The federal government has made about $8. 2 million for the sale of public land to the oil and fuel industry in New Mexico, Texas and Oklahoma.
The sale was made through the Bureau of Land Management on August 26 and 27 and presented 113 plots on approximately 48,778 acres of land in all 3 states.
Approximately 45,405 acres of sale were obtained from the May lease sale of the BLM, which was postponed, as well as 2,866 new acres submitted for sale in August.
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On August 26, the new domain generated approximately $1. 3 million, the offer will be consistent with acre to $1,401 and the offer consistent with plot at $896,640.
The next day, the highest sale consisting of acre $21,512 for a 120-acre plot in Eddy County to the Federal Abstract Company.
The same package also won the offer consistent with the package for a total of approximately $2. 6 million.
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In total, the day of sales of possibly deferred packages generated approximately $7 million.
BLM rentals are granted for a period of 10 years and provided the land generates oil and herbal gas.
If the box leads to oil or fuel production, the revenue from royalties paid to the BLM is shared with the states.
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States get about some of the royalties, according to a report from the BLM.
“BLM’s policy is to announce the progression of oil and fuel if it complies with the rules and regulations set forth in the National Environmental Policy Act of 1969 and other forthcoming laws,” he said.
“Sales are also in line with the America First Energy plan, which is a comprehensive plan that includes oil and gas, coal, strategic minerals, and renewable resources such as wind, geothermal, and solar energy, all of which can be developed on public lands. “
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But environmental teams in New Mexico have questioned whether state taxpayers are getting their fair share of public land gains and price.
Opponents of oil and fuel production on public lands have argued that lease sales will be postponed indefinitely amid the Covid-19 pandemic and the forthcoming slowdown in the fossil fuel industry.
The value of the domestic oil barrel remained stagnant between about $42 and $40 in line with the barrel, well below the pre-pandemic value diversity of $50 to $60, according to Nasdaq data.
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Meanwhile, the number of active oil and fuel platforms in New Mexico was drastically reduced due to the fitness crisis, from an average of 114 in March, when the pandemic first spread to the state, to an average of 46 in August.
The average number of platforms in Texas also decreased the pandemic, from an average of 394 in March to 105 in August.
During the slowdown in production and falling prices, the president of the conservatives for guilty administration, David Jenkins, said the industry can get public land for much less than it is worth.
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He said the slowdown in market locations has led to a decline in the price of market locations for land, until recent years when production soared into the Permian Basin.
President Donald Trump’s administration, Jenkins said, is more interested in providing land to the industry than in maintaining herbal resources.
“During this more recent sale, oil corporations were able to reduce rents by a small fraction of what they would do, denying New Mexico and the U. S. taxpayer anything that is close to moderate performance,” Jenkins said.
“These sad effects are predictable, given the Trump administration’s bewildering inability to read and respond to market conditions. This sale ended up being nothing more than a big donation to oil corporations, a gift that comes at the expense of all Americans and our national public lands.
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Judy Calman, policy director at Audubon Southwest, argued that the fitness crisis can lead to delays in environmental monitoring and public participation and that the BLM will delay long-term land sales until the pandemic declines.
It also involved that much of the land was presented for sale near wildlife corridors and other spaces of interest.
“It is outrageous that BLM continues to maintain sales of oil and fuel leases every quarter in the midst of a pandemic,” Calman said.
“Not only do some of these spaces overlap with the critical habitat of birds and hunting species that will break irreparably once they develop, but the COVID crisis also causes absolute delays and arrests in the application of environmental law, as well as the public’s ability to participate in agency decision-making. “
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And Phil Francis, president of the Coalition for the Protection of American Parks, said the sale could threaten sensitive spaces like the Carlsbad Caverns, which offers exclusive delight for visitors but also supports karstic aquifers that supply much of the region’s groundwater.
“This only jeopardizes animal migration and critical species habitat, but jeopardizes the irreplaceable herbal and cultural resources of carlsbad caves,” Francis said.
“Leasing public land for oil and fuel extraction at the entrance to our national parks is never acceptable, however, proceeding to maintain lease sales in the event of a pandemic, when the public’s ability to comment on those sales is hampered, is absolutely unacceptable. “
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Robert McEntyre, spokesman for the New Mexico Oil and Gas Association, said oil and fuel corporations that buy land due to the market recession would put them in a more powerful position to produce oil and fuel when the market recovers.
He said this would allow taxpayers to make a greater profit on land than if sales were postponed.
“The progression of our federal resources is not only smart for New Mexico, but allows companies to generate significant gains for the state. It’s vital to our economy and our long term to make sure BLM makes lease sales,” Mr. Sir. McEntyre.
“Historically, those assets produce maximum recoil for several years, necessarily from the start when the lease is sold. The federal government will get good enough functionality for several years.
Adrian Hedden can be reached at 575-628-5516, achedden@currentargus. com or @AdrianHedden on Twitter.