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Montana State Office
Release Date: 10/19/11
Contacts: Kristen Lenhardt 406-896-5228    

Results of October Oil and Gas Lease Sale

Bonus bids at the Bureau of Land Management’s October 18 oil and gas lease sale in Billings totaled $6,812,693.

The highest single-parcel bid was $1,957,500 submitted by Clear Creek Resources LLC of Edmond, Okla. for a 783-acre U.S. Forest Service parcel in Billings County, North Dakota.  Contex Energy Company of Denver, Colo. submitted the highest per-acre bid at $5,000 per acre for a 120-acre parcel also located in Billings County.

All of the 102 parcels offered received bids, totaling just over 24,400 acres. Fifty-six parcels were offered in Montana (7,913 acres), 45 parcels in North Dakota (15,456 acres) and one parcel in South Dakota (1,062 acres).

Additional information regarding competitive sale lists, detailed results of sales or the leasing process is available by writing the Bureau of Land Management, 5001 Southgate Dr., Billings, Mont.  59101, by calling (406) 896-5004, or at

Oil and gas leasing is driven by consumer demand, and competitive oil and gas lease sales are conducted several times per year at BLM’s Montana State Office.  Receipts from federal oil and gas leases are shared with the state or county where the lands are located.  All leases are issued for a 10-year term.

Potential environmental effects that could result from exploration and development are analyzed before any leases are offered for sale.  All leases come with conditions on oil and gas activities to protect the environment that can include limits on when drilling can occur or restrictions on surface occupancy.  Once an operator proposes exploration or development on a BLM-issued lease, further environmental analysis under the National Environmental Policy Act is conducted to determine the site-specific need for various types of impact-limiting or mitigation measures.  In addition, many operators routinely use Best Management Practices such as remote monitoring of producing wells to minimize surface impacts.

The BLM manages more than 245 million acres of public land, the most of any Federal agency. This land, known as the National System of Public Lands, is primarily located in 12 Western states, including Alaska. The BLM also administers 700 million acres of sub-surface mineral estate throughout the nation. The BLM's mission is to sustain the health, diversity, and productivity of America’s public lands for the use and enjoyment of present and future generations. In Fiscal Year 2015, the BLM generated $4.1 billion in receipts from activities occurring on public lands.

Montana State Office   5001 Southgate Drive      Billings, MT 59101  

Last updated: 06-28-2012