The Bureau of Land Management New Mexico oil and gas lease sale nets more than $4 million
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SANTA FE, N.M. —The Bureau of Land Management (BLM) New Mexico raised $4,076,273 in its quarterly oil and gas lease sale held Jan. 14, 2021. Nearly 50 percent of the revenue from the sale will go to the states where the oil and gas activity occurs–in this case New Mexico, Texas, Oklahoma and Kansas–while the rest will go to the U.S. Treasury.
For this sale, the BLM offered leases on 37 parcels totaling 6,850.72 acres. The highest bid per acre was $15,101, which sold to PBEX, LLC for 80 acres in Lea County. The same parcel also received the highest bid per parcel with a total of $1,208,080.
The BLM awards oil and gas leases for a term of 10 years and as long thereafter as there is production of oil and gas in paying quantities. If the leases result in producing oil or gas wells, revenue from royalties based on production is also shared with the state.
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 America First Energy Plan, which is an all-of-the-above plan that includes oil and gas, coal, strategic minerals, and renewable sources such as wind, geothermal, and solar, all of which can be developed on public lands.
For more details about the sale results, please visit: https://www.blm.gov/programs/energy-and-minerals/oil-and-gas/leasing/regional-lease-sales/new-mexico.
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.