BLM adjusts drilling permit fees

Photo by zhengzaishuru/iStock/Getty Images Plus; St. George News

DISTRICT OF COLUMBIA — As directed by Congress, the Bureau of Land Management is adjusting the fee it charges to process oil and gas drilling permits on public and Indian lands for inflation effective Oct. 1, 2016.  That adjustment will increase the fee charged for such permits by $110 to $9,610.

The nonrefundable processing fee will be collected when an oil and gas operator submits an application for permit to drill and is required whether or not a particular permit is subsequently approved.  Congress directed the BLM to adjust the drilling permit fee annually for inflation over 10 years as part of the National Defense Authorization Act for Fiscal Year 2015.

To carry out this statutory requirement, the BLM has issued guidance to its field offices regarding the collection and handling of APD fees in the current fiscal year.  The new guidance largely tracks prior guidance with respect to collection and handling policies such as when the fee is required; when the BLM will begin processing the APD; and acceptable forms of payment.

About the BLM

The BLM manages more than 245 million acres of public land, the most of any Federal agency. This land, known as the National System of Public Lands, is primarily located in 12 Western states, including Alaska. The BLM also administers 700 million acres of sub-surface mineral estate throughout the nation. The BLM’s mission is to sustain the health, diversity, and productivity of America’s public lands for the use and enjoyment of present and future generations. In Fiscal Year 2015, the BLM generated $4.1 billion in receipts from activities occurring on public lands.

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