The Bureau of Land Management (BLM), under the Department of the Interior (DOI), is responsible for the management of taxpayer-owned oil and gas resources in the federal onshore mineral estate. To develop these resources, BLM auctions leases to private entities.
As the steward of taxpayer-owned mineral rights, the BLM has the responsibility to ensure taxpayers receive fair compensation when leasing public lands for development. Recent reforms have helped to update century old leasing practices, but taxpayers still lose on low bonding rates and below-market-rate royalty rates compared to rates charged in federal waters and rates many states impose, resulting in less revenue.
In 2023, BLM held thirteen onshore oil and gas lease sales across nine states – Kansas, Louisiana, Michigan, Nevada, New Mexico, North Dakota, Oklahoma, Utah, and Wyoming. Across all sales, BLM offered a combined 293,575 acres of federal land for oil and gas development. BLM leased a total of 161,380 acres, just over half of the acreage offered.
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