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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Road Walker who wrote (399502)	7/17/2008 9:19:58 AM
From: bentway	Read Replies (1) \| Respond to of 1578297

All offshore drilling rigs are in use, and booked for the foreseeable future, as you would expect with the price of oil. So, any new leases are going to have to wait for new rigs to be built. Years, before any drilling even begins on new leases.

To: Road Walker who wrote (399502)	7/17/2008 6:24:43 PM
From: Brumar89	Read Replies (2) \| Respond to of 1578297

How A Lease Expires Or Terminates Oil and gas leases expire at the end of their primary term--the 10th year--unless diligent drilling operations are in progress on or for the benefit of the lease; the lease contains a well capable of producing oil or gas in paying quantities; or the lease is receiving or is entitled to receive an allocation of production under the terms of an approved communitization agreement or unit agreement. Leases without a producible well automatically terminate if the lessee fails to make full and timely payment of the annual rental. The rental must be received by the proper Federal office on or before the anniversary date of the lease. The automatic termination is specifically prescribed by law, is not the result of BLM action, and cannot be waived. ... blm.gov If you have such urgency about OCS drilling I would think you would support a shorter time period and heavy pressure on the oil companies. No. I can see the No-Drill Democrats making lease terms so short, no one can get the exploration and permitting work done. Lets face it, they are in bed with / controlled by the green lobby who don't want any drilling at all. Thats the problem. The idea that there is some kind of problem getting companies to develop reserves they've paid big bucks to get access to is a particularly ridiculous lie. Leases are competitively bid and big bucks in the form of lease bonuses are paid up front to get leases. And they can't get that money back. Oil companies are profit-seekers and you don't make money not developing economical reserves. Having put down big bucks to get a lease, they will do the exploration work to determine if something economically recoverable is there. They'd be stupid not to.