that will address global climate change and improve, not weaken, our nation’s energy and economic security.
As a recent independent analysis shows, this inequitable approach, by itself, will produce additional unemployment, driving annual job destruction totals related to the legislation to more than one million. Another independent study projects job losses more than double this – up to 2.7 million net jobs lost annually, even with new green jobs created. According to one of these reports, an average family will pay an additional $1,500 a year for energy and 74 percent more for gasoline. Today, that would mean gasoline prices above $4.00 a gallon, an increase nearly equivalent to a ten-fold rise in the federal gasoline tax.”
Robert Dodge | 202.682.8127 | dodger@api.org
5/18/2009
API President Jack Gerard Statement on CERA Canadian Oil Sands Report
WASHINGTON – American Petroleum Institute President Jack Gerard issued the following statement on Cambridge Energy Research Associates (CERA)’s new report Growth in Canadian Oil Sands: Finding a New Balance. The report found that the environmental concerns about Canadian oil sands may be overstated, and that the “well to wheels” greenhouse gas emissions from oil sands are comparable with other sources of crude oil. It also notes that up to 37 percent of U.S. oil imports could come from crude derived from Canadian oil sands by 2035, and that technological advances in the Canadian oil sands has allowed Canada to become the world’s second largest holder of recoverable oil reserves, behind only Saudi Arabia.
“This report clearly shows the importance of crude oil derived from Canadian oil sands to America’s energy future. Oil will continue to be a major part of the nation’s energy equation for years to come. Canada already is our top supplier of imported oil. If oil sands development is maximized, we could potentially double the amount of oil we currently import from Canada - a friendly, reliable neighbor – thereby increasing the nation’s energy security. On a life cycle (or well to wheels) basis, oil derived from Canadian oil sands is comparable with other crudes refined in the United States. We believe that greater care in management of emissions from crude derived from oil sands would occur in the United States than if the oil is processed in other regions of the world that have less stringent environmental standards - not to mention the environmental costs of transporting the crude elsewhere.”
Cathy Landry | 202-682-8122 | landryc@api.org
5/15/2009
API Statement on Waxman-Markey Bill
WASHINGTON, May 15 - The American Petroleum Institute issued the following statement today from President Jack Gerard regarding the Waxman-Markey cap-and-trade proposal:
“The House Energy and Commerce Committee has devoted significant effort to advance an ambitious plan to address the challenge of climate change. Unfortunately, while the proposal is meant to solve a serious environmental challenge and spur growth in our weak economy, its inequitable system of allocations will have a disproportionate adverse impact on consumers and producers of gasoline, diesel fuel, jet fuel, crude oil and natural gas. Those who drive, fly or take the bus or train to work will shoulder a disproportionate burden and this must be rectified. Emission allowances will be distributed inequitably, ultimately imposing greater costs on consumers and producers of oil and gas. According to independent studies, domestic production will decline, increasing reliance on imports. Experts predict the loss of U.S. jobs, including some of the six million related to oil and gas along with many others. While the bill’s goals are admirable, the inequitable allocations would harm America’s economy and diminish our energy security. There is time to get this right. We need to look at all the consequences of the bill, consider the implications on ordinary Americans at a time of economic hardship and come up with an equitable plan that will address global climate change and improve, not weaken, our nation’s energy and economic security. We look forward to seeing further details of the legislation."
Bill Bush | 202-682-8069 | bushw@api.org
5/13/2009
Economy continues to depress deliveries, API report shows
WASHINGTON - Total U.S. petroleum deliveries (a measure of demand) fell 3.6 percent in April from a year ago, reflecting continuing weakness in the economy, according to API’s . While gasoline deliveries increased slightly in April against a year ago, all other product deliveries fell, led by a sharp drop in distillate deliveries. Total product deliveries for the period January-April were the lowest since 1998. For more information, see also and for February 2009 (latest available).
5/12/2009
API seeks rehearing of Appeal's Court Five-Year Plan decision
WASHINGTON - American Petroleum Institute President Jack Gerard issued the following statement on API’s decision to seek rehearing of a U.S. Appellate Court panel’s decision remanding and vacating the Department of Interior’s 2007-2012 Five-Year Outer Continental Shelf leasing plan. API on May 12 asked the court to change the remedy from “vacate and remand” to “remand.” The Interior Department has sought similar relief from the court.
