BLM getting much less for leases
Laramie, Wy – The Bureau of Land Management and the state of Wyoming are getting less money for leases of B-L-M land for oil and gas development. The first two lease sales this year netted four million dollars total. Last year the same two sales brought in almost 50 million dollars.
B-L-M spokesperson, Roger Alexander, says there's nothing obvious that explains as to why companies are paying less at this year's auctions and that includes the quality of the land up for auction.
"They've got their reasons for bidding what they do. Another factor is that if another company has a lot of the same information and thinks that is a promising parcel then of course they will bid against each other and both the state and federal government benefit from that bidding process."
Alexander says of course factors like the huge drop in prices for natural gas and oil does play a role. He says not only are companies paying less this year; they are also bidding on fewer parcels of land.