BOEM Takes Next Step Toward Federal Oil And Gas Leasing Offshore California

On February 27, 2026, the Bureau of Ocean Energy ("BOEM") published its Notice of Intent (the "NOI") to prepare a programmatic environmental impact statement for the Northern, Central and Southern California Planning Areas of the Outer Continental Shelf (the "Programmatic EIS") in furtherance of proposed oil and gas lease sales in the Pacific Region under the 11th National OCS Oil and Gas Leasing Program (the "11th OCS Program"). The NOI is not an announcement of an oil and gas lease sale, but rather, is the start of information gathering for identifying issues and considering potential alternatives for leasing in the California Planning Areas, none of which have been offered for lease since October 1984, more than 40 years ago. The NOI opens up a 30-day period for public comment on the potential issues, alternatives, and mitigation factors that should be considered under the Programmatic EIS.

BOEM prepares programmatic environmental impact statements ("PEIS") on a planning area basis in order to assess potential environmental impacts, and mitigation measures, which may result from the exploration, drilling, operating, and decommissioning of oil and gas leases on the outer continental shelf in the planning area under review. A PEIS is prepared pursuant to the National Environmental Policy Act and seeks to determine whether the environmental impacts from leasing on the blocks to be potentially offered are adequately mitigated. As a result of the findings in a PEIS, certain areas and/or blocks may be excluded by BOEM from oil and gas lease sales.

As of early 2026, there were 30 active oil and gas leases in the Pacific Region, all in the Southern California Planning Area, representing approximately 152,578 acres out of 205 million acres of the Pacific Region. Only 8 entities hold record title interests in oil and gas leases located in the Southern California Planning Area, with 5 entities serving as operators covering 23 platforms. BOEM estimates that there are 10.20 billion barrels of oil ("Bbo") and 16.07 trillion cubic feet of natural gas ("Tcf") of undiscovered technically recoverable reserves in the Pacific Region (with 9.81 Bbo and 13.82 Tcf attributable to the California Planning Areas).

Six oil and gas lease sales are planned for the Pacific Region under the 11th OCS Program (limited to the Northern, Central, and Southern California Planning Areas) beginning next year. Two lease sales, covering the Central and Southern California Planning Areas, are planned under the 11th OCS Program to occur in 2027, with three additional sales to be held in 2029, covering the Central, Northern, and Southern California Planning areas, and one final lease sale to be held in 2030, covering the Southern California Planning Area.

Prospective leaseholders should be aware that BOEM and the Bureau of Safety and Environmental Enforcement ("BSEE") (acting on behalf of the Secretary of the Department of Interior) coordinate and consult with affected state and local governments in the administration of leasing and regulation of operations under the Outer Continental Shelf Lands Act. Further, under the Coastal Zone Management Act, each federal agency activity affecting the coastal zone is to be carried out in a manner which is consistent with policies of affected state management programs. In addition, state and local governments have jurisdiction over pipeline segments and other facilities in state waters and onshore necessary for offshore oil and gas production.

Attorneys at Liskow have extensive knowledge and experience with OCS leasing in the Pacific Region, and have assisted clients with matters involving acquiring and transferring Pacific OCS lease interests, including related due diligence, and various regulatory, operational, and decommissioning issues and concerns. We are also familiar with the Pacific Region's federal regulatory environment.

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