“The court’s decision should not stand as an impediment to continued production of oil and natural gas from leases already issued in the Outer Continental Shelf and to leasing in the future under the Five-Year Program. Offshore oil and gas leasing under the program is responsible for thousands of well-paying American jobs, over $10 billion in much-needed revenue for federal, state and local governments. The nation’s energy security depends upon these resources.”
See
Size: 4.5 MB| Date: May 12, 2009 | License: Free
Cathy Landry | 202-682-8122 | landryc@api.org
5/11/09
API statement on administration's proposed taxes on industry
WASHINGTON - The American Petroleum Institute issued the following statement today from President Jack Gerard regarding taxes on oil and natural gas companies in the administration’s budget proposal:
“The new taxes are anti-jobs, anti-consumer, and anti-energy. They will depress investment in new domestic oil and gas projects, weakening the nation’s energy security. Six million American workers depend on the oil and natural gas industry for their jobs. Raising taxes in a time of economic decline is a recipe for disaster. Historically, new taxes hurt businesses, threaten jobs, and lead to higher prices for consumers. Higher energy taxes that reduce production and increase costs take money from every American household. We need to get the nation on the road to economic recovery. New taxes on domestic energy production make that task substantially harder.”
Bill Bush | 202.682.8069 | bushw@api.org
5/7/2009
API President Jack Gerard comments on Interior 4(d) decision
WASHINGTON - American Petroleum Institute President Jack Gerard issued the following statement on the decision by the Obama administration to uphold the Section 4(d) rule for protecting the polar bear under the Endangered Species Act (ESA).
“We welcome the administration’s decision because we, like Secretary Ken Salazar, recognize that the Endangered Species Act is not the proper mechanism for controlling our nation’s carbon emissions. Instead, we need a comprehensive, integrated energy and climate strategy to address this complex, global challenge. This decision serves to protect the polar bear while providing greater regulatory certainty not only to the oil and natural gas industry but also to all U.S. manufacturers."
Cathy Landry | 202-682-8122 | landryc@api.org
5/5/2009
API President Jack Gerard's Statement on Murphy-Abercrombie Energy Bill
WASHINGTON - American Petroleum Institute President Jack Gerard today issued the following statement on the American Conservation and Clean Energy Independence bill, introduced today by Reps. Tim Murphy (R-Penn) and Neil Abercrombie (D-Hawaii) and others. Among other things, the bill includes provisions to expand access to previously off-limits offshore areas:
“This bipartisan bill recognizes the importance of increased access to offshore oil and natural gas resources not only to our nation’s economy - in terms of generating federal, state and local revenues and new well-paying jobs—but also to America’s energy security.
America’s oil and natural gas industry is the backbone of the economy. Development in federal waters off the nation’s coasts provides thousands of jobs, government revenues and the fuel needed to run America’s cars and factories, heat our homes and the feedstock needed to make the materials we use every day. Expanding access would mean more revenues, more jobs and greater energy security.
This legislation is a step in the right direction. We look forward to working with Congress to further refine some of the provisions and move forward with policy that will tackle our nation’s critical energy challenges.”
Cathy Landry | 202-682-8122 | landryc@api.org
4/28/2009
API President Jack Gerard comments on Florida House vote on offshore development
WASHINGTON - American Petroleum Institute President Jack Gerard today issued the following statement on the Florida House’s overwhelming passage of a bill to authorize oil and natural gas development in Florida state waters:
“Florida’s House of Representatives - like the majority of Americans - recognizes that domestic oil and natural gas development is necessary to preserve and create jobs, generate revenues for cash-strapped state and local governments and bolster America’s energy security. It also recognizes the nation’s oil and gas industry uses state-of-the art technology and strict operating practices to ensure that any development would be done in a way that protects both the environment and state’s vital tourism industry. We hope that the state’s Governor and its Senate can see the wisdom in the House proposal, and re-open the door to offshore oil and gas development that would benefit not only Florida but the entire nation.”
