Environment

Feds to sell more oil leases in Gulf of America/Mexico

June 30, 2025

By David Pendered

June 30 – Expect more conflicting reports about oil and gas extraction from the Gulf of America/Mexico now that the federal government has announced the pending sale of leases in waters offshore all states that border the gulf.

Stakeholders in the potential debate include the Trump administration, opponents to extraction activities in the gulf, and the fossil fuel industry. Deals for about 80 million acres are on the table.

The proposed leases were announced in April and plans for the sale precede the current administration. They hit the market as the number of rotary rigs operating in the gulf has declined by 47 percent in the past year, from 19 rigs to nine, according to a June 27 report from the energy technology company Baker Hughes.

Rice’s whales are thought to live only in the Gulf of America/Mexico and fewer than 100 animals are thought to exist. (Infographic credit: NOAA Fisheries)

The federal Bureau of Ocean Energy Management announced June 25 plans to offer for sale leases on about 80 million acres of land beneath waters from 3 miles to 231 miles offshore of Texas, Louisiana, Mississippi, Alabama and Florida. Depths range from 9 feet to more than 11,000 feet, according to BOEM’s announcement.

In a statement, BOEM’s principal deputy director, Matt Giacona, said: “Offshore oil and gas play a vital role in our nation’s energy portfolio, with the Gulf of America supplying 14 percent of domestically produced oil. This proposed lease sale demonstrates BOEM’s commitment to advancing American Energy Dominance and fostering the production of affordable, reliable energy resources for the nation.”

Potential environmental opponents could rally around a recent victory in a federal lawsuit filed in 2023 to halt leases in the gulf sold by the Biden administration. A judge in March supported the contention that the environmental impact statement regarding the endangered Rice’s whale and other marine animals was deficient.

A trade association for the extraction industry commended the Trump administration’s decision to proceed with a sale of leases.

In a statement released the same day as the leases were announced, a senior vice president with the American Petroleum Institute, Dustin Meyer, said: “Today’s announcement marks another step in a new path forward for safe and responsible U.S. offshore development after years of roadblocks that hampered energy investment in the Gulf of America. We applaud Secretary Burgum for leveraging our nation’s vast offshore resources to support energy affordability and national security.”