BLM Leases 20 Parcels, Boosts Oil & Gas Production With Lower Royalty Rate
The Bureau of Land Management (BLM) website ensures oil and gas development adheres to the National Environmental Policy Act of 1969 and other relevant laws. Recently, it leased 20 parcels across Louisiana, Michigan, Mississippi, and Utah, generating $22.8 million in quarterly sales. This move supports domestic energy production and American energy independence.
The One Big Beautiful Bill Act has reset the royalty rate for new federal onshore oil and gas production to 12.5%, reversing the previous 16.67% rate set by the Inflation Reduction Act. This change is expected to boost leasing and drilling activity, further increasing domestic energy production and U.S. energy security.
The BLM manages approximately 245 million acres of public land and 700 million acres of sub-surface mineral estate on behalf of the American people. Oil and gas leases are typically awarded for a term of 10 years, renewable as long as there is production in paying quantities.
The BLM's recent lease sales and the reduced royalty rate are set to stimulate domestic oil and gas production, contributing to the nation's economic and military security. These actions align with the agency's commitment to responsible energy development and management of public lands.
