For Immediate Release: November 23, 2004 
Contact: Jim Edwards BLM 303-239-3773
Theresa Sauer BLM 303-239-3861
 

BLM Solicits Public Input to Establish an Oil Shale Leasing Program

The Department of the Interior’s Bureau of Land Management published in yesterday’s Federal Register a Notice of Request for Comments on development of an oil shale leasing program. 

Specifically, the BLM is soliciting public comment on the potential for oil shale development within the Piceance Creek Basin in Colorado, the Uinta Basin in Utah, and the Green River and Washakie Basins in Wyoming.  After publication of the notice in the Federal Register, the public has 30 days to provide comment on the lease terms the BLM should include in research and development leases in these areas.

“The BLM welcomes public input as to how we can best develop this energy source, which will enable us to expand and diversify domestic energy production in accordance with the President’s National Energy Plan,” said Tom Lonnie, BLM Assistant Director for Minerals, Realty and Resource Protection.  

Oil shale is a fine-grained sedimentary rock containing organic matter.  The United States holds more than 50 percent of the world’s oil shale resources, which is the equivalent of 2.6 trillion barrels of oil, 1.5 trillion barrels of which are recoverable.  The oil shale in Colorado, Utah, and Wyoming underlies a total area of 16,000 square miles, and the Federal Government manages an average of 72 percent of the acreage.

“U.S. companies have developed and patented new technologies to develop oil shale that are both economical and environmentally friendly,” Lonnie said.  We anticipate that most future oil shale development will be in place, resulting in reduced environmental concerns,” Lonnie added.  

A number of companies are requesting access to oil shale resources on public lands for research and development.  A special lease will set terms and conditions for R&D operations.  The BLM will administer any future long-term commercial lease operations under formal regulations that are being drafted by BLM.  

The President’s National Energy Policy outlines over 100 recommendations to diversify and increase energy supplies and diversify the Nation’s domestic energy resources, including the development of oil shale.  Worldwide interest in oil shale development has dramatically increased in the last six years.  About ten countries in the world have embarked on oil shale research and development. 

Some of the major countries include Russia, China, Australia, and Canada.The BLM, an agency of the U.S. Department of the Interior, manages over 260 million surface acres.  Most of this public land is located in 12 Western states, including Alaska.  The Bureau also administers 700 million acres of sub-surface mineral estate throughout the nation.

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