Oil and gas production in the Gulf of Mexico faces potential disruption if the federal government fails to meet its deadline for revising a law that governs endangered species protection. The revision, mandated by a court ruling last month, is crucial for maintaining smooth operations under the Endangered Species Act. Climate activists challenged the adequacy of the existing biological opinion, prompting the court to require the U.S. National Marine Fisheries Service to update it by December 20.
The American Petroleum Institute (API) has raised concerns that any delay beyond this deadline could complicate regulatory processes and adversely impact production. The Gulf of Mexico contributes 15% of the nation’s oil supply and supports over 400,000 jobs while generating more than $6 billion in federal revenue, according to the API.
API senior vice president Dustin Meyer emphasized the potential severe consequences of a regulatory delay, stating that the level of concern within the industry is high. While the Marine Fisheries Service has begun updating the biological opinion, it has indicated that the revision may not be completed until late winter or early spring 2025.
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