The group, which represents 200 oil and gas companies in the West, said that even a brief shutdown would be akin to siding with President Biden’s anti-fossil fuel policies because it would have ripple effects on domestic energy production on federal lands and waters.
Roughly 15% of U.S. crude oil production in 2021 occurred in Gulf of Mexico federal waters, according to the U.S. Energy Information Administration. The American Petroleum Institute, another leading oil and gas lobbying group, has estimated that all federal lands and waters are responsible for roughly 24% of total U.S. oil production.
She said companies actively producing oil and gas rely on “regular communication” with BLM employees. “When there’s nobody on the line at local field offices to answer a question or approve operational changes as they arise, companies cannot safely and effectively move forward with energy development,” Ms. Sgamma said. “Even the threat of a shutdown causes hiccups in the system and contributes to the chronic uncertainty that plagues production on federal lands.”