Cathy Landry | 202-682-8122 | landryc@api.org
4/22/2009
Portland Pipe Line and Alyeska Win API Safety and Environmental Performance Distinguished Awards
WASHINGTON, April 22, 2009 - API awarded its 2008 Distinguished Award for Outstanding Safety and Environmental Performance to Alyeska Pipeline Service Company in the large pipeline operator category and to Portland Pipe Line Corporation in the small pipeline operator category. Deborah Fretz, President and CEO of Sunoco Logistics Partners, presented the awards at API’s 60th annual Pipeline Conference in Fort Worth, Texas.
4/17/2009
API statement on federal appeals’ court decision on five-year lease plan
WASHINGTON - The American Petroleum Institute issued the following statement:
"The American Petroleum Institute is reviewing the implications of the federal appeal court’s decision vacating and remanding the 2007-2012 five-year leasing program.
It would be a disservice to all Americans - and a devastating blow to the economy - if this decision were to delay further the development of vital oil and natural gas resources.
America’s oil and natural gas industry is the backbone of the economy. Development in federal waters off the nation’s coast provides thousands of well-paying jobs, government revenues and the fuel needed to run America’s cars and factories, heat our homes and the feedstock needed to make the materials we use every day."
Cathy Landry | 202-682-8122 | landryc@api.org
4/17/2009
Proposed endangerment finding troubling - API
WASHINGTON - The American Petroleum Institute issued the following statement today from President Jack Gerard regarding the U.S. Environmental Protection Agency’s proposed endangerment finding for greenhouse gases:
“The proposed endangerment finding poses an endangerment to the American economy and to every American family. It could lead to greenhouse gas regulations under a law fundamentally ill-suited to addressing the challenge of global climate change. The regulations could impose complex, costly requirements on restaurants, colleges, schools, shopping malls, bakeries and many other businesses and institutions. The Clean Air Act was created to address local and regional air pollution, not the emission of carbon dioxide and other global greenhouse gases."
Bill Bush | 202-682-8069 | bushw@api.org
4/16/2009
API's Doug Morris testifies at San Francisco meeting on MMS Five-Year Plan for offshore leasing
The U.S. Interior Department’s Minerals Management Service is holding a series of four public meetings to discuss the agency’s proposed five-year plan for oil and natural gas leasing in federal waters. American Petroleum Institute Group Director of Upstream and Industry Operations Doug Morris spoke at the fourth meeting, held in San Francisco, California, on April 16, 2009.
(as prepared for delivery)
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4/16/2009
U.S. first-quarter oil demand slumps to lowest level since 1998 – API
WASHINGTON – U.S. demand for oil slumped by more than three percent during the first three months of the year to the lowest level for the first quarter period in more than a decade, API data shows, reflecting a drop in economic activity because of the recession. U.S. demand for distillate fuel oil (measured as deliveries), including diesel and heating oil, fell by 8.5 percent from the same quarter a year ago while jet fuel demand dropped by 7.6 percent, according to API’s . At a time of relatively low pump prices, gasoline demand mustered a modest year-on-year increase of 0.8 percent. For more information, see also and for January 2009 (latest available).
4/15/2009
First-quarter 2009 U.S. drilling activity dips to 2004 levels - API
WASHINGTON - First-quarter U.S. oil and natural gas drilling activity dipped to levels not seen since 2004, marking the end of six consecutive years of first-quarter growth, new estimates from the American Petroleum Institute show. According to API’s 2009 Quarterly Well Completion Report: First Quarter, an estimated 11,071 oil wells, natural gas wells and dry holes were completed in the first quarter of 2009, down 22 percent from 2008’s first quarter and down 35 percent from 2008’s fourth quarter.
4/14/2009
API's Doug Morris testifies at Anchorage meeting on MMS Five-Year Plan for offshore leasing
The U.S. Interior Department’s Minerals Management Service is holding a series of four public meetings to discuss the agency’s proposed five-year plan for oil and natural gas leasing in federal waters. American Petroleum Institute Group Director of Upstream and Industry Operations Doug Morris spoke at the third meeting, held in Anchorage, Alaska, on April 14, 2009.
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4/8/2009
API's Sara Banaszak testifies at New Orleans meeting on MMS Five-Year Plan for offshore leasing
The U.S. Interior Department’s Minerals Management Service is holding a series of four public meetings to discuss the agency’s proposed five-year plan for oil and natural gas leasing in federal waters. American Petroleum Institute Senior Economist Sara Banaszak spoke at the second meeting, held in New Orleans, Mississippi, on April 8, 2009.
