Virginia Governor to Act on Federal Exemption on Moratorium on Atlantic Offshore Drilling

The Mid-Atlantic planning area, set by the Interior Department's Minerals Management Services covers 130,000 square miles off eight states. Thirty-four wells were drilled there in the 1970's and 1980's. Drilling was also planned off the North Carolina coast at the same time, but environmental lawsuits halted all operations, which were given up in late 2000.

The Minerals Management Services thinks that natural gas could be found along the outer continental shelf, based on seismic images of the sea floor that show different rock layers. Older rock layers older than 65 million years could hold gas, which is produced under higher pressure and temperature than oil.

It is estimated that the Mid-Atlantic could produce over 10 trillion cubic feet of natural gas. By comparison, the Gulf of Mexico produces 4 to 5 trillion cubic feet each year, which is enough to supply 25 % of the U.S. demand.