Offshore oil and gas in the Gulf of Mexico (United States) Offshore oil and gas in the Gulf of Mexico (United States) Offshore oil and gas in the Gulf of Mexico is a major source of oil and natural gas in the United States. The western and central Gulf of Mexico, which includes offshore Texas, Louisiana, Mississippi, and Alabama, is one of the major petroleum-producing areas of the United States. Oil production from US federal waters in the Gulf of Mexico reached an all-time annual high of 1.65 million barrels per day in 2017. Oil production is expected to continue the upward trend in 2018 and 2019, based on ten new
Offshore oil and gas in the Gulf of Mexico (United States) 1938, but the first oil discovery was not made until 1941, off of Jefferson County. Through 2007, Texas state waters have produced of oil and . In 2007, Texas state waters produced of oil and condensate and gas. The first oil test in offshore Alabama was made in Mobile Bay in 1951. The first discovery in state waters of offshore Alabama was made in 1979. By 2005 a total of 80 wells have been drilled in state water, and production in Alabama state water provided per year, half the state's gas production. The eastern Gulf of Mexico, which includes offshore