Future gulf supplies: Role of the federal government

The US Gulf of Mexico (GOM), providing 1.8 million b/d of crude oil/NGLs and 14 bcfd of natural gas, has been a major source of domestic energy supplies. However, considerable uncertainty surrounds the outlook for this critical oil and gas producing area, with many concluding that production is or soon will be in decline. Click here to enlarge imageIf true, this could further influence a trend towards more volatile domestic prices and decreased energy security. The extent of the uncertainty, particularly for gas, is reflected in recently published projections (by the MMS) that show an uncertainty range of over 5 bcf in daily gas production in the next 5 years (Fig. 1).The two previous ar...

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