Why Aren't Oil Companies Drilling?

Oil Companies Are Only Exploring One-Third Of U.S. Land They Have Rights To

(CBS) It was the battle hymn of the Republican National Convention last summer: “Drill baby, drill.”

With gas prices soaring to $4 or more a gallon, the call for off-shore oil drilling in places previously off-limits hit a fever pitch, reports CBS News chief investigative reporter Armen Keteyian.

But despite making record profits, today, oil companies are drilling on less than one-third of the acreage in this country that they have the rights to.

John Felmi represents the oil industry.

“The leases aren’t being used because there’s probably no oil there,” said Felmi, the chief economist with the American Petroleum Institute.

CBS