BLM oil and gas lease sale nets $887,000
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Today the Bureau of Land Management Colorado State Office sold one parcel of 1,964 acres at its quarterly oil and gas lease sale for $887,343. The per-acre price was $450 plus annual rent fees for the single parcel in Routt County, sold to Hannon and Associates, Inc., 1615 California St., Suite 623, Denver, CO 80202.
The State of Colorado will receive 49 percent of the proceeds of the sale, with the remainder going to the federal government.
Another parcel with oil and gas potential had been scheduled to be offered at the sale, but was deferred for protection of Columbian sharp-tail grouse.
The State of Colorado received more than $229.4 million in Fiscal_Year 2010 from royalties, rentals and bonus bid payments for all federal minerals, including oil, gas, and coal.
A lease is the first step for a company or individual before eventually applying to develop and produce oil and gas from the BLM-managed public mineral estate. Additional planning, environmental analysis and public input must occur before drilling can begin.
The BLM manages more than 245 million acres of public land located primarily in 12 western states, including Alaska, on behalf of the American people. The BLM also administers 700 million acres of sub-surface mineral estate throughout the nation. Our mission is to sustain the health, diversity, and productivity of America’s public lands for the use and enjoyment of present and future generations.