U.S. Interior Announces Significant Increase in Gulf of America Gas & Oil Reserves

The U.S. Interior Department on April 10 announced a major increase in projected gas and oil reserves in the Gulf of America Outer Continental Shelf. The announcement is in line with the executive order issued by President Trump on Jan. 31 titled “Unleashing Prosperity Through Deregulation,” which further directs the department to take on actions to reduce burdensome regulations in the energy sector. The department has thus far enhanced accessibility to offshore drilling and lessened regulatory difficulties that negatively impact energy production. Regular and predictable offshore lease sales would allow the U.S. to maintain robust energy production. Moreover, offshore energy development is expected to be a critical component of U.S. national security and U.S. economic prosperity.

The Bureau of Ocean Energy Management’s analysis identifies an additional 1.3 billion barrels of oil equivalent since 2021, bringing the total reserve projection to 7.04 billion barrels of oil equivalent. This incorporates 5.77 billion barrels of oil and 7.15 trillion cubic feet of natural gas, a 22.6 percent rise in remaining recoverable reserves.

The bureau’s updated analysis assessed more than 140 gas and oil fields, recognizing 18 new discoveries and analyzed more than 37,000 reservoirs across 1,336 fields in the Gulf of America. This review added 4.39 billion barrels of oil equivalent in original reserves.

The Gulf of America continues to be the U.S.’s primary offshore source of gas and oil, accounting for around 97 percent of all U.S. Outer Continental Shelf oil and gas production. Outer Continental Shelf activities produce significant revenues from lease sales, rental fees and royalties on production.