Sec. 2. Security assessment of offshore energy resource reserves
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In this section: The term Secretaries means the Secretary of Energy, the Secretary of the Interior, and the Secretary of Defense. The term undiscovered resource means an oil and gas resource postulated, on the basis of geologic knowledge or theory, to exist outside of known fields or accumulations. To enhance United States national security and energy independence, the Secretaries shall establish a joint program (referred to in this section as the program ) for offshore geophysical and geological resource mapping and analysis of domestic resources critical to national security.
The purpose of the program is to ensure adequate intelligence on the supply and security of offshore energy resources of reliance to the domestic population and allied nations, including natural gas, petroleum (including crude oil and petroleum products), and critical minerals. In carrying out the program, the Secretaries may enter into 1 or more agreements directly with a third party under such terms and conditions as the Secretaries determine appropriate. Not later than 1 year after the date of enactment of this Act, the Secretaries shall submit a one-time report to the Committee on Energy and Natural Resources and the Committee on Foreign Relations of the Senate and the Committee on Energy and Commerce, the Committee on Natural Resources, and the Committee on Foreign Affairs of the House of Representatives that includes the following:
An assessment of the approximate quantity of undiscovered resources in each offshore regional planning area as defined by the 2024–2029 National Outer Continental Shelf Oil and Gas Leasing Proposed Final Program of September 29, 2023. In carrying out such assessment, the Secretaries shall— prioritize the acquisition and use of advanced geophysical and geotechnical data and methods; acquire and apply new and emerging modeling and analytic technologies, including data analysis tools, quantum computing, modeling, and geographic information systems, to approximate the quantity and establish a peer-reviewed range of undiscovered resources in each regional planning area with a discussion of the upper and lower bound of the estimates with that discussion to include recommendations as to how to reduce the range of uncertainty; and utilize any existing maritime vessels or deployed capability, including any geoseismic, sonar, or related mapping technologies.
An assessment of how the unavailability for leasing of any lands that are withdrawn under section 12 of the Outer Continental Shelf Lands Act ( 43 U.S.C. 1341 ) or part of the National Marine Sanctuary System established by section 301(c) of the National Marine Sanctuaries Act ( 16 U.S.C. 1431(c) ) affects— the exploration, development, and production of oil and gas; national security, including the Nation’s ability to supply the Armed Forces, its allies, and trade partners with petroleum products and related fuels; domestic jobs and employment; the amount of revenue States and coastal political subdivisions receive pursuant to section 105 of the Gulf of Mexico Energy Security Act of 2006 ( 43 U.S.C. 1331 note); and the ability of the Secretary of Energy to acquire and exchange petroleum products for storage in the Strategic Petroleum Reserve.
An assessment of undiscovered subsea resources, materials, and anomalies that could be utilized by commercial or in national security operations, including stone, sand, gravel, marine minerals, or offshore critical minerals. Section 357 of the Energy Policy Act of 2005 ( 42 U.S.C. 15912 ) is amended— in subsection (a)(1), by striking of Mexico and Canada ; by redesignating subsection
(b)as subsection (c); by inserting after subsection
(a)the following: The inventory and analysis conducted under subsection
(a)shall include the following: An assessment of the approximate quantity of undiscovered resources in each regional planning area as defined by the 2024–2029 National Outer Continental Shelf Oil and Gas Leasing Proposed Final Program of September 29, 2023, which shall include the following: A detailed analysis of how the future production of these undiscovered resources could influence the United States capacity to competitively produce, market, and export hydrocarbons on a global scale. This assessment should consider key market variables such as global supply and demand dynamics, projected price points, geopolitical factors, and the role of United States production in maintaining global energy security. An economic analysis of how the development and production of these undiscovered resources would affect domestic employment across the supply chain. This should include direct, indirect, and induced job impacts, emphasizing the potential for job creation in exploration, production, refining, logistics, and associated industries. To the fullest extent practicable, a comparative analysis of offshore oil and gas exploration and development practices for each major offshore producing country shall be conducted within 10 years of the passage of the CORE Act and once every 10 years thereafter. This analysis shall provide the following: Data on the number of offshore acres offered for lease, including the frequency of lease auctions, sales, or lease issuances. This should encompass lease structures, fiscal terms, and competitive positioning relative to United States leasing practices. Detailed reporting on the volume of oil produced, measured in barrels on an annual basis, including historical trends, production forecasts, and the influence of technological advancements on production efficiency and recovery rates. Detailed reporting on the volume of gas produced, measured in cubic feet, accounting for regional market demands, export capabilities, and contributions to energy diversification strategies. An assessment of both undiscovered and discovered offshore oil and gas resources, including probabilistic estimates of resource volumes that consider geological, technological, and market factors impacting exploration success and resource recoverability. An identification and assessment of how the unavailability for leasing of any lands that are withdrawn under section 12 of the Outer Continental Shelf Lands Act ( 43 U.S.C. 1341 ) or part of the National Marine Sanctuary System established by section 301(c) of the National Marine Sanctuaries Act ( 16 U.S.C. 1431(c) ) affects— the exploration, development, and production of oil and gas; national security, including the Nation’s ability to supply the Armed Forces, its allies, and trade partners with petroleum products and related fuels; domestic jobs and employment; the amount of revenue States and coastal political subdivisions receive pursuant to section 105 of the Gulf of Mexico Energy Security Act of 2006 ( 43 U.S.C. 1331 note); and the ability of the Secretary of Energy to acquire and exchange petroleum products for storage in the Strategic Petroleum Reserve. ; in subsection (c), as so redesignated— by striking The Secretary shall submit and inserting Not later than 365 days after the date of enactment of the CORE Act, the Secretary shall submit ; and by striking , within 6 months of the date of enactment of the section ; and by adding at the end the following: The Secretary of the Interior shall periodically conduct an assessment of the costs, benefits, and accuracy of the models utilized by the Bureau of Ocean Energy Management to conduct resource assessments. In carrying out such assessment, the Secretary of the Interior shall jointly consult with Society of Petroleum Engineers’ Resources and Reserves Committee, the National Petroleum Council, and also the United States Association for Energy Economics, with respect to recommending new methodologies, if deficiencies these groups identified exist in current practices or if potential benefits could be realized from employing new methods of analysis. The initial assessment shall be conducted not later than 1 year after the date of enactment of the CORE Act, and subsequent assessments not later than every 10 years thereafter. The National Petroleum Council shall lead joint consultations with the Secretary of the Interior. Following each assessment conducted under paragraph (1), the Secretary of the Interior shall update the assessment methodologies used in the comprehensive inventory of U.S. Outer Continental Shelf Oil and Natural Gas Resources. The Secretary shall also prepare a report, based on the timelines in paragraph (1), which shall include the following: A clear, detailed explanation of any updates made to the assessment methodologies based on the joint consultations with the Society of Petroleum Engineers’ Resources and Reserves Committee, the National Petroleum Council, and the United States Association for Energy Economics. An evaluation describing how the updates improve the accuracy, cost-effectiveness, and reliability of the resource assessments. If any recommended updates are not incorporated, the report must provide a detailed explanation of why these updates were not adopted, including any technical, legal, or practical constraints that prevented their implementation. .
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Sec. 2
Security assessment of offshore energy resource reserves
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