BISMARCK, N.D. (AP) - An auction of oil drilling rights on North Dakota state land has brought in a record $71.6 million.
The state Land Department holds the auctions every three months. Land Commissioner Gary Preszler says this week's sale greatly exceeded the agency's expectations.
The agency auctioned drilling rights on almost 59,000 acres of land in 12 counties. Oil producers paid an average of more than $1,200 an acre.
The biggest demand was in Mountrail County in northwestern North Dakota. Developers paid $34.6 million to lease about 9,600 acres. That's more than $3,600 an acre.
Preszler says the previous high for lease payments was set in November 1980, when a sale brought in $30.6 million. That figure equals about $80.2 million when adjusted for inflation.
Posted in State-and-regional on Thursday, November 5, 2009 10:10 am | Tags: Oil, Drilling Rights, Land Department, Auction, Gary Preszler, Land Commissioner, Producers, Mountrail County,
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