The agency is responsible for leasing federally-owned minerals in the 31 states east of and adjoining the Mississippi River. The participating states were Alabama, Arkansas, Louisiana, Mississippi and Illinois.
One of the largest deals closed was for an 80-acre parcel on the DeSoto National Forest in Mississippi. J. Bradley Jeffreys from San Diego, CA paid $36,646 or $458 per acre (one cent per sf) for the site.
Leases are awarded for a term of 10 years and longer so long as there is production of oil and gas in paying quantities, the Bureau says in a prepared statement. The government receives a royalty of 12.5% of the value of production.
Each state government also receives a 25% minimum share of the bonus bid and the royalty revenue from each lease issued in that state. The next competitive oil and gas lease sale is scheduled for June 20. The Bureau's web site is http://www.es.blm.gov/.
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