Drill Now Act from Senator Jim DeMint

[Mr No Name]

Got this from Jim DeMint this morning... looks good to me!

DeMint Applauds Energy Freedom Day and Introduces Drill Now Act
New oil revenues could near $1.4 trillion; bill allows drilling to begin in 2009
 
October 1, 2008 - Washington, D.C. - Today, U.S. Senator Jim DeMint (R-South Carolina) applauded October 1, 2008 as American Energy Freedom Day and announced the introduction of the Drill Now Act, S. 3646. The bans on oil shale and offshore drilling have now expired, opening access to offshore resources of over 20 billion barrels of oil and 97 trillion cubic feet of natural gas. And in the West, oil shale is estimated to be between 800 billion and 2 trillion barrels of oil -- that is more than three times the proven oil reserves in Saudi Arabia alone. Recently, 39 Senators signed a letter urging congressional leaders to allow the bans on offshore drilling and oil shale to expire.

“Energy Freedom Day is a victory for the American people that stood up and made their voices heard in Washington. Thanks to millions of Americans demanding action, the bans on American energy have expired and we can begin to produce our own oil and natural gas to lower gas prices and reduce our dependence on foreign oil,” said Senator DeMint. “Opening up American energy is an important step to get our economy moving again. The federal government and states could reap over a trillion dollars in revenues that will help reduce the tax burden on Americans.”

Senator DeMint has introduced the Drill Now Act to permanently open offshore drilling and oil shale, expedite the leasing process to allow drilling to begin as early as 2009, ensure state revenue sharing, and stop frivolous lawsuits that delay energy production. According to estimates by the Department of Interior on new resources made available by ending these bans, new oil and natural gas revenues from just offshore drilling could be near $1.4 trillion based on recent prices.

“The Drill Now Act will ensure that drilling begins as soon as possible to bring relief at the pump quickly and ensure we reduce our dependence on other countries. Democrats have talked about reinstating these bans after the elections have passed, and we can’t let that happen. Instead of taking our country backward, we need to move forward to expedite drilling, make sure states share in revenues, and stop frivolous lawsuits that threaten to endlessly delay energy production.”

[Mr No Name]

What it says, in a nutshell:

DRILL NOW ACT, S. 3646, Summary


    • Permanently Ends Bans on Offshore Drilling in Atlantic, Pacific, Eastern Gulf of Mexico and Oil Shale Areas

    • Expedites Leasing Process: Allows the Mineral Management Service to being preleasing and leasing activities immediately, without the need to completely write a new 5-year leasing plan. The Drill Now Act would eliminate the need to write this 5-year plan, and allows the pre-leasing to begin immediately. Under current law, drilling may not begin until 2011, but under Drill Now Act, drilling could begin in late 2009.

    • Ensures 50/50 State Royalty Sharing: Creates revenue sharing for all states that allow drilling off their coasts divided – 50% for states and 50% for the Federal Treasury.

    • Expedites Judicial Review of Environmental Lawsuits: Allows only 90 days to submit a legal case to U.S. District Courts. Any appeal of a district court can only be made in the U.S. District Court of Appeals in D.C. Limits judicial review for how the Secretary enforces laws.

[Sixpence]

Lots of wind here in the NE, lots of small islands to harness that wind. Too bad the rich don't want the view to be spoiled from their coastal mansions and yachts

[Trell]

From what you posted,  Like this part.


 • Permanently Ends Bans on Offshore Drilling in Atlantic, Pacific, Eastern Gulf of Mexico and Oil Shale Areas

    • Expedites Leasing Process: Allows the Mineral Management Service to being preleasing and leasing activities immediately, without the need to completely write a new 5-year leasing plan. The Drill Now Act would eliminate the need to write this 5-year plan, and allows the pre-leasing to begin immediately. Under current law, drilling may not begin until 2011, but under Drill Now Act, drilling could begin in late 2009.

[Nwbie]

all well and good
problem is- there is a five year wait on oil drilling equipment, there are no oil drills to start drilling with.
in five years who knows what the problem will be.

