American Oil and Gas Reporter - December 2021 - 17

IndustryDigest
the agencies have proposed to codify
those Supreme Court decisions into the
regulations, " Minoli is quoted. ❒
Gulf Lease Sale Draws
Increased Interest, Bids
NEW ORLEANS-In a development
that some industry advocates deem a
triumph, the Bureau of Ocean Energy
Management's Gulf of Mexico Lease
Sale 257 generated $191.69 million in
high bids for 308 tracts covering 1.7
million acres in federal waters of the
U.S. Gulf. By comparison, press
accounts note, the last such auction,
which was held in November 2020,
prompted bids for 93 tracts and
generated only $121 million.
The sale occurred despite the Biden
administration's attempt to freeze new
leasing following a U.S. district court's
preliminary injection, BOEM notes,
which the administration is appealing.
Louisiana Oil & Gas Association
President Mike Moncla praises
Louisiana Attorney General Jeff Landry
for helping spearhead litigation against
the federal government's moratorium on
new leasing, which was the product of
an executive order Biden signed in the
early days of his presidency. On June
15, after months of legal battles, U.S.
District Judge Terry Doughty granted a
preliminary injunction that temporarily
reversed the moratorium while litigation
remained in progress.
" On behalf of LOGA, I want to
thank Attorney General Landry for his
strong, capable leadership that helped
make this lease sale possible, " Moncla
affirms. " This lease sale is an important
victory, not only for the 250,000-plus
oil and gas workers in the state, but for
every American who is facing high
energy costs as a result of our
diminished oil and gas supply. "
According to BOEM, 33 companies
participated in the lease sale, submitting
$198.51 million in total bids. Leases
resulting from the sale will include
stipulations to protect biologically
sensitive resources, mitigate potential
adverse effects on protected species, and
avoid potential conflicts associated with
oil and gas development in the region.
Lease Sale 257 offered
approximately 15,148 unleased blocks
located from three to 231 miles off
shore, in the Gulf's Western, Central
and Eastern Planning Areas in water
depths ranging from nine to more than
11,115 feet, the bureau reports.
Media reports note that antidevelopment
groups have criticized the
Biden administration for not trying
harder to avoid the sale, but National
Ocean Industries Association President
Erik Milito says such claims ignore the
most important question.
" The law is pretty clear, " Milito is
quoted. " The law states DOI must
have a leasing program in place and it
must maintain that leasing program, so
it's hard for the Interior Department to
just cancel lease sales without a
rational basis. "
Published reports also indicate that
Hogan Lovells attorney and former
Obama administration Department of
Interior solicitor Hilary Tompkins has
suggested that consequences may be
severe for noncompliant Biden
administration officials. " They can be
held in contempt if they don't comply
with the court order, so I think they're
looking at the litigation risk and making
a judgement call, " Tompkins is quoted.
All terms and conditions for Gulf of
Mexico Region-wide Sale 257 are
detailed in the Final Notice of Sale
information package, which is available
at www.boem.gov/Sale-257. ❒
Industry Groups Question
Move To Withdraw Lands
Close To Chaco Canyon
WASHINGTON-President Biden
used the occasion of the administration's
first White House Tribal Nations
Summit to announce that the U.S.
Department of the Interior's Bureau of
Land Management was considering a
20-year withdrawal of federal lands
within a 10-mile radius around Chaco
Culture National Historical Park, a move
that would bar new federal oil and gas
leasing on those lands.
Although Interior Secretary Deb
Haaland maintains that the move
recognizes the area's deeper value,
industry representatives emphasize that
respect for the land and energy
production are not mutually exclusive.
" Chaco Canyon is a sacred place that
holds deep meaning for the indigenous
peoples whose ancestors lived, worked,
and thrived in that high desert
community, " Haaland says. " Now is the
time to consider more enduring
protections for the living landscape that
is Chaco, so that we can pass on this
rich cultural legacy to future
generations. "
However, the Independent Petroleum
Association of New Mexico counters,
the decision appears to be long on
symbolism but short on any substantive
rationale. Moreover, the New Mexico
Oil & Gas Association notes, prohibiting
leasing around Chaco has very real
implications for the state's economy.
" Chaco Canyon is a sacred
treasure, " affirms IPANM Executive
Director Jim Winchester. " Safe and
responsible oil and gas development
around Chaco does not pose a threat to
the already protected sites of the sacred
Chaco National Historic Park.
Operators and mineral rights holders,
including several Navajo allottees,
have repeatedly made efforts to reach a
reasonable, science-based
understanding about how to protect
these sacred sites. A 10-mile buffer is
an overreach of federal authority, is
arbitrary and is not based on any
science other than political science. "
" New Mexico has safely produced
oil and natural gas in the San Juan
Basin for decades while at the same
time protecting the cultural and historic
treasures throughout the region, "
NMOGA says. " We can continue to do
both, while also growing jobs,
expanding the local economy and
providing funding for our public
schools. Arbitrary limits on
development in the region will only
disrupt the largest and most successful
part of New Mexico's economy and will
rob local communities of jobs and
economic growth opportunities. While
the administration has missed an early
opportunity to engage with all
stakeholders to ensure the longevity of
Chaco Canyon, we hope future
discussions can yield policies that are
firmly rooted in science. "
BLM says it will segregate the
federal lands for two years while
conducting an environmental analysis
and seeking public comment on the
proposed administrative withdrawal.
BLM also will initiate formal tribal
consultation. The agency adds that the
segregation and potential withdrawal
will not affect existing valid leases or
rights and will not apply to minerals
owned by private, state or tribal entities.
DECEMBER 2021 17
http://www.boem.gov/Sale-257

