BLM-Utah oil and gas lease sale nets nearly $3,311,828.00
SALT LAKE CITY — In keeping with the Administration’s goals of promoting American energy independence, the Bureau of Land Management Utah quarterly oil and gas lease sale resulted in competitive bids for 69 of the 109 parcels offered in the West Desert, Color Country and Green River Districts.
North American Helium, of Calgary, AB, submitted the highest total bid per acre —$221.00 — for parcel 48 in the Price Field office area. North American Helium submitted the highest total bid per parcel — $435,591.00 — also for parcel 48. For more details about the sale results, please visit: http://go.usa.gov/xXk8c.
Oil and gas lease sales support domestic energy production and American energy independence. The BLM’s energy program includes an all-of-the-above approach that includes oil and gas, coal, strategic minerals and renewable sources, all of which can be developed on public lands.
The BLM’s policy is to promote oil and gas development if it meets the guidelines and regulations set forth by the National Environmental Policy Act of 1969 and other subsequent laws and policies passed by the U.S. Congress. The sales are also in keeping with the Administration’s goal of American energy independence, which includes development of fossil fuels and coal, as well as renewable energy.
Oil and gas leases are awarded for a term of ten years and as long thereafter as there is production of oil and gas in paying quantities. The Federal government receives a royalty of 12 and one-half percent of the value of production. Each state government receives a 25 percent minimum share of the bonus bid and the royalty revenue from each lease issued in that state.
Oil and gas development on BLM-managed lands in Utah contributed $1.7 billion to the economy and supported 9,171 jobs in Fiscal Year 2016.
September 11, 2018
BLM-Utah Oil and Gas Lease Sale
Parcels Offered for Auction 109
Parcels Sold 69
% Parcels Sold 63.30%
Acres Offered 204,205.472
Acres Sold 133,921.730
% Acres Sold 65.58%
Average Bid/Acre Sold $ 23.15
Average Bid/Parcel Sold $ 44,925.84
Highest Bid/Acre $221.00
Parcel with High Bid/Acre 48
Highest Bid/Parcel $435,591.00
Parcel with High Total Bid 48
Total Bonus Bid $3,099,883.00
Total Rental Due $200,905.50
Total Administrative Fees Due $11,040.00
Total Receipts Due* $3,311,828.50
The BLM manages more than 245 million acres of public land located primarily in the 11 Western states and Alaska. The BLM also administers 700 million acres of sub-surface mineral estate throughout the nation. In fiscal year 2018, the diverse activities authorized on BLM-managed lands generated $105 billion in economic output across the country. This economic activity supported 471,000 jobs and contributed substantial revenue to the U.S. Treasury and state governments, mostly through royalties on minerals.