The Bureau of Land Management (BLM) has made final amendments to the federal oil shale management regulations to enhance the fair return to taxpayers and environmental protection in any future development of oil shale on public lands. The rule provides the Secretary of the Interior flexibility in setting royalty rates lease-by-lease, and it requires oil shale operations to include environmental protection plans for water, air, and other resources.
The recent amendments add flexibility to the royalty rates set in 2008. The existing rule required commercial operations to pay royalties of 5 percent in the first year of production, increasing by 1 percent per year until reaching a maximum rate of 12.5 percent. Under the amended rule, the 2008 royalty rates are the minimum rates for commercial oil shale leases, and the Secretary of the Interior may set higher rates on a lease-by-lease basis.
For more information, visit www.blm. gov or call (202) 208-5832.