The Interior Department is set to increase oil production in the newly renamed Gulf of America by 100,000 barrels per day, following President Trump’s executive order aimed at “Unleashing American Energy,” The Post has learned.
Interior Secretary Doug Burgu
m revealed that offshore oil drilling in the Gulf will now allow the tapping of multiple reservoirs simultaneously, with higher pressure limits than before, boosting output by approximately 10%.
A study from the University of Texas, conducted in September 2023, projected that over the next 30 years, oil production could increase by up to 61% beyond current levels.
“This is a monumental milestone in achieving American energy dominance,” Burgum said in a statement.
“We’re delivering more American energy, more efficiently, and with fewer regulatory roadblocks. That means lower costs, more jobs, and greater security for American families and businesses, as President Trump promised.”
Former President Joe Biden had tried to block new offshore drilling along most of America’s coast, including the Gulf, but Trump reversed that on his first day back in office, issuing an executive order to undo Biden’s drilling ban.
“Climate extremism has exploded inflation and overburdened businesses with regulation,” Trump said when announcing the rescission of Biden’s policy, which had made several areas, including the East Coast and parts of Alaska, off-limits to energy exploration.
Trump also signed an executive order declaring a national energy emergency, removing federal regulations that could “burden” domestic energy production.
Under the new policy, the Interior Department has approved “downhole commingling,” a process allowing drillers to access more oil reservoirs simultaneously, with production pressure rising to 1,500 psi from the previous 200.
Key industry leaders suggested the technical changes, according to the department’s release.
“This is a major win for domestic energy,” said Kenneth Stevens, principal deputy director of the Bureau of Safety and Environmental Enforcement.
“Thanks to the tireless work of our technical experts and our industry partners, this advancement enables increased recovery from existing wells, reducing the cost per barrel and strengthening our nation’s energy independence.”
Trump’s Day One orders aimed to address the soaring inflation rate, which had climbed to 22% under Biden.
In addition to the drilling policy, Trump’s executive actions included renaming the Gulf of Mexico as the Gulf of America and restoring the name of Mount McKinley in Alaska, the highest peak in North America.
“We’re going to make a lot of money from energy. We have more than anybody else,” Trump said when signing the orders on January 20.
