The U.S. Bureau of Ocean Energy Management (BOEM) intends to publish a proposed notice of sale (PNOS) for new oil and gas acreage in the Gulf of America’s Outer Continental Shelf (OCS).
As disclosed, approximately 15,000 unleased blocks situated 3 to 231 miles offshore across the Gulf’s Western, Central, and Eastern planning areas will be offered in Lease Sale 262 . The leases awarded through this will be for oil and gas exploration and development only.
After making the notice of availability for the PNOS available for public comments in the Federal Register on June 26, 2025, it will officially be published on June 27, 2025, in line with the earlier announced schedule . This will be followed by a 60-day comment period for the affected state governors and local governments.
Following the comment period, BOEM will issue a final notice of sale in the Federal Register at least 30 days before the scheduled public bid reading, which will be live-streamed via Zoom. This is proposed to take place on December 10, 2025.
This is the first of three planned lease sales in the Gulf of America under the 2024–2029 OCS Oil and Gas Leasing Program. BOEM said that the development of a new National Outer Continental Shelf Oil and Gas Leasing Program is underway, offering additional leasing opportunities.
“Offshore oil and gas play a vital role in our nation’s energy portfolio, with the Gulf of America supplying 14% of domestically produced oil,” said BOEM’s Principal Deputy Director Matt Giacona . “This proposed lease sale demonstrates BOEM’s commitment to advancing American Energy Dominance and fostering the production of affordable, reliable energy resources for the nation.”
The OCS spans approximately 160 million acres and is estimated to contain around 48 billion barrels of undiscovered, recoverable oil and 141 trillion cubic feet of natural gas. The blocks under PNOS cover roughly half of this, or 80 million acres, in water depths ranging from 9 feet to more than 11,100 feet (3 to 3,400 meters).
Certain areas may be excluded from this lease sale, including blocks subject to the presidential withdrawal from September 8, 2020, blocks adjacent to or beyond the U.S. Exclusive Economic Zone in the northern portion of the Eastern Gap, and blocks within the current boundaries of the Flower Garden Banks National Marine Sanctuary.
In this context, Governors Josh Stein of North Carolina and Henry McMaster of South Carolina submitted a joint letter asking the Trump administration to maintain its moratorium on offshore drilling off the North and South Carolina coasts.
As explained by BOEM, OCS oil and gas activities generate billions of dollars from lease sales, rental fees, and royalties. The largest portion goes to the General Fund of the U.S. Treasury, which is used for funding the daily operations of the federal government, including infrastructure, education, and public services, thus benefiting U.S. citizens.
To encourage potential buyers to take part in the lease sale, BOEM intends to reduce the percentage amount of obligatory royalty payment for offshore blocks’ lease.
“To support robust industry participation, lower production costs, and unleash the full potential of the Gulf of America’s offshore energy reserves, BOEM is proposing a royalty rate of 16 ⅔ percent for both shallow and deepwater leases—the lowest rate for deepwater since 2007, ” noted BOEM’s Acting Regional Director for the Gulf of America, Laura Robbins .
Energy independence is seen as a cornerstone of U.S. economic strength, national security, and global stability, reducing reliance on what BOEM says are unstable foreign producers. The proposed lease sale is expected to ensure affordable energy for consumers, strengthen the domestic industry, and reinforce the country’s role as an energy superpower.