December NPR-A oil and gas lease sale generates $1.5 million

Organization:

Bureau of Land Management

BLM Office:

Alaska State Office

Media Contact:

ANCHORAGE—The Bureau of Land Management (BLM) Wednesday generated $1,533,705 at an oil and gas lease sale for the National Petroleum Reserve in Alaska (NPR-A) in keeping with the Administration’s goal of promoting America’s energy independence and bolstering Alaska’s economy.  The State of Alaska will receive 50 percent of the bid receipts, or $766,852.  BLM Alaska received 16 bids and opened them during its second annual video livestream event.

Three companies, ConocoPhillips Alaska, Inc.; Emerald House, LLC; and NordAq Energy Inc, submitted bids on 16 tracts covering 174,044 acres in the reserve for Wednesday’s sale.  A map and table with Wednesday’s complete sale results by tract is available at www.blm.gov/alaska.

"Today's results reflect the continued interest in our National Petroleum Reserve in Alaska, and with industry continuing to move into the Reserve it is prudent that we take a hard look at the current management plan to ensure it meets the best interests of the American public,” said Assistant Secretary for Land and Minerals Management Joe Balash. “Although this sale was better than last year, it underscores the need to develop a new Integrated Activity Plan that provides more access to our natural resources while balancing the needs to protect important habitat."

Wednesday’s sale was the 14th lease sale for the NPR-A since 1999.  Located on Alaska’s North Slope, the NPR-A is the largest single block of federally managed land in the United States.  The BLM offered 254 tracts (approximately 2.85 million acres) designated as available for development in the 2013 NPR-A Record of Decision for the Integrated Activity Plan/Environmental Impact Statement.  

“The tracts offered support the Secretary’s goal to strengthen our energy development,” said BLM Alaska Acting State Director Ted Murphy. “This year’s lease sale demonstrates our commitment to continue Alaska energy production in the National Petroleum Reserve in Alaska and create jobs and revenue for the State."

From July 19 through Aug. 20 of this year, the BLM sought public input and nominations on all available tracts within the NPR-A. The BLM received comments and nominations on tracts available and unavailable for leasing. BLM Alaska made the detailed statement of sale, including a description of the tracts offered for lease, the lease terms, conditions and special stipulations available on the NPR-A Oil and Gas Lease Sale Page.

Last year’s sale offered over 10.25 million acres divided among 900 tracts in the NPR-A and generated seven leases for a total of $1.15 million in revenue. There are currently 199 leases covering 1,384,352 acres in the NPR-A. Bids received for the 13 previous sales generated more than $282 million, half of which was paid to the State of Alaska. 

The first oil production from federal lands was recently realized with the Greater Mooses Tooth project at the eastern edge of the NPR-A. The Conoco Phillips Alaska, Inc. project was authorized in February 2015 and is expected to produce 25 to 30 thousand barrels of oil per day during peak production.  Further production will continue with the recently authorized Greater Mooses Tooth 2 project.

Video livestreaming the event Wednesday was a cost-effective way for BLM Alaska to reach a broader audience, especially those affected by lease sales within the NPR-A. 


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.