U.S. Department of the Interior Minerals Management Service Office of Public Affairs

News Release

Gulf of Mexico Deep Water Oil and Gas Production Remains Strong in 2003

Deep water oil production in the Gulf of Mexico OCS in 2003 was an estimated 350 million barrels, increasing slightly from the 349 million barrels produced in 2002, the Department of the Interior’s Minerals Management Service (MMS) announced today. MMS also announced that deep water natural gas production grew to an estimated 1.42 trillion cubic feet (Tcf) in 2003, up from 1.33 Tcf produced in 2002.

Deep water oil production has risen 386% since 1996 and accounts for 62% of the total oil production in the Gulf of Mexico. Deep water gas production is up a dramatic 407% since 1996.

The deep water part of the Gulf of Mexico (the area in 1,000-feet and deeper water depths) has been a location of high exploration and development activity over the past decade.

“The extensive effort that the oil and gas industry has invested in this area continues to pay off. The deep water Gulf of Mexico is a shining star in the Nation’s energy portfolio,” noted MMS Director Johnnie Burton.

Production from all water depths in the federal portion of the Gulf of Mexico totaled an estimated 562 million barrels of oil and 4.44 Tcf of gas in 2003. The Gulf of Mexico is the single largest source of oil and gas for domestic consumption – supplying more of these resources to the U.S. market than any single domestic or foreign source.

Attached are oil and gas production charts for the Gulf of Mexico OCS Region.

The Minerals Management Service is the federal agency in the U.S. Department of the Interior that manages the nation’s oil, natural gas, and other mineral resources on the Outer Continental Shelf in federal offshore waters. The agency also collects, accounts for, and disburses mineral revenues from federal and American Indian lands. MMS disbursed more than $8 billion in fiscal year 2003 and more than $135 billion since the agency was created in 1982. Nearly $1 billion from those revenues go into the Land and Water Conservation Fund annually for the acquisition and development of state and federal park and recreation lands.

MMS Main Website:  www.mms.gov
Gulf of Mexico Website:  www.gomr.mms.gov

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