ALBUQUERQUE, N.M. — The Bureau of Land Management New Mexico raised more than $20 million on Thursday in the year’s first quarterly auction of mineral leases on federal land.
The leases allow companies to drill for oil and natural gas on federal land. Most mineral leases up for sale in New Mexico were on BLM land in Eddy County, where oil and gas production continues to break records.
A lease on a 320-acre parcel in Eddy County received the highest bid of the day at $31,680 an acre. That lease was purchased by Federal Abstract Co. All New Mexico leases, totaling more than 14,000 acres, sold.
The BLM held at least three public comment periods and an environmental impact review prior to Thursday’s sale. Leases are good for 10 years, and can be renewed if they are productive.