Federal officials notched just over $58 million in revenue from leasing 16 parcels of public land in New Mexico to oil and gas producers, the Interior Department announced Thursday.
Seven companies won bids for the 7,500 acres of public land, which can now be explored and developed following environmental reviews. The leases are for 10-year terms.
In pursuit of energy “dominance,” the Trump administration has focused intensely on the oil and gas sector, seeking to boost domestic output and strip away regulations.
Thursday’s lease sale was the first to occur after Congress earlier this month passed a budget package that cut oil and gas royalty rates down to a minimum of 12.5 percent, lower than the 16.67 percent that had been passed into law during the Biden administration. Oil and gas royalties — which are a percentage of the value of publicly owned oil and gas that producers must pay the government — are split between federal authorities and the state where the drilling occurs.
