Policy and Guidance Relating to Produced Waters from Oil and Gas Production on Public Land

IM 2026-008
Instruction Memorandum

Bureau of Land Management
National Headquarters
Washington , DC 20240
United States

In Reply Refer To:

3160 (310) P

Expires:09/30/2029
To:All Field Officials
From:Assistant Director, Energy, Minerals and Realty Management
Subject:Policy and Guidance Relating to Produced Waters from Oil and Gas Production on Public Land
Program Area:Fluid Minerals, Operations
Purpose:

The purpose of this Instruction Memorandum (IM) is to provide guidance to Bureau of Land Management (BLM) Field Offices (FOs) and State Offices (SOs) on the management of produced water generated from oil and gas activities on public lands. Produced water is a fluid brought up from the hydrocarbon-bearing strata during the extraction of oil and gas and includes, where present, formation water, injection water, and any chemicals added downhole or during drilling, production, or maintenance processes. Produced water is not hazardous waste, as defined by the Resource Conservation and Recovery Act of 1976 (RCRA). Under this policy, BLM offices will work with industry to identify opportunities for reusing and recycling produced water. It is intended to promote the adoption of practices that preserve and increase freshwater supplies by recycling produced water for a variety of applications. 

Administrative or Mission Related:

Mission Related

Policy/Action:

To promote consistent, effective, and responsive engagement with oil and gas operators and stakeholders, BLM FOs and SOs will consider the facts and circumstances bearing on the use of produced water, including uses inside oil fields, industrial uses outside oil fields, agricultural uses, or other appropriate uses. This policy should be carried out in a manner consistent with current water recycling and reuse requirements (federal and state), operational procedures, and best practices relevant to oil and gas development on public lands.

In implementing this policy for managing produced water, FOs and SOs will coordinate closely with each other, industry representatives, other federal agencies, responsible state agencies, universities, and research consortia. This collaboration is intended to improve the management of produced water consistent with both federal and state regulatory frameworks and to provide operators with a better understanding of water use and reuse opportunities and ways to be better stewards of the water that they bring to the surface during oil and gas production. FOs will confer with operators in their regions to identify opportunities for reuse of treated produced water. This engagement with operators and stakeholders may include asking for feedback on this topic during meetings on other topics, including through formal or informal discussions with or other input from federal, state, tribal agencies, local communities, industry, and water sector partners to identify knowledge gaps and tailor water reuse strategies.

FOs will support the adoption of water reuse practices. The focus will be based on operator needs and feedback, and will take into account SO and FO experience, the regulatory framework, and emerging water reuse trends in oil and gas operations. Support may include assistance in addressing local and national barriers to water reuse, and collaboration with federal, state, tribal, local, and water sector partners to build water reuse capacity. 

BLM FOs will actively work with oil and gas operators to identify, evaluate, and implement practices that reuse produced water. This includes:

  • Assessment: FOs will collaborate with operators to assess produced water volumes, treatment options, and potential reuse applications (e.g., within oil fields, industrial uses, agricultural uses, or other appropriate uses) based on the water management plan that is submitted with each Application for Permit to Drill (APD) or group of APDs.
  • Planning: FOs will assist operators in developing reuse plans that comply with federal and state requirements and best practices.
  • Implementation: FOs will seek to apply identified reuse opportunities wherever technically and operationally feasible, unless prohibited by law.
  • Consistency: Any authorizations related to reuse of produced water will, if possible, include consistent terms and conditions for facilities that have similar site conditions, either on or off lease. 
  • Coordination: FOs will coordinate with SOs, industry representatives, other federal, state, tribal agencies, and research consortia and seek to overcome barriers and build capacity for water reuse. 

The goal of this policy is to identify water reuse possibilities and apply them in oil and gas operations. This policy is aligned with the Administration’s priorities.

Timeframe:

This IM is effective immediately.

Budget Impact:

Collaborating with oil and gas operators on produced water reuse may affect BLM FOs budgets. Increased coordination may need more staff time for planning and evaluating proposals, possibly requiring resource reallocation or additional staffing. Travel expenses, including transportation, lodging, and per diem, could arise for proposal evaluations and specialized training from experts.

Background:

Large volumes of produced water are generated in the oil and gas industry, and projections show that these volumes may continue to increase. Currently, most of the produced water is managed by disposing of it through underground injection, where that water may no longer be accessed or used. The BLM supports water reuse to enhance operational efficiency and support the responsible development of America’s energy resources. 

Manual/Handbook Sections Affected:

None

Contact:

If you have any questions concerning the content or implementation of this IM, please contact Tina Roberts-Ashby at [email protected]. Your staff may contact John Ajak at [email protected] or Travis Kern at [email protected]

Coordination:

This IM was coordinated with the BLM’s Division of Fluid Minerals, the BLM’s Energy, Minerals and Realty Management Directorate, and the U.S. Department of the Interior’s Office of the Solicitor.

Signed By:
Tina Roberts-Ashby
Acting Assistant Director
Energy, Minerals and Realty Management
Authenticated By:
Brittany Schadey
Division of Regulatory Affairs and Directives, HQ-630

Fiscal Year

2026