DRILLBITS
Monthly eNewsletter from the IADC

Within a week of Joe Biden’s inauguration, he signed Executive Order 14008 to ban oil and gas leasing on federal lands and waters. IADC publicly condemned this leasing ban by the Biden Administration given the economic benefits of oil and gas leases.

This didn’t simply stop new developments from coming to the auction block but halting leases already in the planning stages, as was the case when BOEM initially rescinded of Sale 257 in March only to then later continue on with the offshore lease.

A lawsuit was filed in the Western District Court of Louisiana by that state’s attorney general, Jeff Landry, along with officials from Alabama, Alaska, Arkansas, Georgia, Mississippi, Missouri, Montana, Nebraska, Oklahoma, Texas, Utah, and West Virginia. The lawsuit claimed that Executive Order 14008 violated the following:

• United States Constitution
• Administrative Procedure Act (APA)
• Outer Continental Shelf Lands Act (OCSLA)
• Mineral Leasing Act

In early June, U.S. District Judge Terry Doughty, granted a preliminary injunction to the 12 states.

Despite that court order, the Department of Interior, the government body in charge of leasing public lands and offshore waters, still hadn’t restarted the lease auctions. This is what lead to industry leaders filing a lawsuit.

IADC issued a media release on joining the API lawsuit with 11 other industry groups. IADC President Jason McFarland issued a statement in response:

“Oil and gas leasing on federal lands and water is a congressional responsibility that is critical to the U.S. energy ecosystem. IADC welcomes the opportunity to join our industry partners in pushing for the continued application of longstanding federal law. We aim to continue to be a resource for the Administration, and urge the Department of Interior to move expeditiously to fulfill its obligations under the Mineral Leasing Act and Administrative Procedure Act.”