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4/6/2009
API's Tim Sampson testifies at Atlantic City meeting on MMS Five-Year Plan for offshore leasing
The U.S. Interior Department’s Minerals Management Service is holding a series of four public meetings to discuss the agency’s proposed five-year plan for oil and natural gas leasing in federal waters. American Petroleum Institute Manager of Exploration and Production Tim Sampson spoke at the first meeting, held in Atlantic City, New Jersey, on April 6, 2009.
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4/3/2009
API President Jack Gerard's Letter to Congress on meeting America's energy needs and restoring economic health
In a letter to Congress, API president and CEO Jack Gerard stresses that, if we are to get America back on the road to economic recovery, it is vital that we meet the energy needs of U.S. consumers today and in the future.
Size: 102 KB | Date: April 3, 2009 | License: Free
4/2/2009
API statement on USGS increasing by 53 percent the resource estimate for Piceance Basin oil shale
WASHINGTON – The American Petroleum Institute today issued the following statement on the U.S. Geological Survey increasing by 53 percent the resource estimate for Piceance Basin oil shale:
“This new assessment increases USGS’ previous resource estimates of Piceance Basin oil shale by more than 50 percent, to over 1.5 trillion barrels. We agree with Secretary Salazar that the new resource estimates demonstrate the need for continued research and development efforts in order to produce this vast resource. That is why we were disappointed that the Interior Department recently delayed issuing a second round of oil shale research and development leases. Developing more of our nation’s oil and natural gas would generate much-needed revenues for federal, state and local governments, spur new job growth and increase America’s energy security. “
Cathy Landry | 202-682-8122 | landryc@api.org
4/1/2009
API Statement on the Senate Environment and Public Works Clean Air and Nuclear Safety Subcommittee’s Hearing on Oversight – the Environmental Protection Agency’s Renewable Fuel Standard
API, a nationwide trade association representing all aspects of America‟s oil and natural gas industry, supports a realistic and workable renewable fuels standard (RFS). Our industry is the nation's largest user of ethanol and is increasing the volume of renewable fuels in America‟s transportation fuel portfolio.
Karen Matusic | 202-682-8118 | matusick@api.org
3/18/2009
Cap and trade cost shocking - API
WASHINGTON – API released the following statement today in response to a news report citing an estimate from an Obama Administration official for much higher cap-and-trade costs:
“The White House’s unofficial new estimate for the cost of capping the nation’s greenhouse gas emissions is shocking. The nearly $2 trillion in fees that would be imposed on the use of natural gas, gasoline, coal and other fuels would increase energy costs for all America’s businesses and families, keeping our economy in low gear, eliminating jobs, depressing living standards and putting our domestic energy industries at a competitive disadvantage. The massive fees could also increase reliance on foreign energy. The American people and lawmakers deserve to know the full costs of all serious options for addressing climate change before any new policy is enacted.”
Bill Bush | 202-682-8069 | bushw@api.org
3/18/2009
API President Jack Gerard's Statement on Central Gulf of Mexico Lease Sale
WASHINGTON – American Petroleum Institute President Jack Gerard today issued the following statement on Central Gulf of Mexico Lease Sale 208, held in New Orleans, that received $703 million in high bids:
“The results of Lease Sale 208 underscore that, like most U.S. industries, the domestic oil and natural gas sector faces tough economic challenges, not only with the economy reeling but with oil prices half of what they were a year ago. The Obama administration’s plans to add billions of dollars in new taxes would have a devastating impact on an industry that supports six millions jobs and contributes billions of dollars to government revenue. These new taxes are ultimately anti-consumer, threatening millions of jobs, the nation’s economic recovery and energy security."
