The Department of the Interior has announced that the Bureau of Ocean Energy Management (BOEM) completed Lease Sale Big Beautiful Gulf 1, marking the first mandatory offshore oil and gas lease sale under the One Big Beautiful Bill Act. The auction resulted in $279.4 million in high bids for 181 blocks across 80 million acres in federal waters in the Gulf of America. Thirty companies participated, submitting a total of 219 bids amounting to $371.9 million.
Secretary of the Interior Doug Burgum stated, “President Trump made clear from day one that the United States will no longer be held back by bad policy or foreign dependence. Today’s lease sale is another major milestone in rebuilding American Energy Dominance by unlocking investment, strengthening our energy security, creating jobs and ensuring Americans have access to affordable and reliable energy. The Trump administration is delivering results, and the Gulf of America is once again leading the way.”
This lease sale supports Executive Order 14154, “Unleashing American Energy,” which instructs federal agencies to accelerate offshore oil and gas development with aims to lower energy costs, enhance national security, and improve U.S. competitiveness globally.
Acting BOEM Director Matt Giacona commented on industry response: “The strong bidding we saw today reflects sustained industry confidence in the long-term potential of the U.S. outer continental shelf and the clear direction of this Administration to expand responsible offshore development.”
The final notice for this sale was published on November 10, 2025. For the first time in ten years, companies could attend in person, with proceedings also livestreamed publicly. BOEM plans to post results on its website and will publish a full statistical summary within 90 days.
Approximately 15,000 unleased blocks were offered across Western, Central, and parts of Eastern Gulf Planning Areas. To encourage participation and investment, a royalty rate of 12.5% was set for both shallow and deepwater leases—the lowest deepwater rate since 2007.
The Outer Continental Shelf in the Gulf covers about 160 million acres and contains an estimated 29.59 billion barrels of undiscovered oil along with nearly 54.84 trillion cubic feet of natural gas—figures that support future domestic production capacity.
Revenue from these activities continues to fund several government programs; during fiscal year 2024 alone, offshore development produced $6.5 billion in royalties as well as significant amounts through bonuses and rental payments.
Lease Sale Big Beautiful Gulf 1 represents a renewed approach toward offshore energy focused on national security, economic opportunity expansion, and resource stewardship. BOEM stated it would continue advancing efforts aligned with current administration policies to maximize offshore energy output for public benefit.
Further details including maps and bid outcomes can be found at www.boem.gov/Lease-Sale-BBG1.
