Guest “What took so long?” by David Middleton
Biden’s oil lease ban lifted by federal judge
By JENNIFER A. DLOUHY AND ROBERT BURNSON on 6/16/2021WASHINGTON (Bloomberg) –A federal judge lifted the Biden administration’s temporary ban on new oil and gas leases on public lands and offshore waters.
In a victory for 13 states that filed the legal challenge in Louisiana, U.S. District Judge Terry Doughty granted a preliminary injunction Tuesday blocking President Joe Biden’s Jan. 27 executive order while the litigation continues.
[…]
The Interior Department said it’s reviewing the ruling and will comply with it.
The agency said it’s working on an interim report that will “outline next steps and recommendations for the department and Congress to improve stewardship of public lands and waters, create jobs and build a just and equitable energy future,” according to an emailed statement.
Doughty’s ruling requires the Interior Department to immediately restart its leasing program, even as the agency continues its review of the effects of drilling.
Doughty, appointed to the bench in 2018 by former President Donald Trump, ruled that Biden’s executive order violated federal laws governing oil and gas leasing. He also faulted the Biden administration for failing to offer “any rational explanation” for its pause.
[…]
World Oil
Now to prevent the Feds from overturning the decision on appeal.
It’s in the 5th Circuit in New Orleans… The polar opposite of the 9th Circus in California,
Thankfully such a thing exists.
So Nationwide injunctions by federal judges are a good thing, now it’s Biden in the WH…that sound you hear is the conservative media and commentariat doing a backflip
Federal laws are nationwide. Bite-me’s illegal executive order illegally halted oil & gas leasing on Federal lands and waters, nationwide. The injunction applied to the illegal nationwide executive order.
I was wondering about what the Tribes were doing about their investment, which was just short of $1billion in the Keystone Pipeline.
You might’ve missed class that day in 8th grade when you would’ve learned about the checks and balances built into our Federal system. You might want to look it up, because it’s kind of a big deal.
Duker, you’re trying to argue that the judge legislated policy from the bench. That was not what happened even though the judge’s write-up was full of all sorts of rhetoric. The key component is established law. Namely, two of them: the Outer Continental Shelf Lands Act and the Mineral Leasing Act. Biden’s executive order was in violation of the law established by these two acts.
There is a second component, too: checks and balances. Executive orders must have a compelling reason in order to be upheld legally. If that were not so, the president could order anything from free college education to a tyrant’s police state. Executive orders are constrained on purpose.
It really amazes me how liberals really do believe they have a right to their own facts.
Am I being overly optimistic that a “legal” battle over this will be strung out until the next election cycle, and thereby prevent another shutdown?
I wonder if there will be any legal pushback on the Keystone Pipeline. Not that it would do any good. The company building it has walked away and given up.
There already is. Nor is the subject moot. If the states win, the company may come back in. The economics is still there, and the company has sunk costs.
Modern cynical me wants to know who the new investors will be when the project is recapitalized.
Cancel pipeline in US and promote pipelines in Europe 🤔 Biden are you as dumb as Simon?
Hello hello hello is there anybody in there
Biden didn’t do any favors for US sovereign risk assessment profile by ditching Keystone.
What other critical supply facilities are at risk of impetuous cancelation by politicians controlled by puppet-string pulling activists?
The next generation of aircraft carriers are going to be wind powered, flying kites.
They’re all nukes, MH. Have been for a very long time.
Okay, so sarcasm isn’t your strong suit. I’m sure you have many other wonderful qualities.
Perhaps your sarcasm meter is in the shop?
Oh, SARCASM!!!! You didn’t say that! You didn’t make that CLEAR!!!!
Bravo to the thirteen states that filed the legal challenge and the judge.
I read the judge’s PI order. Very solid.
In a nutshell, the judge said Congress wrote the fed lands O&G leasing law, laying out the procedures to be followed. They did NOT give the President the right to halt that process even temporarily—especially on grounds inimitable to the reasons Congress permitted federal O&G leasing in the first place.
Very solid opinion. Will withstand appeal. Another example of Biden over-reach.
It’s so solid, DOI said it would immediately comply. I was really expecting a very quick contempt of court ruling because the last time this sort of ruling happened (Macondo), the Fed’s ignored it.