Cathy Landry | 202-682-8122 | landryc@api.org
3/18/2009
U.S. petroleum demand shrinks to lowest level since 2003 – API
WASHINGTON – While U.S. gasoline demand (measured as deliveries) ticked up 2 percent for February, perhaps in response to lower prices, February diesel demand plunged 12 percent and jet fuel demand dropped 6.6 percent from a year ago, reflecting the faltering economy, according to API’s . Overall, total oil-product demand fell 3 percent from a year ago, marking the lowest demand for a February since 1999. With demand off, refinery inputs fell – by 2.9 percent from a year ago – to their lowest February level since 2002. Even so, industry gasoline production averaged over 8.8 million barrels per day, the highest ever for February, and distillate production reached an all-time February high of 4.25 million barrels per day. Refinery production of both jet fuel and residual fuel oil dropped from a year ago. For more information, see also and Monthly Import Statistics for December 2008 (latest available).
3/11/2009
API Statement on Interior Department's Establishment of Renewable Energy Zones
WASHINGTON – American Petroleum Institute issued the following statement by President Jack Gerard today regarding the Department of Interior’s decision to establish renewable energy zones:
“We agree with Secretary Salazar that our country needs to tap its plentiful domestic energy resources, including oil and natural gas. The oil and natural gas industry is one of the world’s largest producers of renewable energy, including wind, geothermal and solar and have invested more in emerging energy technologies than the U.S. federal government and private sector combined. We are encouraged by Secretary Salazar’s pledge that his department would facilitate ‘“a rapid and responsible move to large-scale production’ of alternative energy and we call on the department to apply this streamlined approach to the permitting process of the most important domestic energy source, oil and natural gas.”
Karen Matusic | 202-682-8118 | matusick@api.org
3/11/2009
API Statement Regarding Interior Department's Announcement on Outer Continental Shelf Hearings
WASHINGTON – American Petroleum Institute issued the following statement by President Jack Gerard today regarding the Department of Interior’s decision to host four regional public meetings in April to present Interior’s findings on Outer Continental Shelf (OCS) energy resources and potential environmental impacts from their development:
“We look forward to seeing the Department’s report because it will show that America has vast untapped offshore oil and natural gas resources that could be produced safely to put this country’s economy back on its feet and create more jobs. As Secretary Salazar and Secretary Chu have said, oil and natural gas development is a vital component of a comprehensive energy plan. We need to be mindful in this tough economic environment that a counterproductive proposal for massive new taxes would discourage the development of new oil and gas supplies, resulting in lost U.S. jobs and higher energy costs for Americans. As every respected projection shows, oil and natural gas will continue to meet most of the nation’s energy requirements for many years. We need policies that recognize that.”
Karen Matusic | 202-682-8118 | matusick@api.org
2/26/2009
API President Jack Gerard's Statement on Tax Provisions in Budget
WASHINGTON – American Petroleum Institute President Jack Gerard today issued the following statement on provisions included in the FY 2010 budget submitted to Congress aimed at imposing new taxes on the oil and natural gas industry:
“With America in the midst of an economic recession, now is not the time to impose new taxes on the nation’s oil and natural gas industry. New taxes could mean fewer American jobs and less revenue at a time when we desperately need both. More taxes also could reduce our nation’s energy security by discouraging new investment in domestic oil and natural gas production and refining capacity and pushing those investments – and American jobs – abroad.”
Cathy Landry | 202-682-8122 | landryc@api.org
2/25/2009
API chairman: Expanded access yields jobs, revenue
WASHINGTON – Larry Nichols, chairman of the American Petroleum Institute, told the U.S. House Natural Resources Committee that allowing development in areas of the Outer Continental Shelf that had been off-limits for 27 years would generate much-needed revenues to federal, state and local governments and add well-paying American jobs.
2/25/2009
API President Jack Gerard's Statement on Virginia Lease Sale
WASHINGTON – American Petroleum Institute President Jack Gerard today issued the following statement on Virginia Governor Tim Kaine’s letter asking Interior Secretary Ken Salazar to postpone a proposed lease sale scheduled for 2011 offshore Virginia:
“A pattern seems to be emerging when it comes to developing America’s offshore resources – delay. We saw it earlier this month when Secretary Salazar extended by six months the comment period on the upcoming five-year plan for oil and natural gas development, and we’re seeing it now from Governor Kaine, who is asking for a postponement of an offshore Virginia lease sale, scheduled two years ago after extensive public comment and environmental review.
We cannot afford to delay. Our nation must deal now with its critical energy challenges. Every day we delay is another day that we are depriving Americans of the jobs that can be generated through development. It is another day that federal, state and local governments go without the enormous revenues oil and natural gas exploration generates. And it is another day that we sit around watching our energy security erode.