[Sabre]

Lots of wind here in the NE, lots of small islands to harness that wind. Too bad the rich don't want the view to be spoiled from their coastal mansions and yachts

No reason not to pursue both.  I'd like to see an additional provision added that requires some portion of both state and federal revenues be re-invested into alternate energy and it's required infrastructure.  A truly comprehensive energy plan (which this is not, but it's a start) would also make changes to streamline the nuclear energy regulatory and litigation paths, to help fast-track an rapid expansion of nuclear energy.

[Shamus]

Lots of wind here in the NE, lots of small islands to harness that wind. Too bad the rich don't want the view to be spoiled from their coastal mansions and yachts

I remember sitting in the yacht basin at Naples, FL a few years ago talking to some of the folks who had multi million dollar places on the beach, they were complaining about a proposal under discussion to drill a hundred miles off shore.

I remarked to one urbane older gentleman that he wouldn't be able to see the rigs anyway and he went on to explain to me that I was an ignoramus who knew nothing of real estate values in the area and the effect that the drilling would have on values.

Well he may very well become an energy expert now because at 3 miles out, he will be able to see the rigs from his house.

shamus   

[lazs2]

newbie.. you are drinking the koolaid..  I bet that within a year of this bill passing there would be wells being drilled..   I also bet the arabs would drop the price of oil 20% or more the minute it passed.

lazs

[Mr No Name]

Lazs oil was down $3 barrel today last time i looked partially because of the expiration of the congressional bans on drilling...  I also want to encourage EVERYONE to call their senators and tell them you are in favor of this bill.... please??? for all of us!

[lazs2]

Yep.. pass a 50 billion dollar bill to "encourage" alternative energy and the arabs will up the price of oil 50 bucks a barrel.

lazs

[Nwbie]

newbie.. you are drinking the koolaid..  I bet that within a year of this bill passing there would be wells being drilled..   I also bet the arabs would drop the price of oil 20% or more the minute it passed.

lazs

" Rig Availability and Production Costs
Urness at Calyon says he'll be listening for details about pricing and margins on earnings calls and wants to know how confident service providers are about achieving growth in a market constrained to some extent by shortages in personnel and rig and equipment availability, as well as the overall slowing of the global economy.

In his note, Citi's Kieburtz said that staffing additional rigs will become a challenge in the near future. Difficulty in finding and training crews could delay the timely return of rigs to the field, and if demand climbs quickly in the second half of 2008, it could lead to unexpected tightness in rig availability despite the overhang of idle rigs, which could start moving day rates higher. "


"Petrobras continues to lock up more of the top-tier deep-drilling rigs in order to develop the Carioca and other discoveries. There are 75 new deepwater rigs slated to come online over the next three years, but "the earliest you can get one of those that's not contracted is mid-2010," says Mackenzie at FBR. "

http://sg.biz.yahoo.com/080416/68/4fv6j.html

I never swallow the kool-aid - I actually researched this last year for an investment group i belong to.
My recomendation is still at an all-time high. Now with all the exposure - i am recommending sell, I like the under-the-dar stocks.

[john9001]

all well and good
problem is- there is a five year wait on oil drilling equipment, there are no oil drills to start drilling with.
in five years who knows what the problem will be.

well i guess there is no sense in drilling then, we might as well keep buying foreign oil. :rolleyes

but that "bimbo" palin said if we had started drilling 10 years ago we would not be having this discussion now. But what does she know.

[Nwbie]

well i guess there is no sense in drilling then, we might as well keep buying foreign oil. :rolleyes

but that "bimbo" palin said if we had started drilling 10 years ago we would not be having this discussion now. But what does she know.

well- pull out your cordless then brainiac - rollseyes-
Don't blame the messenger - just pointed out the truth - deal with it. Don't buy gas, ride a bike, I don't care..
I never called her a bimbo, she just manages to sound like one. She is the Dan Quayle of this election, he is actually an intelligent person who opened his mouth without thinking the whole thought process through, just like some of the jackboot posters in here.

[john9001]

what is a "jackboot"?

[JAGED]

what is a "jackboot"?

Not sure, but I found this: