Obama Halts Drilling Projects, Defends Actions

President Obama said the government would ensure that BP paid for everything i i

hide captionPresident Obama said on Thursday the U.S. government would ensure that BP paid for everything involved in stopping the oil leak in the Gulf of Mexico.

Alex Brandon/AP
President Obama said the government would ensure that BP paid for everything

President Obama said on Thursday the U.S. government would ensure that BP paid for everything involved in stopping the oil leak in the Gulf of Mexico.

Alex Brandon/AP

President Obama vigorously defended his administration's response to the Gulf spill on Thursday, but he said he was mistaken in thinking that oil companies were adequately prepared to respond to such a disaster.

The president said he believed that oil companies such as BP, the operator of the Deepwater Horizon oil rig that exploded and sank last month, "had their act together when it came to worst-case scenarios."

"I was wrong," he conceded.

During the White House news conference, Obama announced new steps in the aftermath of the Gulf spill, including extending a moratorium on drilling permits for six months. He also said he was suspending planned exploration drilling off the coasts of Alaska and Virginia and on 33 wells currently being drilled in the Gulf of Mexico.

Some proposed lease sales off the coasts of Alaska and Virginia and the Gulf Coast will be delayed or canceled.

Those steps, along with new oversight and safety standards, are the results of a 30-day safety review of offshore drilling conducted by Interior Secretary Ken Salazar at Obama's direction.

In March, Obama and Salazar canceled a planned 2011 lease sale in Alaska's Bristol Bay, where oil development was proposed by the Bush administration. They also canceled four scheduled lease sales in the Chukchi and Beaufort seas and said no additional leases would be offered there until more scientific data are collected.

An administration official said Salazar believes that fisheries, tourism and environmental values in Bristol Bay make the area inappropriate for oil and gas drilling.

