Through competitive oral bidding in Helena on September 7, oil and gas leases were sold on 201,226,46 acres (483 tracts) of state land, raising $7,949,823.10 in bid revenue for the State. Average bid per acre was $39.51. Bids ranged from a

high of $2,500 to as low as $1.50 per acre.

In Daniels County, there were three tracts offered. Shale Exploration of Scobey was the successful bidder  at $76. per acre, on the largest tract, 360 acres, about 12 miles north of Richland.

Leases on the other two tracts were purchased by Unconventional Energy Partners— 160 acres at $105. per acre, about 6 miles southwest of Scobey; and William Patrick Curvin was the winning bidder on 80  acres about 11 miles southeast of Madoc, for $125. per acre.

State land leases are for  a period of 10 years with a delay rental fee of $1.50 per acre, per year, to keep the lease active. Royalties paid to the state are 16.67% or 1/6th.

In neighboring counties of Sheridan and Roosevelt there were five tracts where leases were sold.

In Sheridan County: about a mile north of Redstone, 40 acres leased at $220. per acre; 3 miles southeast of Redstone, 480 acres* leased at $150. per acre; and less than a mile southwest of Outlook 640 acres* leased at $750. per acre.

In Roosevelt County: about eight miles southeast of Bainville, on the state line, 233.72 acres leased for $2,500. per acre; and about nine miles east of Froid 640 acres* leased at $2,200. per acre. (*Part or all of the tract is not state-owned surface).

More information is available to the public at http://dnrc.mt.gov/Trust/MMB/OG/Default.asp

The next Montana State, Oil and Gas Lease Sale is scheduled for Tuesday, December 6th in Helena. The location in Helena has been changed to the auditorium of  the Scott Hart  building at 303 North Roberts.