Alaska Gov. Dunleavy vows lawsuit over Biden cancelling oil, gas leases

Alaska GOP Gov. Mike Dunleavy has accused the Biden administration of breaking the law by canceling oil and gas leases in a federal wildlife refuge that had been awarded to a state agency.

"The chief executive of the United States knowingly and willingly is breaking the law," Dunleavy said Thursday on the "John Solomon Reports" podcast. "Because this bill was passed by Congress in 2017 that required acres to be sold as part of the Tax Act, and so they know it's illegal."

Interior Secretary Deb Haaland on Wednesday confirmed the plan to cancel the leases. 

The Alaska Industrial Development and Export Authority (AIDEA) received seven leases in the Arctic National Wildlife Refuge from the Trump administration before the inauguration of President Joe Biden, who ran on protecting wildlife. The new commander-in-chief placed those leases on hold shortly after taking office in January 2021.

The cancellation is certain to anger the energy industry, which is producing record output in America while dealing with Saudi and Russian cutbacks that are driving up gas prices.

"They know it's wrong," Dunleavy continued. "There'll be action, a court action-certainly from us, and some of the shareholders and the lease holders themselves. But in the end, all this is doing is it's going to end up taxing Americans." 

U.S. Oil and Gas Association President Tim Stewart also slammed the administration's recent decision and predicted future lawsuits. 

"This arbitrary cancellation breaks a series of legal contracts between the federal government and the industry," Stewart said on the "John Solomon Reports" podcast. "The administration is gonna get sued, and they're likely going to lose on this. But the bigger losers in all this, frankly, are the American people."