There remains a public sentiment and misconception that companies operating in the Gulf of Mexico are comprised of large transnational conglomerates, or "Big Oil" companies. This could not be further from the truth.
The president, media and policy makers in Washington all overlook the most important aspect of oil and gas operations in the deepwaters of the Gulf. Those most threatened by this moratorium are the independent oil and gas operators. Independents produce and drill nearly 50% of all wells and represent 70% of all lease activity in the Gulf of Mexico.
A recent study conducted by IHS Global Insight notes that independent oil and gas companies currently account for about half of the nearly 400,000 jobs, $70 billion in economic values and $20 billion in federal, state and local revenue generated by industry in 2009...In Louisiana alone, the deepwater drilling moratorium could eliminate more than 17,500 jobs in the coming six months. Overall, this detrimental policy will threaten the jobs of more than 200,000 hardworking Americans in Texas, Louisiana, Mississippi and Alabama.
_______Don Briggs President Louisiana Oil and Gas
Remembering the suffering caused by the 1986 oil price collapse, Louisiana Association of Business and industry President Dan Juneau wrote:
"The minute I heard the words 'six month moratorium' leave president Obamas lips, My mind went back to the economic miasm of 1986. I realized instantly that if carried through with that policy, it was going to pummel our economy, eliminate thousands of jobs and disrupt the lives of many families... The difference between 1986 and today lies in causation. The damage of Louisiana's economy in the 1980's was brought about by economic factors. The danger today is entirely man made. It is derived soley from a government edict. If there is a bright spot in the currnt crisis, it lies in the fact that a government edict is easier to turn around." Let's lift the ban, reform the liability system and get the Gulf back to work.
The Ban is schudeled to expire november 30. Last week the House of Representaves voted to end the six month ban. The fate of such legislation is uncertain. A senate vote ha ben postponed until September.
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