  • A boat uses a boom and absorbent material to soak up oil in Cat Bay, near Grand Isle, La., on June 28. A tropical storm is expected to hit the Gulf and impede cleanup efforts.
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    A boat uses a boom and absorbent material to soak up oil in Cat Bay, near Grand Isle, La., on June 28. A tropical storm is expected to hit the Gulf and impede cleanup efforts.
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  • Florida Gov. Charlie Crist and wife Carole Rome Crist (right) stand with others during a Hands Across the Sand event June 26 in Pensacola, Fla. The event was staged across the nation to protest offshore oil drilling.
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    Florida Gov. Charlie Crist and wife Carole Rome Crist (right) stand with others during a Hands Across the Sand event June 26 in Pensacola, Fla. The event was staged across the nation to protest offshore oil drilling.
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  • Oil clouds the surface of Barataria Bay near Port Sulpher, La., on June 19.
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    Oil clouds the surface of Barataria Bay near Port Sulpher, La., on June 19.
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  • Workers adjust piping while drilling a relief well at the site of the Deepwater Horizon oil spill.
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    Workers adjust piping while drilling a relief well at the site of the Deepwater Horizon oil spill.
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  • A dolphin rises up out of the water near Grand Terre Island off the coast of Louisiana on June 14.
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    A dolphin rises up out of the water near Grand Terre Island off the coast of Louisiana on June 14.
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  • President Obama stands with Mississippi Gov. Haley Barbour (right) and Gulfport, Miss., Mayor George Schloegel after meeting with residents affected by the oil spill.
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    President Obama stands with Mississippi Gov. Haley Barbour (right) and Gulfport, Miss., Mayor George Schloegel after meeting with residents affected by the oil spill.
    Charles Dharapak/AP
  • Crude oil washes ashore in Orange Beach, Ala., on June 12. Oil slicks, 4 to 6 inches thick in some parts, have washed up along the Alabama coast.
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    Crude oil washes ashore in Orange Beach, Ala., on June 12. Oil slicks, 4 to 6 inches thick in some parts, have washed up along the Alabama coast.
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  • A volunteer uses a toothbrush to clean an oil-covered white pelican at the Fort Jackson Oiled Wildlife Rehabilitation Center in Buras, La., June 9.
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    A volunteer uses a toothbrush to clean an oil-covered white pelican at the Fort Jackson Oiled Wildlife Rehabilitation Center in Buras, La., June 9.
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  • A shrimp boat skims oil from the surface of the water just off Orange Beach, Ala., as a family enjoys the surf. Oily tar balls have started washing up on Orange Beach and beaches in the western Florida panhandle.
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    A shrimp boat skims oil from the surface of the water just off Orange Beach, Ala., as a family enjoys the surf. Oily tar balls have started washing up on Orange Beach and beaches in the western Florida panhandle.
    Dave Martin/AP
  • Sand from a dredge is pumped onto East Grand Terre Island, La., to provide a barrier against the Deepwater Horizon oil spill, June 8.
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    Sand from a dredge is pumped onto East Grand Terre Island, La., to provide a barrier against the Deepwater Horizon oil spill, June 8.
    Charlie Riedel/AP
  • A dead turtle floats on a pool of oil from the Deepwater Horizon spill in Barataria Bay off the coast of Louisiana on June 7.
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    A dead turtle floats on a pool of oil from the Deepwater Horizon spill in Barataria Bay off the coast of Louisiana on June 7.
    Charlie Riedel/AP
  • Workers use absorbent pads to remove oil that has washed ashore from the spill in Grand Isle, La., June 6.
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    Workers use absorbent pads to remove oil that has washed ashore from the spill in Grand Isle, La., June 6.
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  • Plaquemines Parish coastal zone director P.J. Hahn lifts an oil-covered pelican out of the water on Queen Bess Island in Plaquemines Parish, La., June 5.
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    Plaquemines Parish coastal zone director P.J. Hahn lifts an oil-covered pelican out of the water on Queen Bess Island in Plaquemines Parish, La., June 5.
    Gerald Herbert/AP
  • Heavy oil pools along the side of a boom just outside Cat Island in Grand Isle, La., June 6.
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    Heavy oil pools along the side of a boom just outside Cat Island in Grand Isle, La., June 6.
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  • President Obama walks alongside Grand Isle Mayor David Camardelle (from right), U.S. Coast Guard Adm. Thad Allen, who is in charge of the federal response to the spill, and Chris Camardelle after meeting with local business owners in Grand Isle, La., June 4.
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    President Obama walks alongside Grand Isle Mayor David Camardelle (from right), U.S. Coast Guard Adm. Thad Allen, who is in charge of the federal response to the spill, and Chris Camardelle after meeting with local business owners in Grand Isle, La., June 4.
    Saul Loeb/AFP/Getty Images
  • A brown pelican sits on the beach at East Grand Terre Island along the Louisiana coast after being drenched in oil from the BP Deepwater Horizon oil spill, June 3.
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    A brown pelican sits on the beach at East Grand Terre Island along the Louisiana coast after being drenched in oil from the BP Deepwater Horizon oil spill, June 3.
    Charlie Riedel/AP
  • U.S. Attorney General Eric Holder announces that the Justice Department has launched a criminal investigation into the BP oil spill. With him, from left: Stephanie Finley and Jim Letten, U.S. attorneys for the Western District of Louisiana; Ignacia Moreno, assistant attorney general for the Environment and Natural Resources Division; Tony West, assistant attorney general, Civil Division; and Do...
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    U.S. Attorney General Eric Holder announces that the Justice Department has launched a criminal investigation into the BP oil spill. With him, from left: Stephanie Finley and Jim Letten, U.S. attorneys for the Western District of Louisiana; Ignacia Moreno, assistant attorney general for the Environment and Natural Resources Division; Tony West, assistant attorney general, Civil Division; and Don Burkhalter, U.S. attorney for the Southern District of Mississippi.
    Cheryl Gerber/AP
  • The oil slick off the coast of Louisiana, seen from above.
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    The oil slick off the coast of Louisiana, seen from above.
    NASA via Getty Images
  • A worker leaves the beach in Grand Isle, La., on May 30. BP is turning to yet another mix of undersea robot maneuvers to help keep more crude oil from flowing into the Gulf.
