Click here for the "Factbox" regarding deep water drilling. All deep water drilling has been put on hold for six months and rules/regulations for more shallow drilling is under review.
US gulf off-shore drilling produced 1.6 million gallons/day and accounted for 8% of America's total liquid fuel consumption.
This moratorium is for six months: not six days, not six weeks, but well past the next Congressional election.
You think OPEC is re-negotiating its futures contracts?
I see price of oil has risen every day since the announcement went into effect.
There also appears to be an inverse relationship between the number of active oil rigs in North Dakota and approval rating for current president.
Again, remember: this moratorium is for six months. In the oil business, this can be a lifetime for some folks.
(I'm betting the moratorium won't last six months. Maybe a month. The meeting with BP/CEO will be first step in moving forward; starting process to end moratorium especially if oil flow is slowing. I can see a compromise: BP agrees to additional claims payments, and administration agrees to let BP back to drilling in the gulf with "stricter adherence to safety standards." )
On another note, Louisiana leaders say that the moratorium could cost Louisiana 100,000 jobs -- just about the time the 400,000 temporary census workers complete their work. Wow -- not a pretty jobs picture.
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