New Mexico Governor and probably several House seats are very much in play in 2022 and 2024 if the Obama-Biden-Harris Admin destroys the New Mexico oil and gas revenue the NM budget depends on.
The only problem is… I can very easily see this Congress changing the law to shut down leasing – and not just temporarily.
I am less pessimistic. The House could do that under Pelosi, but the existing Senate filibuster rule means the Senate would not agree. Manchin has been quite clear he won’t support further amending the filibuster rule based on A1§5.2.
That sort of lease law change is also not within ‘budget reconciliation’ (neither is infrastructure spending, although the Senate Parliamentarian has yet to rule since that issue isn’t ripe—but will, since she previously said only one ‘reconciliation ‘ per year, since only one budget per year).
Joe Manchin is all that stands in the way of the Democrats quickly turning the USA into Venezuela.
A Convention of States can’t happen soon enough.
Why do you suppose a Convention of States would be less “progressive”, actually hyper reactionary, than Congress?
At some point you have to risk turning the car around before it goes over a cliff. You may end up skidding over the edge anyway, but at least there’s a chance of success. Continuing to drive in the same direction has no chance of anything but a spectacular crash.
The point is that it cannot be worse. Whatever comes out of such a Convention still has to be ratified by 38 States. The Regressives may have a lock in Congress – but they are outnumbered in their control of States.
A convention of states gives each State one vote.
Not based on population.
I would HOPE that 26 States would be “hyper reactionary” to the conservative side, not the progressive side.
You’re basing your hopes on the vote of a Democrat?
Personally I’m hoping that Manchin gets tired of all the abuse he’s taking from his “fellow” Democrats, and switches his registration to Republican.
Right now… That’s all there is standing in the way of full Venezuela-ization.
But it is really zero budgets per year since we have not passed a true budget bill in two decades. The parlimentarian should have said – no budget bill, no reconciliation. The USA needs a constitutional amendment requiring a budget every year, not a continuing resolution. Almost all states have that requirement in their state constitutions.
Democrats have held majorities in Congress several times and haven’t managed to change lease laws. Not going to be able to do it now with a slim majority in the House and a 50/50 split in the Senate.
This highlights the difference between Republican Presidents and Democrat Presidents. The former understand their job is to execute and uphold the laws passed by Congress. The latter think they can modify the will of Congress by either not enforcing the law, issuing Executive Orders (which have no force of law especially if they contradict laws passed by Congress), or writing “rules” simply because they think because Congress gave them power to execute the law that it means (to them) that they can also modify the rules without Congressional approval. The law-abiding versus activists.
The whole Biden presidency is an over-reach.
You can hack a pipeline but you can’t hack an election 😉
the audit in Arizona may prove that wrong.
Bite-me speaking in complete sentences is an over-reach… 😆
The election was stolen by a bunch of Democrat governors using the Wuhan flu as an excuse to trash the economy, giving Senile Joe a shot at not being the second coming of Bob Dole.
Don’t insult Bob Dole like that. Biden is more like the second coming of Charley McCarthy.
Good to hear that a pen and a phone don’t override congress — I was worried. Now about that immigration thing…
When asked about this development President Biden replied:
“Well, about that….um….the thing is……we, ah…..knowing that the, ah…… thing you asked me about……. well, ah……..we will be, ah…… the thing is leasing a car is, ah…….. my wife went through the change and she , ah …….. I suppose I, ah, should check with someone about this…….. and that ‘s that.”
Thanks, Tom in Florida. That was very entertaining. Still smiling.
Regards,
Bob
Thanks Tom, for typing out the “full dose of Adderall” version of Biden’s reply.
I hate to think what that paragraph would look like if you typed his reply immediately preceding the point his handler’s saw it was time to call a lid!
C’mon man!
“C’mon man!”
“If you don’t understand that, you’re in the wrong business,”
Joey Biden
“The thing… You know… The thing!’
He’s acting on what he counselled coal miners to do: what he’s saying isn’t speech, it’s code…
I am just surprised that after the Biden/Putin meeting this week Alaska wasn’t handed back to Russia.
Environmentalists would never go for that.
Russia would start drilling ANWR immediately.
I don’t know. Was Alaska on the target list he handed over?
Think of the sign language interpreters. What do they make of all that?