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    A worker leaves the beach in Grand Isle, La., on May 30. BP is turning to yet another mix of undersea robot maneuvers to help keep more crude oil from flowing into the Gulf.
    Jae C. Hong/AP
  • Protesters cover themselves with a water and paint mixture during a demonstration at a BP gas station in New York City on May 28.
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    Protesters cover themselves with a water and paint mixture during a demonstration at a BP gas station in New York City on May 28.
    Mary Altaffer/AP
  • Workers clean up oil in Pass a Loutre, La.  The latest attempt to plug the leak was unsuccessful.
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    Workers clean up oil in Pass a Loutre, La. The latest attempt to plug the leak was unsuccessful.
    Jae C. Hong, File/AP
  • Residents listen to a discussion with parish officials and a BP representative on May 25 in Chalmette, La. Officials now say that it may be impossible to clean the hundreds of miles of coastal wetlands affected by the massive oil spill.
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    Residents listen to a discussion with parish officials and a BP representative on May 25 in Chalmette, La. Officials now say that it may be impossible to clean the hundreds of miles of coastal wetlands affected by the massive oil spill.
    Sean Gardner/Getty Images
  • An oil-soaked pelican takes flight after Louisiana Fish and Wildlife employees tried to corral it on an island in Barataria Bay on the coast of Louisiana. The island, which is home to hundreds of brown pelican nests as well at terns, gulls and roseate spoonbills, is impacted by oil from the Deepwater Horizon spill.
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    An oil-soaked pelican takes flight after Louisiana Fish and Wildlife employees tried to corral it on an island in Barataria Bay on the coast of Louisiana. The island, which is home to hundreds of brown pelican nests as well at terns, gulls and roseate spoonbills, is impacted by oil from the Deepwater Horizon spill.
    Gerald Herbert/AP
  • A sign warns the public to stay away from the beach on Grand Isle, La. Officials closed the oil-covered beaches to the public indefinitely on Saturday.
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    A sign warns the public to stay away from the beach on Grand Isle, La. Officials closed the oil-covered beaches to the public indefinitely on Saturday.
    John Moore/Getty Images
  • Pelican eggs stained with oil sit in a nest on an island in Barataria Bay on May 22.
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    Pelican eggs stained with oil sit in a nest on an island in Barataria Bay on May 22.
    Gerald Herbert/AP
  • A bird flies over oil that has collected on wetlands on Elmer's Island in Grand Isle, La., May 20. The oil came inland despite oil booms that were placed at the wetlands' mouth on the Gulf of Mexico.
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    A bird flies over oil that has collected on wetlands on Elmer's Island in Grand Isle, La., May 20. The oil came inland despite oil booms that were placed at the wetlands' mouth on the Gulf of Mexico.
    Patrick Semansky/AP
  • Members of the Louisiana National Guard build a land bridge at the mouth of wetlands on Elmer's Island.
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    Members of the Louisiana National Guard build a land bridge at the mouth of wetlands on Elmer's Island.
    Patrick Semansky/AP
  • The hands of boat captain Preston Morris are covered in oil after collecting surface samples from the marsh of Pass a Loutre, La., on May 19.
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    The hands of boat captain Preston Morris are covered in oil after collecting surface samples from the marsh of Pass a Loutre, La., on May 19.
    Gerald Herbert/AP
  • Louisiana Gov. Bobby Jindal (center) and Plaquemines Parish President Billy Nungesser (right) tour the oil-impacted marsh of Pass a Loutre, La. "This is the heavy oil that everyone's been fearing that is here now," said Jindal.
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    Louisiana Gov. Bobby Jindal (center) and Plaquemines Parish President Billy Nungesser (right) tour the oil-impacted marsh of Pass a Loutre, La. "This is the heavy oil that everyone's been fearing that is here now," said Jindal.
    Gerald Herbert/AP
  • BP Chairman and President Lamar McKay (left), with Transocean President and CEO Steven Newman (center) and Applied Science Associates Principal Deborah French McCay, testifies during a Senate Committee on Commerce, Science, and Transportation hearing May 18 on response efforts to the Gulf Coast oil spill.
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    BP Chairman and President Lamar McKay (left), with Transocean President and CEO Steven Newman (center) and Applied Science Associates Principal Deborah French McCay, testifies during a Senate Committee on Commerce, Science, and Transportation hearing May 18 on response efforts to the Gulf Coast oil spill.
    Manuel Balce Ceneta/AP
  • This undated frame grab image received from BP and provided by the Senate Environment and Public Works Committee shows details of the oil spill in the Gulf of Mexico. BP has agreed to display a live video feed of the oil gusher on the Select Committee on Energy Independence and Global Warming Committee's website beginning Thursday evening.
    Hide caption
    This undated frame grab image received from BP and provided by the Senate Environment and Public Works Committee shows details of the oil spill in the Gulf of Mexico. BP has agreed to display a live video feed of the oil gusher on the Select Committee on Energy Independence and Global Warming Committee's website beginning Thursday evening.
    Senate Environment and Public Works Committee/AP
  • President Obama speaks with local fishermen about how they are affected by the oil spill in Venice, La., on May 2.
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    President Obama speaks with local fishermen about how they are affected by the oil spill in Venice, La., on May 2.
    Saul Loeb/AFP/Getty Images
  • Danene Birtell with Tri-State Bird Rescue and Research tends to a Northern Gannet in Fort Jackson, La., on April 30. The bird, normally white when full grown, is covered in oil from the oil spill.
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    Danene Birtell with Tri-State Bird Rescue and Research tends to a Northern Gannet in Fort Jackson, La., on April 30. The bird, normally white when full grown, is covered in oil from the oil spill.
    Alex Brandon/AP
  • Since the explosion, a third oil leak has been discovered in the blown-out well.
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    Since the explosion, a third oil leak has been discovered in the blown-out well.
    Gerald Herbert/AP
  • In this aerial photo taken April 21 more than 50 miles southeast of Venice, La., the Deepwater Horizon oil rig burns.
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    In this aerial photo taken April 21 more than 50 miles southeast of Venice, La., the Deepwater Horizon oil rig burns.
    Gerald Herbert/AP
  • Tendrils of oil mar the waters of the Gulf of Mexico in this satellite image taken Monday. An estimated 5,000 barrels of oil a day are seeping into the Gulf, after an explosion last week on a drilling rig about 50 miles off the Louisiana coast.
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    Tendrils of oil mar the waters of the Gulf of Mexico in this satellite image taken Monday. An estimated 5,000 barrels of oil a day are seeping into the Gulf, after an explosion last week on a drilling rig about 50 miles off the Louisiana coast.
    Courtesy of Digital Globe

