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Providing coverage of Alaska and northern Canada's oil and gas industry
November 2003

Vol. 8, No. 44 Week of November 02, 2003

Bureau of Land Management leases 21 parcels in western New Mexico

The Associated Press

Energy companies won 10-year leases on 21 of the 70 parcels in Cibola and Catron counties that were auctioned by the U.S. Bureau of Land Management in western New Mexico Oct. 22.

The parcels are east of a site on the Cibola-Catron county line where Salt River Project, an Arizona utility company, had proposed to develop a coal strip mine. The company abandoned its plan this summer after years of opposition from Zuni Pueblo and others.

The pueblo argued that pumping water for the planned mine threatened to harm the nearby Zuni Salt Lake, which is sacred to many southwestern Indian tribes.

Hans Stuart, spokesman for the BLM office in Santa Fe, said he believes that the bidding on the parcels shows companies are interested in gas and oil exploration in the area.

61 parcels auctioned statewide

Statewide, the BLM auctioned 61 parcels totaling 77,730 acres, said Theresa Herrera, spokeswoman for the agency. The parcels vary in size.

Stuart said all the bids in the Catron and Cibola county leases were the minimum bid of $2 an acre, which would cover just over 35,000 acres at the bid price. Of the 21 parcels that the BLM auctioned off in Cibola and Catron counties, KHL Inc. of Albuquerque won 17, while Tacheene Resources LLC of Denver won four, Herrera said.

The state Land Office leased parcels in the same area at its monthly auctions last month and again this week. Both KHL and Tacheene Resources won bids for state land at those auctions as well.

Stuart said the closest federal parcel to be leased out was 17 miles from Zuni Salt Lake.

Officials at the State Land Office said the closest parcel their office has leased is about 15 miles from the lake.

Zuni Gov. Arlen Quetawki Sr. said Oct. 22 the pueblo won’t protest the oil and gas leases unless it decides they pose a threat to the lake or other tribal interests.





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