Sadly, this is not satire. Joe Biden really does talk like this.
He also faulted the Biden administration for failing to offer “any rational explanation”…
If a rational explanation were required for everything they tried to do, the Biden administration would be permanently handcuffed.
I had a funny feeling that David Middleton would probably notice this ruling.
There was almost as much rejoicing here today as there was when President Trump was elected… 🙂
Good posting of good news, David. Let’s hope this is just the first of many reversals that are warranted. I’m hoping the Keystone Pipeline crowd files a federal taking issue, under the 5th amendment.
Ron, several states have already filed. Dunno the reasons, since have not read the complaint. And, per above, the pipeline company can reverse its decision if the states win. The economic incentives are still there. But company isn’t using its money to fight the arbitrarily unjust cancellation of a lawfully approved pipeline.
Good to see President Trump’s legacy coming through.
PF, I am irrationally optimistic. Two reasons.
First, the election was stolen. There are five separate ways to circumstantially prove that. Plus, the vociferously opposed AZ and GA audits will prove it, period.
Second, the ensuing Biden over-reach pursuant to the steal will permanently damage the Dem/RINO/Squad. By permanent, I mean for decades. This judge’s ruling is just a small part of that bigger reality..
Biden’s DOJ has announced it will be investigating the election audits, and the auditors, for violations of federal civil rights laws.
Don’t be too surprised when the FBI raids the building where the Arizona audit is being conducted and seizes the ballots, the Dominion electronic voting systems, and every piece of forensic evidence generated in the course of the audit the FBI agents can lay their hands on.
They’ll lock it all away in a government warehouse somewhere next to the Ark of the Covenant, never to be seen again by human eyes.
I’m betting it won’t be that easy this time. The FBI “team” will be politely sent packing and told to mind their own business because legal matters outside their jurisdiction are being conducted … at the risk of being charged themselves for interference.
If the federals do show up at the door with a search warrant, they will likely do so in force and will tell the audit staff and the audit team’s security detail to either stand aside and let the FBI agents in, or else be prepared to engage in an armed confrontation.
The stakes in this federal versus state conflict over the nation’s election integrity issues are that high. Biden and the DOJ’s senior staff cannot lose this fight. They must suppress these audits or else be shown as the illegitimate usurpers of power that they actually are.
I believe that’s why states have their own militia, to protect them from federal overreach. As far as I know, the states are sovereign powers for a reason. I’m not sure the public will take much more of this attempt to destroy the constitution.
The regressives have begun their campaign to remove anyone who disagrees with them from the military.
Rory Forbes: “I believe that’s why states have their own militia, to protect them from federal overreach. As far as I know, the states are sovereign powers for a reason. I’m not sure the public will take much more of this attempt to destroy the constitution.”
Here is how the confrontation might begin. Katie Hobbs, Arizona’s secretary of state, writes a letter to the DOJ alleging that the auditors are suspected of manufacturing false forensic evidence of voting irregularities in Maricopa County. She will claim that the auditors and the Arizona senate Republicans intend to use this false evidence as a means of denying Arizona’s voters their free choice in a federal office election, thus violating federal civil rights laws.
Using the letter from Katie Hobbs as their justification, the DOJ and the FBI obtain a search warrant for all the audit’s forensic material, wherever it might be stored, including any offsite backups in electronic format. After the search warrant is granted, the president might then issue an order federalizing the Arizona National Guard and ordering it to stand down. At which point the FBI raids the audit facility and any other locations where any offsite backups of the forensic auditing material might be stored.
If we hadn’t already seen any number of examples of unconstitutional federal overreach happening over the last five years, we could dismiss the above scenario out of hand. But this is 2021, and things are different these days.
Except that little red herring doesn’t work, since they have already exercised their rights. The whole purpose of the audit is to insure that everyone was given the same rights. Katie Hobbs is wrong from a purely logical POV. It would be like ordering the FBI to interfere in any investigation of legal wrongdoing, by saying it violated the accused perpetrator’s rights.
But I understand exactly what you’re saying and sadly that could be the way it gets done. It gives me a lump in my gut.
That’s every US President since Reagan, maybe since Truman coming through. Obama wasn’t even maniacal enough to try something this stupid and illegal,
Obama is more interested in shakedowns. That is where the real money is made.