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In Thursday's East Room address, Obama also hit back at critics who have accused his administration of taking a hands-off approach to the Gulf spill. He said the White House had been "singularly focused" since the disaster began.

"The day the rig collapsed and sank into the ocean, I had my team in the Oval Office. I'm briefed every day," the president said. "Those who think that we were either slow on our response or lacked urgency don't know the facts. This has been our highest priority since this crisis occurred."

In response to a question about why it took so long to get resources in place to combat the spill, Obama said authorities had a difficult time "understanding what the worst-case scenarios could be."

"What is true is that when it comes to stopping the leak down below, the federal government does not possess superior technology to BP," he said.

Obama also clarified that BP is taking orders from Coast Guard Adm. Thad Allen, who is directing the federal response to the spill: "Make no mistake; BP is acting at our direction."

The president noted that some 1,400 National Guard troops from four states have been deployed to help tackle the containment and cleanup. Federal officials also have approved part of Louisiana's proposal to erect sand barrier islands to try to keep the oil from washing ashore.

The Gulf disaster highlights the needs to develop alternative sources of energy, Obama said. The House recently passed a bill to move the nation toward a clean energy economy, and a similar bill is being considered in the Senate.

"If nothing else, this disaster should serve as a wake-up call that it's time to move forward on this legislation," he said.

"It's time to accelerate the competition with countries like China who've already realized the future lies in renewable energy, and it's time to seize that future ourselves. So I call on Democrats and Republicans in Congress, working with my administration, to answer this challenge once and for all."

Obama denounced what he called the oil industry's "cozy and sometimes corrupt" ties with government regulators. He spoke shortly after the head of the Minerals Management Service, the troubled agency that oversees offshore drilling, resigned under pressure. The departure of Director Elizabeth Birnbaum was announced hours before the news conference began.

But Obama was careful to emphasize that the problems at the agency predated his administration, noting that "when Secretary Salazar took office, he found a Minerals and Management Service that has been plagued by corruption for years."

Asked about inevitable comparisons between his administration's handling of the disaster with his predecessor's handling of Hurricane Katrina in 2005, Obama said: "I'll leave it to you guys to make those comparisons. ... What I'm thinking about is how do you solve the problem."

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