The Trump administration is changing the way offshore oil and gas export terminals are approved. They are shifting the responsibility for deepwater port licenses from the U.S. Coast Guard to the Maritime Administration. This move aims to reduce existing backlogs and speed up project approvals.
On Monday, Transportation Secretary Sean Duffy announced this change, highlighting it as a crucial step in the administration's effort to increase U.S. energy production and exports.
“The Deepwater Port Program is a vital part of President Trump’s strategy for energy dominance,” Duffy stated. “This change will help us process projects faster, allowing America to utilize more of its natural resources, create well-paying jobs, and reduce energy costs for families.”
With the new structure, MARAD will lead environmental reviews and ensure compliance with the National Environmental Policy Act (NEPA). The Coast Guard will play a supporting role, focusing on safety, vessel traffic, facility design, construction standards, and operations.
MARAD Administrator Steve Carmel expressed confidence in the transition. “We’re eager to take charge of the Deepwater Port Program and work closely with the Coast Guard to streamline the process and strengthen our energy economy for the future.”
This overhaul comes after years of frustration from the industry due to slow approval times. Since the licensing system started in the 1970s, only 11 deepwater port applications have been approved, and only eight licenses have been issued.
This slowdown has occurred even as U.S. energy exports have increased significantly. Preliminary data indicates that the U.S. became the world’s first country to export over 100 million tonnes of LNG in a single year in 2025, while crude oil exports surpassed 4.1 million barrels per day in 2024 and are expected to rise again this year.
Several large offshore projects are still awaiting approval, such as the Blue Marlin oil export terminal, Phillips 66’s Bluewater project, and New Fortress Energy’s Louisiana floating LNG facility. Two approved projects, SPOT and Delfin, are currently under construction.
The administration states it is now working on multiple licenses in an area they refer to as the “Gulf of America,” emphasizing that quicker approvals are vital for the U.S. to maintain its position in the global energy markets.
However, there are concerns about whether MARAD can speed up the process without compromising environmental and safety regulations. After years of stagnation, Washington seems to indicate that the long wait for deepwater port approvals may finally be coming to an end.