DRILLING ON THE OCS

Implications: THE INTERNATIONAL HERALD TRIBUNE HAS PUT THE "CART BEFORE THE HORSE". CONSTRAINTS ON PRODUCING OIL AND NATURAL GAS ON THE AREAS OF THE OUTER CONTINENTAL SHELVES OF THE US ARE NOT THE CURRENT HIGH DEMAND, WORLD WIDE, FOR DRILL SHIPS, BUT THE MANY STEPS THAT WILL HAVE TO BE TAKEN BEFORE ANY DRILLING CAN TAKE PLACE ON THE AREAS THAT HAVE BEEN UNDER MORATORIA FOR OVER 30 YEARS: 1    THE MORATORIA MUST FIRST BE LIFTED EITHER BY CONGRESSIONAL ACTION OR BY EXECUTIVE ORDER. 2    A 5 YEAR LEASE PLAN MUST BE APPROVED BY CONGRESS 3    PLANS FOR SPECIFIC LEASE AREA MUST BE CREATED 4    LEASE SALES MUST BE CONDUCTED 5    WINNING BIDDERS MUST OBTAIN ALL THE NECESSARY PERMITS

Analysis: WE ARE CURRENTLY PREPARING AN ASSESSMENT OF THE ACTIONS THAT MUST BE TAKEN BY THE GOVERNMENT, BY THE MINERAL MANAGEMENT SERVICE AND BY THE OIL AND GAS COMPANIES BEFORE ANY NEW PRODUCTION CAN BE ACCOMPLISHED