The Bureau of Land Management last week announced an increase to drilling permit fees on public lands. The fee increases directed by the U.S. Congress also apply to some mineral cost recovery for oil and gas developers.
A spokesperson for the BLM says the annual fee increases which took effect October 1 are “very modest.”
The Application for Permit to Drill fee or APD increased in price by $180 to $10,230. Twenty Four mineral cost recovery fees were also adjusted based on inflation. The fee increases ranged from $5 to $75.
An APD is a non-refundable processing fee collected when an oil and gas developer submits a drilling permit. APDs are required whether or not an application for a drilling permit is approved. The fees cover processing documents for permits, protests and leases.
According to a press release the BLM collected almost $51 million in APD fees for the 2019 Fiscal Year.
BLM manages more than 8 million acres in Montana and the Dakotas. And more than 47 million acres of federal mineral estate in the three states.