States lease certain parcels of public land for oil and gas exploration.
Leasing bonuses and royalties from production on these lands generate millions of dollars in revenue that fund a myriad of state programs. States employ a variety of methods to conduct leases, such as competitive bidding and auctions. The table also provides contacts for additional information. With oil and gas prices recovering from historic lows, states are reporting some heightened interest in leasing activities. A widely reported shift in domestic production from major, integrated oil companies to smaller independents offers states the opportunity to market leases to a larger number of bidders.