AP P ENDIX
Advisory Subcommittee on Offshore Energy Exploration 23
Latest Actions
The Department of the Interior ( DOI) has made several announcements relative to the new proposed
program, including extending the comment period 180 days to Sept 21, 2009; directing MMS to all
know information on offshore energy sources; and has held several meetings to solicit public input. In
addition to the VA Lease Sale, it is expected that there will be two additional lease sales in the Mid-
Atlantic Planning Area in 2012 and 2015. The MMS has also requested comments to evaluate potential
environmental effects of multiple Geological & Geophysical ( G& G) activities on the Atlantic OCS.
These comments will be used to develop a programmatic Environmental Impact Statement ( EIS) for
multiple seismic studies required as a prelude to any offshore exploration activities. The Division of
Coastal Management has submitted technical comments concerning the potential impacts to hard
bottom areas and deep water corals as well as sublethal behavioral changes on the part of the fisheries
in response to the seismic studies.
Congress will also need to revisit issues such as what areas should remain outside of energy production
activities such as National Marine Sanctuaries and changes to royalty provisions as there currently no
provisions for royalty sharing beyond three miles. There has been Congressional interest in reviewing
the DOI Royalty Collection Program as well. The State will therefore need to remain involved in the
process and take advantage of all the opportunities to provide our perspective as things develop.
Resource Methodology and Potential Offshore North Carolina
By David A. Marin, Regional Supervisor for Resource Evaluation, Gulf of Mexico Region, Minerals
Management Service, New Orleans, LA 70123
Minerals Management Service ( MMS) is currently conducting an oil and gas resource assessment study
of the Atlantic Outer Continental Shelf ( OCS). The study is in its initial stages and the results will be
released in a few months. Resource assessments are performed by the MMS at various scales and for
many purposes. Regional assessments may be prepared simply to develop an inventory of potential oil
and natural gas resources as part of an evaluation of future supply options. Assessments may be
undertaken to analyze the relative merits of oil and gas development proposals and alternatives versus
other competing uses. Resource estimates provide critical input to decision makers regarding the
virtues of various policy alternatives. Detailed site- specific assessments provide data essential for
valuing Federal lands prior to leasing or analyzing industry exploration or development proposals.
Large corporations and financial institutions use resource estimates for long- term planning, the analysis
of investment options and as a guide in analyzing the future health of the oil and gas industry.
Exploration companies use resource assessments to design exploration strategies and target
expenditures. Increasingly, resource estimates are being used by the Administration, Congress, and the
public to provide objective statements of how much oil and natural gas will be available for future
domestic consumption. We are updating our play descriptions and numbers to reflect our current
knowledge of the Atlantic OCS and to provide policy makers the best available information for future
programs. New data and information from the Canadian Atlantic Margin and from West Africa, as well
as further analysis of digitized Atlantic OCS seismic have significantly added to our knowledge of the
Atlantic OCS.