Biden Administration Resumes Oil Leases on Federal Land
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https://www.wsj.com/articles/biden-administration-resumes-oil-leases-on-federal-land-11650053812
The Biden administration announced lease sales for oil and gas drilling on federal land Friday, but said it would sharply reduce the acreage available for leases and charge higher royalties on the oil and gas produced.
The Interior Department said it would make roughly 144,000 acres available for oil and gas drilling through a series of lease sales, an 80% reduction from the footprint of land that had been under evaluation for leasing.
Companies will also be required to pay royalties of 18.75% of the value of what they extract, up from 12.5%. Royalties for onshore oil and gas drilling generated about $1.5 billion to $3 billion a year for the U.S. Treasury during the last decade, according to the Congressional Research Service
Less available land for drilling. Higher fees.
Yeah, that'll lower prices.
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Not quite as simple to lower prices.
I think @Renauda knows better than i, but my understanding is that there are a lot of factors,
time to re-open the existing drills
significant time to bring a new drill site on line
lack of experienced workers since many have left since the start of pandemic
etc/Even if acerage was the same and royalties were the same, I doubt that there would be any short term change to prices of fuel.
