The Trump administration is taking significant steps to reverse the policies set by the Biden administration, particularly those that put a halt on offshore leasing and restricted oil and natural gas development. Interior Secretary Doug Burgum has announced that the Bureau of Ocean Energy Management (BOEM) will conduct the first offshore lease sales in the Gulf of America, with plans for the initial sale notice to be issued in June. The Interior Department highlights that expanding offshore capabilities ensures affordable energy, supports domestic industries, and reinforces America’s position as an energy superpower.
Opening the Outer Continental Shelf is a cornerstone of this strategy, unlocking domestic energy resources previously blocked by the prior administration. This move is expected to create tens of thousands of high-paying jobs within the industry. The BOEM’s latest analysis indicates a considerable increase in estimated oil and natural gas reserves in the Gulf of America Outer Continental Shelf, identifying 18 new discoveries and evaluating 140 oil and natural gas fields.
According to BOEM, there is an additional 1.3 billion barrels of oil equivalent since 2021, bringing the total reserve estimate to 7.04 billion barrels of oil equivalent. This includes 5.77 billion barrels of oil and 7.15 trillion cubic feet of natural gas, marking a 22.6% increase in remaining recoverable reserves. “This new data confirms what we’ve known all along – America is sitting on a treasure trove of energy, and under President Trump’s leadership, we’re unlocking it,” Secretary Burgum stated.
The Gulf of America is described as a powerhouse, and by improving permitting processes and expanding access, the administration aims to strengthen national security and boost employment for thousands of Americans. BOEM’s comprehensive review added 4.39 billion barrels of oil equivalent in original reserves. After accounting for production of 3.09 billion barrels of oil equivalent since 2020–2021, there remains significant opportunity for continued offshore development.
Dr. James Kendall, BOEM Gulf of America Regional Director, emphasized that the Gulf delivers 14% of the nation’s oil. These updated estimates underscore the Gulf’s essential role in ensuring a reliable and affordable domestic energy supply. BOEM oversees nearly 3.2 billion acres of the Outer Continental Shelf, with about 160 million acres located in the Gulf.
The Interior Department argues that energy dominance is a key component of U.S. economic strength and global leadership. Expanding offshore capabilities promises affordable energy for consumers, job creation, and reduced dependence on foreign adversaries. The projected expansion in leasing is expected to create tens of thousands of jobs across various sectors, revitalizing coastal economies and fueling American innovation.
Shell Offshore Inc., a subsidiary of Shell plc, has also announced the commencement of production at Dover, a subsea tieback connecting new wells to existing infrastructure at its Appomattox production hub in the Gulf. Dover’s estimated peak production is 20,000 barrels of oil equivalent per day. Shell, the leading deep-water operator in the Gulf, discovered Dover during the first Trump administration in 2018.
Dover is located in Mississippi Canyon, about 170 miles offshore southeast of New Orleans. Shell estimates that Dover will contain 44.5 million barrels of oil equivalent recoverable resources, adding stable, secure energy resources to the nation’s supply. Offshore activities on the Outer Continental Shelf have generated billions in revenue from lease sales, rental fees, and royalties, benefiting federal and state governments.
These revenues have funded infrastructure, education, public services, and wildlife conservation efforts. They also bolster U.S. energy independence and national security by reducing reliance on foreign producers. Offshore production in the Gulf of America is the third largest in the country, producing nearly 1.8 million barrels of oil per day.
The Permian Basin in west Texas leads the nation in oil and natural gas production, according to data from the Energy Information Agency. The Trump administration maintains that these efforts are vital for strengthening the country’s energy independence, national security, and global stability. By continuing to expand offshore capabilities, the United States is poised to maintain its leadership in the global energy market.
