The oil and gas lease sale process: How it’s done and why we do them…

When it comes to oil and gas lease sales, the Bureau of Land Management has three programmatic goals: 1) Providing a fair return to the American public and states from federal management of public lands and waters, including for development of energy resources; 2) Designing more responsible leasing and development processes that prioritize areas that are most suitable for development and ensure lessees and operators have the financial and technical capacity to comply with all applicable laws and regulations; and 3) Creating a more transparent, inclusive, and just approach to leasing and permitting that provides meaningful opportunity for public engagement and Tribal consultation.

Members of the public, typically industry representatives, nominate lands they wish to lease, but before they can be included in a sale, the parcels are reviewed for compliance with the area’s Resource Management Plan (RMP) and other factors such as resource conflicts that might make the lands unavailable. The National Fluid Lease Sale System includes information on current and upcoming BLM lease sales. The environmental review process for developing oil and gas resources is multi-faceted and includes input and coordination with other federal and state agencies, as well as the public. 

Oil and gas lease sales take place on a quarterly basis consistent with BLM’s mineral leasing mandate and multiple-use and sustained yield mission. The revenue generated through each lease sale is split 49/51 between Federal and State. The BLM’s lease sale policy and National Environmental Policy Act (NEPA) process include a 30-day scoping period for general parcel review, 30-day public comment period on the environmental assessment and 30-day protest period. The BLM will also ensure applicable Tribal consultation and mineral conflict mitigation is current before moving forward.

The BLM considers public comments throughout the NEPA process and will further evaluate points raised in any protests received. The BLM carefully considers what lands make the most sense to lease in terms of oil and gas development potential, prospects of earning a fair return for U.S. taxpayers, and conflicts with other uses, such as outdoor recreation and wildlife habitat. The BLM always ensures it is considering the views of local communities, Tribes, businesses, state and local governments, and other stakeholders. Today we went out for public comment for the 2nd Quarter 2024 lease sale. We strive to maximize participation at each stage of the NEPA process by issuing a press release to regional media outlets, interest groups and stakeholders while sharing on our BLM Wyoming social media pages. If you’d like to be added to our distribution lists, please feel free to contact Micky Fisher, Lead Public Affairs Specialist at jfisher@blm.gov. Otherwise, keep an eye on our BLM WY website for consistent updates.