The US federal government has shut many services after failing to pass a spending bill, something that has implications for the highly regulated oil and gas sector.
On Friday, talks between House Republicans and President Barack Obama continued, with both sides characterizing the discussions as "constructive." Still, no agreement was reached on a plan to end the current stalemate over restoring government funding or raising the debt limit.
The lack of a continuing resolution to reopen the government puts in danger several key government functions, including the data collection activities of the Energy Information Administration.
The EIA said it would cease all data reporting and furlough its staff at the close of business Friday. Data will continue to be collected, but the EIA did not say how it would handle that data once funding is restored.
Meanwhile, the Bureau of Safety and Environmental Enforcement will provide Gulf of Mexico oil and gas storm updates when needed.
The government shutdown will delay many government energy-related reviews, including consideration of the 2014 Renewable Fuel Standard volume targets, LNG export applications and the review of the Keystone XL oil pipeline permit.
Contingency plans for the Department of Interior's three main oil and gas-related agencies -- the BSEE, the Bureau of Land Management and the Bureau of Ocean Energy Management -- are below:
** BSEE will continue to inspect offshore oil and gas operations as well as process applications for drilling permits and permits needed for other offshore activities. Production is not affected by the government shutdown.
** Most of the activities of BLM, which controls onshore oil and gas production, will cease. There is now a halt in processing of applications for permits to drill for oil and gas, as well as processing of lease sales, permits and other non-emergency authorizations of oil and gas permits.
** BLM will still inspect and enforce existing oil, natural gas, coal and other mineral extractions activities. Alaska pipeline operations will also continue.
** Most of the energy-related work of BOEM will cease. That includes conventional energy leasing, exploration plan reviews, economic analysis, resource evaluation and all activities under the five-year offshore leasing plan. The ongoing review of the apparent high bids placed in the Western Gulf of Mexico lease sale held in August will halt.
** All three agencies would function in the event of an oil spill or other related emergency.
