Reported by Staff

The Bureau of Land Management Colorado State Office has posted the proposed list of parcels for its quarterly competitive oil and gas lease sale. The sale will begin at 9 a.m., Sept. 9 and conclude at noon on Sept. 17.

As reported last week here at Colorado Energy News, this will be the first time in the agency’s history the sale will be conducted online.

Congress directed the BLM to conduct a pilot Internet oil and gas lease auction in the Fiscal Year 2008 Consolidated Appropriations Act as a one-time event to study the feasibility of an online auction. The Oil and Gas Lease Sale Internet Auction Pilot website is at http://www.blm.gov/leasingpilot/.

The website lists a total of 38 parcels netting out at 28,489 acres, located within the Royal Gorge (Canon City), Little Snake (Craig), and White River (Meeker) field office areas.

The parcels will be split into two groups that will become available for bid on a staggered basis during a two-day period. The first 19 parcels will be offered beginning on Sept. 9 and will close at noon on Sept. 16.

The remaining 19 will be offered beginning on Sept. 10 and will close at noon on Sept. 17. Each group of 19 will be offered for a total of seven days. All bidders may choose to bid on any of the parcels during these time periods.

Similar to typical online auctions, bidders will have the option of submitting one-time set bids on parcels as well as proxy bids. Proxy bids allow the offer to automatically increase in increments up to a set amount indicated by the bidder.

Bidders must register online to actually bid and are encouraged to do so early to familiarize themselves with the site and the auction guidelines. Credit card information, as well as a sworn statement of intention to buy, are required. An online tutorial is available on the website.

The website will remain available for viewing for 30 days after the sale closes on Sept. 17.

There will be no change to the process for filing protests for this sale.

Protests of parcels being offered for lease must be in writing and delivered by 4 p.m. Tuesday, Aug. 25, by hand, postal delivery (BLM Colorado State Office, 2850 Youngfield St., Lakewood, CO 80215), or fax (303-239-3799). There is no provision for filing protests online or via e-mail.

Lease sale information can also be obtained online at http://www.blm.gov/co/st/en/BLM_Programs/oilandgas/leasing.html, at each of the Bureau’s field offices and the BLM Colorado State Office Public Room, 2850 Youngfield St., Lakewood, CO 80215.