Americans support expanded development of our domestic resources. Even as oil and gasoline prices have plummeted in recent months, 61 percent say they want to see development of our resources in off-limits federal waters. A full 70 percent of Virginians in a July poll supported increased offshore development. It is time to start listening to the wisdom of the American people and stop putting off until tomorrow what we should be doing today.”
Cathy Landry | 202-682-8122 | landryc@api.org
2/24/2009
Statement from API President Jack Gerard
WASHINGTON – The American Petroleum Institute issued the following statement today from President Jack Gerard on President Obama’s speech:
"President Obama’s speech tonight elevates energy as a critical national priority and signals to the American people the importance of developing a comprehensive energy policy. That policy should include all forms of energy, including oil and natural gas.
America needs all the energy it can get to fuel a recovery and create jobs. While alternatives, efficiency and conservation will play an important role in the future, oil and natural gas are needed now and will be needed for decades as a bridge to fuel America’s economy.
The American people should not be deprived access to the nation’s onshore and offshore oil and natural gas resources, including those in federal waters on the Outer Continental Shelf off the Atlantic, Pacific and in the Gulf of Mexico. The oil and natural gas industry is ready to safely develop those resources and create jobs, spur economic growth, reduce our dependence on foreign oil and generate new tax revenues for federal, state and local governments."
Robert Dodge | 202-682-8127 | dodger@api.org
2/23/2009
Energy policy must plan for oil and natural gas - API
WASHINGTON – The American Petroleum Institute issued the following statement from its President Jack Gerard regarding the energy summit held in Washington, D.C. today, hosted by Senator Harry Reid and the Center for American Progress Action Fund:
“Energy policy must recognize we need more oil and natural gas along with more alternatives and increased energy efficiency. According to projections, oil and gas will be the principal driver of our economy for decades. They’ll fuel most infrastructure projects, heat most homes, and power most vehicles.
The need to develop more oil and gas is a central reality of our energy future. Much of these resources can be developed here at home, generating large numbers of U.S. jobs and trillions of dollars in government revenue.”
Bill Bush | 202-682-8069 | bushw@api.org
2/23/2009
Poll: Voters support offshore development
WASHINGTON - Most American voters support increasing access to domestic offshore oil and natural gas resources and would oppose any new laws or regulations that blocked development of those national resources, according to a poll released today.
2/18/2009
U.S. oil demand continues slowdown in January – API
WASHINGTON –Total U.S. refined oil product demand continued to fall in January though the month’s 3.1 percent year-on-year decline was more moderate than 2008’s six-percent annual fall, according to API’s . While overall oil demand, as measured as domestic deliveries, was down in January to 19.5 million barrels per day, U.S. gasoline demand registered its first monthly year-on-year increase in more than 12 months. U.S. gasoline demand grew 1.7 percent over year-ago levels, the API data show. For more information, see also and for November 2008 (latest available).
2/11/2009
API Statement on Testimony of Ted Danson on Offshore Development, Jobs and the Environment Before the House Natural Resources Committee
WASHINGTON - Renewable energy sources will be a growing part of America’s energy future. But it is wrong to suggest that re-imposing the federal moratoria on offshore exploration and development is a step toward that goal. In fact, oil and natural gas stand as the logical bridge to that future, and even with a significant increase in the use of alternatives, are expected to be dominant fuel sources in 2030 and beyond. Americans have clearly said in public opinion polls that they want to develop their energy resources and reduce our nation’s dependence on imported oil.
2/10/2009
Interior Secretary Ken Salazar’s stalls domestic offshore development
WASHINGTON – American Petroleum Institute President Jack Gerard today issued the following statement on Interior Secretary Ken Salazar’s announcement that he would extend the Outer Continental Shelf Five-Year Plan comment period by 180 days:
“Congress made the American people wait nearly 30 years to address our immediate energy challenges. Secretary Salazar today told the American people they must continue to wait – even though more than two-thirds of them want to tap our vast domestic resources for the benefit of all Americans.
