Agency says there are undiscovered oil and natural gas reserves in the US Gulf Coast.

The U.S. Geological Survey released a report on Wednesday that outlined the potential for undiscovered oil in two formations beneath much of the U.S. Gulf Coast, from Texas to Florida.

The Hosston formation and the Travis Peak formations have a total of 28 million barrels and 35,8 trillion cubic feet (or natural gas) of technically recoverable reserves.

In a recent note, the agency stated that the assessment revealed enough gas to supply the United States at current consumption rates for 14 months.

USGS energy assessments focus on areas that have not yet been discovered by industry. Our assessment revealed substantial gas resources in this case," said Sarah Ryker.

The assessment concentrated on the Hosston-Travis Peak formations. These rocks are a small part of the Cretaceous-aged rocks on the Gulf Coast.

USGS reported that the Hosston Formation and Travis Peak Formation beneath the Gulf Coast, from Texas to Florida, have produced 8 trillion cubic foot of gas and more than 126 million barrels oil since exploration began. (Reporting from Noel John, Bengaluru. Editing by Will Dunham.)

(source: Reuters)