The Interior Department announced it is disbursing almost $461 million in energy revenue to four Gulf of America energy-producing states, as the Trump administration seeks to ease rising gas prices.
Alabama, Louisiana, Mississippi and Texas will receive the largest disbursement ever made to the Gulf states and their coastal political subdivisions. They will obtain $52 million, $163 million, $54 million and $99 million, respectively.
The move is intended to expand American energy production while strengthening U.S. energy independence as the conflict in the Middle East rattles the global energy market, straining the flow of oil through the Strait of Hormuz.
Interior Secretary Doug Burgum credited President Trump’s “commitment to responsible energy development” and his signature One Big Beautiful Bill for the record distribution.
“By returning offshore revenues to the Gulf region, we are supporting the infrastructure, restoration work and local economies that make continued production possible,” he said in a statement. “These investments reflect a long-term vision for American Energy Dominance that expands opportunity, protects vital coastal resources and ensures the Gulf of America remains a cornerstone of our nation’s economic strength.”
This year’s distribution saw an increase through the One Big Beautiful Bill, which raised the Gulf revenue-sharing cap for coastal states.
The move comes as the Trump administration is determining how to ease the strain on Americans’ wallets after it launched a joint strike with Israel against Iran on Feb. 28.
The Environmental Protection Agency announced the temporary waiving of warm-weather restrictions for high-ethanol gasoline so that it could be sold year-round. And Energy Secretary Chris Wright issued an order to allow for restarting a pipeline off the coast of California that has been kept offline by the state for a decade.
As for the Gulf, the Trump administration recently cited “national security concerns” to justify an exemption from the Endangered Species Act for expanded oil and gas drilling. The Bureau of Ocean Energy Management also discreetly disclosed an approval for a $5 billion deepwater oil drilling project in the Gulf.