The accelerated Outer Continental Shelf five-year plan process, which the secretary placed on hold today, was designed to address the critical energy concerns facing Americans. The draft plan already received a record 120,000 comments from states, environmental groups, industry, labor groups and members of the public – with 87,000 of those comments supporting expanded and expeditious development.
Secretary Salazar’s announcement means that development of our offshore resources could be stalled indefinitely. That would delay Americans’ access to nearly 160,000 new, well-paying jobs, $1.7 trillion in revenues to federal, state and local governments and greater energy security.
We share Secretary Salazar’s view that America needs a comprehensive energy policy that includes alternatives. In these tough economic times, Salazar’s delay does a disservice to all Americans. We should be moving as quickly as possible to develop more of our own oil and natural gas to benefit all Americans.”
For more information, see about expanded offshore development and the stalled Outer Continental Shelf Five-Year Plan.
Cathy Landry | 202-682-8122| landryc@api.org
2/9/2009
Letter from trade associations to U.S. Representative Nick J. Rahall II, Chairman of the Committee on Natural Resources highlight benefits of increased access to the U.S. Outer Continental Shelf (OCS).
2/4/2009
Interior Utah leasing decision troubling - API
WASHINGTON – The American Petroleum Institute issued the following statement today from its President Jack Gerard regarding the Department of Interior’s decision to cancel leases on 77 parcels of land in Utah:
“We hope today’s decision does not signal the administration is returning to the failed policies of the past, leaving much of America’s vast energy resources locked up while the nation’s demand for energy continues to grow.
The decision runs counter to President Barack Obama’s stated goal of reducing U.S. reliance on foreign energy sources and is at odds with the judgment of most Americans that the nation should develop more of its own oil and natural gas. With U.S. domestic oil production declining, we need to develop more and keep more jobs and economic activity in this country. Development would be good for consumers and for the nation’s energy security. With current technology and industry practices, our companies are able to develop vital energy resources while protecting the environment. The leases in question involve non-park, non-wilderness lands.”
Bill Bush | 202-682-8069 | bushw@api.org
2/3/2009
API's statement on Senator Boxer's climate change proposal
WASHINGTON – The American Petroleum Institute issued the following statement today from its president Jack Gerard:
“Today, Senator Boxer put forward her thinking on the importance of addressing the risk of climate change. The oil and natural gas industry is ready to participate in the discussion and is already contributing to the national effort to reduce greenhouse gas emissions. Since 2000, it has invested $42 billion into zero- and low-carbon research and development, accounting for 45 percent of all spending by U.S. companies and the federal government combined. API members are major players in solar energy, wind power, geothermal energy, biofuels, advanced batteries and carbon capture and sequestration.
We believe Senator Boxer’s and all other climate change proposals should be openly discussed and analyzed in order to arrive at the most transparent and cost-effective solution to global climate change. We also believe that cost-efficiency and success in controlling emissions will best be achieved through a uniform national policy. A patchwork of state and local regulations or the use of the Clean Air Act could hamper efforts to reduce emissions and slow economic growth.”
Bill Bush | 202-682-8069 | bushw@api.org
2/3/2009
Study: Windfall Profits Tax Could Harm Economy, Jobs
WASHINGTON - The imposition of new taxes on the oil and natural gas industry likely could kill hundreds of thousands of jobs, slow economic growth and make Americans more dependent on foreign sources of energy, according to a study released today.
1/26/2009
API Statement on President Obama’s Energy Announcement
WASHINGTON – The American Petroleum Institute today issued the following statement:
"API supports President Obama’s desire to fortify the nation’s energy security with a comprehensive energy policy. The oil and natural gas industry, which supports 6 million workers, stands ready to advance those national goals and we urge policymakers to proceed with plans to extend new leases on non-park federal lands and waters to develop energy resources that belong to the American people.
However, the President’s directive to the Environmental Protection Agency to reconsider its denial of California’s request for a waiver that stopped California and 13 other states from implementing their own limits on auto emissions is not the way to go on reducing greenhouse gas emissions. Creating a patchwork regulatory structure across multiple states would most likely impose higher costs on consumers, slow economic growth and kill U.S. jobs. The oil and natural gas industry already is doing its part: Since 2000, it has invested $42 billion into zero- and low-carbon research and development – that’s 45% of all spending by U.S. companies and the federal government, combined.
