BLM Leases 41,000 Acres for Geothermal Energy Development
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SACRAMENTO, Calif. –The Bureau of Land Management (BLM) held a successful competitive geothermal lease sale in Sacramento on Oct. 26, leasing 41,203.73 acres, helping to meet the nation’s renewable energy goals. The total area leased was comprised of 18 parcels, 4 in Utah and 14 in Nevada and generated $168,592.50 in revenue. The high sale bid on 13 of the parcels was $2 per acre, and one parcel at $2.50 per acre. The parcels were sold to Ormat Nevada Inc., Blue Mountain Research & Development, LLC and Intermountain Renewable Power, LLC.
Geothermal leases are for a 10-year period. Annual rental for a competitive lease is $2 per acre for the first year, and $3 per acre for lease years 2-10. Annual rental for a noncompetitive lease is $1 per acre for lease years 1-10. For each parcel, the bid, rental receipts, and subsequent royalties are disbursed such that 50 percent of the funds are disbursed to the respective state, an additional 25 percent is disbursed to the respective county, and 25 percent remains in the U.S. Department of the Treasury.
The BLM manages public lands for many uses, including sustainable energy development. The parcels being leased underwent a detailed environmental analysis that includes three opportunities for involvement: scoping, public comment and protest periods. In addition, each lease, if issued, contains standard stipulations to protect endangered species and cultural resources and ensures that development is safe and environmentally responsible. After parcels are leased, lessees must submit site-specific proposals for additional in-depth analysis before energy development can begin.
For questions regarding the sale, contact Barry Bonnett, jbonnett@blm,gov, (916) 978-4377.
The BLM manages more than 245 million acres of public land located primarily in 12 western states, including Alaska, on behalf of the American people. The BLM also administers 700 million acres of sub-surface mineral estate throughout the nation. Our mission is to sustain the health, diversity, and productivity of America’s public lands for the use and enjoyment of present and future generations.