Mr. Erik Milito - The House Committee on Natural Resources ...

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New Wells Drilled on Federal Land: Down 39%
January 2012
<strong>The</strong> slowdown in federal leasing and permitting has led to a decline in the number of new oil and gas wells drilled on
federal land between 2008 and 2010. Following a period of general growth in the number of wells started over the
previous 8 years, new wells drilled on federal lands declined in 2009 and 2010. More permits are associated with more
drilling activity (Figure 8). As the number of permits has declined in 2009 and 2010, the number of new wells drilled on
federal lands has declined as well; down 39% from an average of 4,890 in 2007/2008 to 2,973 in 2009/2010. <strong>The</strong>
reduced level drilling appears to be continuing. <strong>The</strong> BLM recently reported 2,783 wells were drilled in the western states
in 2011.
Figure 8:
Number Of New Wells Started During the Year on Federal Lands*
*Western States (Includes Colorado, Montana, New Mexico, North Dakota, Utah and Wyoming)
Source: BLM Oil & Gas Statistics (2010)
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