Like the Mafia, the mainstream Democrats can’t be anti-business. But The Marxist Democrats like Bernie and the Squad are not mainstream. That’s why this internal Democrat Cold Civil War may turn hot if Pelosi loses her leash control of the Squad. Pelosi’s leash so far and her ultimate weapon against the Squad running amok and destroying the Dems is her ability to unleash the GOP calls to censure Ilhan Omar for her Jewish hatred remarks.
Obama did this for half of his presidency. Remember the infamous “I have a pen and a phone” statement? Every decision by Obame and Biden to not enforce immigration law is illegal because the constitution requires equal enforcement of the law, not selective enforcement based on where you come from. Ask a Cuban how hard it is to get here versus a Guatemalan.
The difference between Maobama and Bite-me was that Maobama could speak in nearly complete sentences on the phone and that he knew how to sign his own name.
Well, as long as he had written notes to read from or a teleprompter anyway…
I thought they would have finished Keystone during Trump!?
Unfortunately, the leftists still have the courts to gum things up.
“In a victory for 13 states that filed the legal challenge in Louisiana…”
It is ironic I think that 13 states gathered together to do this since that is the number of states that the U.S. started with back in the 18th century to begin with.
I forget where I heard this, but many today (especially on the Left) forget that the Federal Government exists today only with the approval of the states that created it with the constitution. Would it not be possible (in theory anyway) for the states to hold a Constitutional Convention and rewrite the Constitution? Or throw it out and start over again?
I realize the chances of any of that happening are probably somewhere between slim and none. I think it bears thinking about though at those times when the Federal Government demonstrates how arrogant, big-headed and gorged on power it can be at the expense of the states. Biden’s executive orders that killed the KXL pipeline and suspended O&G leasing on federal property are examples of this.
I often wonder if there are many things that the Federal govt does today that can be constitutionally challenged. Did our Founding Fathers intend the Federal Government to get this big and powerful? I don’t know.
At any rate, if this federal judge’s decision holds up, Biden will have to go back to the drawing boards if he seriously thinks that he can get rid of fossil fuels for the sake of the beloved climate alarmist narrative. What Congress does or does not do about fossil fuels and the climate alarmist narrative in the months ahead should be interesting.
See https://conventionofstates.com
“Article V of the U.S. Constitution gives states the power to call a Convention of States to propose amendments. It takes 34 states to call the convention and 38 to ratify any amendments that are proposed. Our convention would only allow the states to discuss amendments that, “limit the power and jurisdiction of the federal government, impose fiscal restraints, and place term limits on federal officials.”
This is NOT a Constitutional Convention, which is what the opponents of this action claim. The COS is for proposing amendments to the Constitution without any requirement to go through Congress or the President, (that is why those two entities oppose it). This is one of the safeguards the Founding Fathers put in the Constitution specifically for times like we have now.
You can check the progress of the COS on their site.
The Biden Admin has plenty of irrational explanations for the lease pause. The first being the fake climate crisis.
This is a normal, litigious step. Now, it will be moved up. ITMT, NO additional leases will be granted.
Bigger pic, most of the acreage under consideration is Trumpian YUGE goat pasture. That’s why recent auctions have been Trumpian YUGE busts.
I’m SO cool with continuing these auctions, as long as we don’t let the winners worm out on their drilling obligations. Extractors routinely over pay, which lowers my taxes. The pattern to date has been, winner wins, then sits on the acreage without incurring the penalties THEY agreed to w.r.t. drilling obligations
Come on bob we have passed the tipping point we can do whatever we want the planets doomed anyhow.
Big Oily Blob: Care to translate your word salad into English? Thanks.
“Care to translate your word salad into English?”
What got past you? Specifically. Use your words.
Per Sam Jackson (cleaned up).
ENGLISH! DO YOU SPEAK IT?
Poor Bob, no matter how badly he messes up, he is still incapable of admitting error.
Point out this Big Foot “error” that you refer to, and I’d happily admit it.
What drilling obligations? On federal leases? Are you sure?
The lessee can pay for the lease but decide to not drill and allow the lease to expire. Is there a different kind of federal lease?
True. But the operators want to – and have succeeded in – have(ing) it both ways. They get case by case forgiveness on those drilling obligations all the time, without suffering expiration.
