BLM nets $305,102 in oil, gas auction | nnbw.com
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BLM nets $305,102 in oil, gas auction

NNBW staff

The Bureau of Land Management netted $305,102 last week in its quarterly auction of oil and gas leases at its Reno office a big dip from its quarterly auction held in March.

The BLM last Wednesday sold 27 parcels comprising 39,276 acres. TSAR LMD LLC placed the high bid of the auction, paying $22,680, or $9 per acre, for a 2,520-acre parcel in White Pine County. The Dallas-based company was also the most active bidder, picking up lease holdings on 22 parcels totally 35,744 acres.

Bidding was much more heated in March, though, when the BLM took in $1.78 million. Each of 42 parcels received a bid, and the high bid of the auction was $91 per acre. Lone Wolf Exploration and Production Company of Billings, Mont. and Lumex Exploration Corp. of Dallas were the heavy bidders.

The BLM listed a total of 38 parcels totaling 48,572 acres for lease in its June auction. Leases are for 10 years, with annual rentals of $1.50 per acre for the first five years and $2 an acre after that until production begins. If the property ends up in production, the BLM receives a royalty of 12.5 percent.