Climate change is a global issue that affects all nations, and API supports an open, fact-based public debate to create a federal policy on reducing greenhouse gas emissions."
Robert Dodge | 202-682-8127 | dodger@api.org
1/16/2009
API President Jack Gerard comments on MMS five-year plan
WASHINGTON – American Petroleum Institute President and CEO Jack Gerard today issued the following statement on the new Interior Department five-year oil and natural gas leasing plan, which proposes lease sales in recently opened areas off the Atlantic, Pacific and Eastern Gulf of Mexico Outer Continental Shelf:
“American consumers have been demanding access to the oil and natural gas located off our coasts and the draft proposed five-year plan, with its inclusion of areas that had been off-limits for more than 20 years, is a good step in the right direction. Developing our domestic resources is crucial to getting our nation’s economy back on its feet and getting more Americans back to work in well-paying jobs. A recent study showed that developing the oil and natural gas resources that had been off-limits for decades could bring in nearly two trillion dollars in revenue to federal, state and local governments, which could be used to fund schools, hospitals and other critical services. The study also showed that 160,000 new jobs could be created by 2030 if these resources were developed.
America’s oil and natural gas companies have proven they can develop resources in an environmentally safe way. It is imperative Congress and the Obama administration allow this plan to move forward so our industry can do what it does best – supply the energy America needs.”
Cathy Landry | 202-682-8122 | landryc@api.org
1/15/2009
API: Industry Contributes to Climate Change Debate
WASHINGTON – The U.S. Climate Action Partnership proposal is an example of how the oil and natural gas industry is contributing to a public debate to address the risks of global climate change.
1/15/2009
U.S. petroleum demand shrinks to lowest level since 2003 – API
WASHINGTON – Total U.S. petroleum demand shrank to its lowest levels since 2003 due to the combined effects of higher prices early in the year and a weakening economy as the year progressed, according to API’s , which reflects data from December as well as full-year 2008. For more information, see also and for October 2008 (latest available).
1/13/2009
API President Jack Gerard issues statement regarding the Anadarko court decision
WASHINGTON – American Petroleum Institute President and CEO Jack Gerard today issued the following statement in the wake of a federal appeals court’s decision finding for Anadarko Petroleum in a case regarding royalty collection:
“The Fifth Circuit panel has unanimously affirmed that Congress, when it passed the Deepwater Royalty Relief Act, provided royalty relief, based only on a volume limitation, not price. That Act was passed at a time of historically low crude oil prices as a means to increase production and sustain jobs in a struggling industry. It was enormously successful, helping to boost deepwater Gulf of Mexico production by 50 percent in less than a decade. This production, which Congress considered would likely remain in the ground for years without the royalty relief program, helps reduce our dependence on foreign oil and keep jobs at home.
The Deepwater Royalty Relief Act is an example of constructive policy that encouraged the development of our own domestic resources and achieved the desired results by creating jobs, generating government revenues and enhancing America’s energy security. Going forward, we trust Congress will continue to pursue constructive energy policies that benefit the American people, while resisting the urge to take steps that attempt to change the rules of the game midstream and that discourage investment. The oil and natural gas industry remains highly cyclical, as demonstrated by the huge swings in prices over the past 12-15 years. Congress and the administration need to take a comprehensive, long-term approach to meeting America’s critical need for reliable, domestic energy supplies.”
Cathy Landry | 202-682-8122 | landryc@api.org
1/13/2009
U.S. drilling activity jumps 19% in fourth quarter, 15% for year – API
WASHINGTON – Drilling activity in the U.S. exploration and production industry continued on a steady climb at twice the level of activity in the 1990s, according to API’s fourth quarter 2008 drilling estimates. According to API’s 2008 Quarterly Well Completion Report: Fourth Quarter, an estimated 16,451 oil wells, natural gas wells and dry holes were completed in the fourth quarter of 2008, up 19 percent from 2007’s fourth quarter.
1/5/2009
2007 drilling expenditures hit new all-time high at over $220 billion
WASHINGTON—Oil and natural gas industry spending on drilling and equipping wells in the United States surged again in 2007, hitting an all-time record high of $226.4 billion, more than double the previous record of $109.8 billion set in 2006.
For previous news items, please see Archive
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