BLM oil and gas lease sale nets nearly $34,000
Organization
Media Contact:
DENVER – Today, the Bureau of Land Management Colorado State Office sold two parcels totaling 2,165 acres for $21,828 including rentals and fees at its quarterly oil and gas lease sale. The highest per-acre price was for a 960-acre parcel in Larimer County that was sold to Context Energy in Denver for $9 per acre.
The BLM also sold two parcels totaling 3,329 acres for $11,955 including rentals and fees for the Kingman Field Office in Arizona. Both parcels sold for $2 per acre to Vanterra Energy, Inc. in Denver.
The states of Colorado and Arizona receive 49 percent of the proceeds from each sale for parcels sold in their states, with the remainder going to the U.S. government. The State of Colorado received more than $158 million in Fiscal Year 2012 from royalties, rentals and bonus bid payments for all federal minerals, including oil and gas. BLM Colorado currently has approximately 4.2 million acres of public mineral estate leased for oil and natural gas development, generating more than $6.5 billion in direct economic benefits in 2012 and approximately $9.5 billion in total economic impacts.
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.