Bureau of Land Management issued the following announcement on Feb. 6.
The Bureau of Land Management (BLM) New Mexico raised $20,425,939 in its quarterly oil and gas lease sale held February 6, 2020. Nearly 50 percent of the revenue from the sale will go to the states where the oil and gas activity occurs—in this case New Mexico and Oklahoma—while the rest will go to the U.S. Treasury.
For this sale, the BLM offered leases on 68 parcels totaling 17,024.64 acres; however, one parcel located in Cheyenne County, Kansas, and one parcel in Roger Mills County, Oklahoma, did not receive bids. The highest bid per acre was $31,680, which sold to Federal Abstract Company for 320.85 acres in Eddy County, New Mexico. The same parcel also received the highest bid per parcel with a total of $10,169,280.
The BLM awards oil and gas leases for a term of 10 years and as long thereafter as there is production of oil and gas in paying quantities. If the leases result in producing oil or gas wells, revenue from royalties based on production is also shared with the state.
The BLM’s policy is to promote oil and gas development if it meets the guidelines and regulations set forth by the National Environmental Policy Act of 1969 and other subsequent laws and policies passed by the U.S. Congress. The sales are also in keeping with the America First Energy Plan, which is an all-of-the-above plan that includes oil and gas, coal, strategic minerals, and renewable sources such as wind, geothermal, and solar, all of which can be developed on public lands.
For more details about the sale results, please visit: https://www.blm.gov/programs/energy-and-minerals/oil-and-gas/leasing/reg....
Original source can be found here.
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