American Oil and Gas Reporter - December 2021

Table of Contents for the Digital Edition of American Oil and Gas Reporter - December 2021

Contents
American Oil and Gas Reporter - December 2021 - Intro
American Oil and Gas Reporter - December 2021 - Cover1
American Oil and Gas Reporter - December 2021 - Cover2
American Oil and Gas Reporter - December 2021 - 3
American Oil and Gas Reporter - December 2021 - 4
American Oil and Gas Reporter - December 2021 - Contents
American Oil and Gas Reporter - December 2021 - 6
American Oil and Gas Reporter - December 2021 - 7
American Oil and Gas Reporter - December 2021 - 8
American Oil and Gas Reporter - December 2021 - 9
American Oil and Gas Reporter - December 2021 - 10
American Oil and Gas Reporter - December 2021 - 11
American Oil and Gas Reporter - December 2021 - 12
American Oil and Gas Reporter - December 2021 - 13
American Oil and Gas Reporter - December 2021 - 14
American Oil and Gas Reporter - December 2021 - 15
American Oil and Gas Reporter - December 2021 - 16
American Oil and Gas Reporter - December 2021 - 17
American Oil and Gas Reporter - December 2021 - 18
American Oil and Gas Reporter - December 2021 - 19
American Oil and Gas Reporter - December 2021 - 20
American Oil and Gas Reporter - December 2021 - 21
American Oil and Gas Reporter - December 2021 - 22
American Oil and Gas Reporter - December 2021 - 23
American Oil and Gas Reporter - December 2021 - 24
American Oil and Gas Reporter - December 2021 - 25
American Oil and Gas Reporter - December 2021 - 26
American Oil and Gas Reporter - December 2021 - 27
American Oil and Gas Reporter - December 2021 - 28
American Oil and Gas Reporter - December 2021 - 29
American Oil and Gas Reporter - December 2021 - 30
American Oil and Gas Reporter - December 2021 - 31
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American Oil and Gas Reporter - December 2021 - 33
American Oil and Gas Reporter - December 2021 - 34
American Oil and Gas Reporter - December 2021 - 35
American Oil and Gas Reporter - December 2021 - 36
American Oil and Gas Reporter - December 2021 - 37
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American Oil and Gas Reporter - December 2021 - 40
American Oil and Gas Reporter - December 2021 - 41
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American Oil and Gas Reporter - December 2021 - Cover3
American Oil and Gas Reporter - December 2021 - Cover4
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