Mineral Management Services division of the Department of the Interior issued a hasty statement that they were suspending all new permits in the Gulf.
Today the MMS issued a correction of their previous anouncement saying that shallow water permits are still being issued under normal conditions.
You can read the full article on both msn.com and NewYorkTimes.com, but the most interesting part of this is that Wall Street traders are scrambling to analyse this and separate the wheat from the chaff.
BP is dragging down the whole sector.
From last earnings report P/E is still very low @10 so I still consider it a buy.
"An already bad situation will become even worse if government stands in the way of exploration in shallow waters. If anything, increased shallow water production may be needed to offset the losses associated with the deepwater moratorium currently in place".
Bodes well for DVR as they are starting to gain as the general market is faltering on irrelevant issues like Greece and Hungary.