Technology and oil and gas development in the exclusive economic zone

The value of subsea oil and gas currently recovered from U.S. waters approaches $33 billion annually. In terms of value and strategic importance, petroleum resources will likely continue to dominate the economic activities in the U.S. Exclusive Economic Zone. However, the future prospects for offshore oil and gas development are changing. New emphasis is being placed on exploration in deepwater (> 400 m) and in the ice-plagued regions of the Arctic. Resource development in these frontier areas requires technological advancements and greater investment risks for the offshore industry. This translates into huge investments that will require immense commercial discoveries of recoverable oil in order to return a profit to investors.