Louisiana Sues to Block Offshore Leases

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Gov. Kathleen Blanco sued the federal government on Thursday in an effort to increase Louisiana's cut of the federal royalties generated by oil production off the state's coast.

The suit seeks to block the federal Mineral Management Service from holding a scheduled Aug. 16 lease sale of 4,000 blocks in the western Gulf of Mexico for oil and gas exploration, accusing the agency of disregarding the environmental damage caused by the drilling. In a statement, Blanco said the agency plans to hold the sale before getting adequate information about additional damage done to the coast last year by Hurricanes Katrina and Rita.

``This action shows a callous disregard for the serious concerns the state has articulated in letters requesting the lease sale be postponed,'' Blanco said.

MMS, a part of the Department of the Interior, issued a statement saying the agency is ``confident that we have conducted sufficient analyses to make an informed decision on proceeding'' with the sale.


http://www.guardian.co.uk/worldlatest/story/0,,-5965439,00.html