Just another traditional, time honored, regulatory Ben Dover for the E&P’s. As enduring as the inevitable filings for royalty relief that are largely granted, pro forma.
No, we don’t, at least not in Federal waters.
If the lease hasn’t been drilled and production established, it expires on the expiration date. Lease owners can apply for Suspension of Operations (SOO) extensions and Suspension of Production (SOP) extensions.
SOO’s are only granted if an approved exploration plan is in place and they have a rig under contract to drill a well on that lease or if the operator was unable to drill due to government interference, as occurred in the aftermath of unlawful drilling moratorium after Macondo. Had Biden actually blocked permit approvals, there would have been a flood of SOO applications… But they didn’t.
SOP’s are granted if a discovery well has been drilled before the expiration date and the operator intends to complete it.
SOO’s aren’t routinely approved. SOP’s are routinely approved because a well was drilled and will be brought on production.
Since no new areas have been opened in the Gulf of Mexico in the past 40 years, without lease turnover, there wouldn’t be any need for lease sales.
“SOO’s are only granted if an approved exploration plan is in place and they have a rig under contract to drill a well on that lease.”
A non time lined process.
“SOP’s are granted if a discovery well has been drilled before the expiration date and the operator intends to complete it.”
Another one. Part of the reason for keeping engineering technicians around is to keep track of when to file for these routinely approved extensions.
Actually, I have no problem with these particular regulatory Ben Dovers, as long as there isn’t another reliable operator who wants to pursue true development. Lease auctions trigger the competitive impulses of the operators – who mostly use OPM – to over bid. Tax payers benefit.
Nothing on the royalty reduction Gong Show?
Your ignorance is mind boggling… Particularly for someone who supposedly worked in the industry.
SOO and SOP applications have to include a schedule of operations, as do unitization applications. Failure to substantially follow that schedule will result in termination of the lease.
“SOO and SOP applications have to include a schedule of operations, as do unitization applications. Failure to substantially follow that schedule will result in termination of the lease.”
A standard industry non response. Those “schedules of operations” are routine paperwork, and can be reworked, extended, and reapproved, pro forma, pretty much ad infinitum. They are handled much like the extensions granted for well abandonments. Whine and bully the industry friendly regulators until you get what you want. See my comment on the substantial part of the work products of engineering and land technicians above.
I’ll benefit the doubt and assume that, since you’re in exploration, you are protected from the operational realities. This is the normal case. If you had actual operations experience the scales would fall from your eyes.
And AGAIN, if things actually take more time – as opposed to more time to fund – then I’m ok with it.
If you think exploration is “protected from the operational realities,” you’ve never actually been near a real oil company.
I think that’s been obvious to most (yourself included) for a long time judging by his posts on the subject.
As soon as I see something like “Trumpian” in a post, I know it’s just drooling, spiteful, empty bloviation. But of course, bob couldn’t help but double down and use it twice. Why he posts here is anybody’s guess, but if he’s seeking negative responses that could indicate a serious mental condition that he should seek professional help for.
“As soon as I see something like “Trumpian” in a post, I know it’s just drooling, spiteful, empty bloviation.”
Unclutch those pearls Paul.
“ Why he posts here is anybody’s guess, but if he’s seeking negative responses that could indicate a serious mental condition that he should seek professional help for.”
It validates my claim that this is true subterranea here. But you make a good point. Mom always said to be nice to those people. They can’t help it…
One great way to deter an aggressive Russia is to keep oil prices down. There is a Goldilocks price out there, one that enables a profit and re-investments without funding Russian aggression. As always, it is the irreplaceable nation – America – that can make this happen… if cultic Climastrologists and Looney Liberals don’t screw it up.
Good job by the judge working within the law.
Build a just and equity energy future! That’s the mantra of green energy that is unjust and unequal because it is unreliable.
I never thought I’d live to see the day when Russian assets (e.g., LUKoil, Tatneft, Rosneft & Gazprom) would have less risk of government expropriation than Royal Dutch Shell, ExxonMobil, BP and Chevron.
…but that’s what Zhou Bai-den and the climate crackpots have accomplished.
Biden got bitch-slapped!
I’m certain the regulators in DC will be rushing, working overtime to approve those new leases. Uh huh.