The Bureau of Ocean Energy Management (BOEM) recently released final revisions to its bid adequacy procedures in the Federal Register.
The procedures ensure that U.S. taxpayers receive fair market value from Outer Continental Shelf (OCS) oil and gas lease sales, BOEM said. BOEM intends to begin using the revised procedures to evaluate lease sale bids received as part of the 2024-2029 National OCS Oil and Gas Leasing Program.
• Update BOEM’s methodology for measuring adequacy of bids for OCS oil and gas lease sales to enhance clarity and transparency.
• Discontinue the use of tract classification, which has had minimal impact on the procedural analysis of fair market value.
• Include other, minor changes to clarify and streamline processes.
On Jan. 19, 2023, BOEM published its proposed revisions in the Federal Register and received over 15,500 public comments. In response to thhe comments, BOEM published an addendum, which provided the public with additional information related to its updated methodology.
More information is available here.