Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Obama issues first deepwater drilling permit

deep water oil drillingThe first Gulf of Mexico deepwater drilling permit since the BP disaster was issued to Noble Energy. By Steve Hargreaves, senior writer


NEW YORK (CNNMoney) -- The Obama Administration approved a permit to drill a deepwater oil well in the Gulf of Mexico Monday, the first such permit issued since the BP disaster last spring.

The permit is for a Noble Energy well in Mississippi Canyon Block 519, approximately 70 miles south east of Venice, La., close to the spot where the BP rig sank.

"This permit represents a significant milestone for us and for the offshore oil and gas industry, and is an important step towards safely developing deepwater energy supplies offshore," said Michael Bromwich, director of the Bureau of Ocean Energy Management, Regulation and Enforcement.

The agency has been heavily criticized by the oil industry and others along the Gulf coast for delays in issuing new drilling permits.

Only 37 shallow water permits have been issued since a moratorium issued following the BP spill in April was lifted in the summer. The deepwater moratorium was officially lifted in October, but no new permits had been issued until Monday.

The industry argued the delays have cost jobs and hurt domestic production. Supporters of the go-slow approach contend it was necessary to reform a badly flawed oversight process in the wake of the worst oil spill in U.S. history.  To top of page

Search for Jobs

Index Last Change % Change
Dow 18,432.24 -24.11 -0.13%
Nasdaq 5,162.13 7.15 0.14%
S&P 500 2,173.60 3.54 0.16%
Treasuries 1.46 -0.05 -3.51%
Data as of 12:14am ET
Company Price Change % Change
KeyCorp 11.70 0.05 0.43%
Bank of America Corp... 14.49 -0.19 -1.29%
Ford Motor Co 12.66 -0.05 -0.39%
General Electric Co 31.14 -0.11 -0.35%
Chesapeake Energy Co... 5.42 0.23 4.43%
Data as of Jul 29
Sponsors

Sections

For the first time ever, Amazon and Facebook are more valuable than Berkshire Hathaway, the storied company run by legendary investor Warren Buffett. More

Venezuela's government issues a decree recently that makes it possible to force workers to work in the country's fields amid food shortages. More

Sheryl Sandberg says she supports Hillary Clinton for president, because she would help close the gender gap, and because she's 'the most qualified candidate.' More

It's about to get harder for some luxury all-cash home buyers to hide their identity from the U.S. government. More