By OGJ editors
HOUSTON, Mar. 29 -- The US Minerals Management Service has issued a proposed notice for Western Gulf of Mexico Outer Continental Shelf Lease Sale 196 scheduled Aug. 17.
Sale 196 offers 3,754 blocks covering 20.3 million acres 5-357 km off Texas and Louisiana in 8-3,100 m of water. MMS estimates the proposed sale could result in production of 136-262 million bbl of oil and 0.81-1.44 tcf of natural gas.
The proposed sale includes provisions for an increase in base rental rates (as well as minimum royalty) to $6.25/acre or fraction for blocks in less than 200 m of water and $9.50/acre or fraction for blocks in 200 m or deeper water.
Certifications regarding debarment, suspension, and other responsibility matters are no longer required to be filed with MMS to qualify to bid at an OCS lease sale. However, compliance requirements for debarment and suspension (nonprocurement) will be prescribed in an addendum included in each lease resulting from this sale.
The minimum bonus bid amount is $25/acre or fraction for blocks in less than 400 m water and $37.50/acre or fraction for blocks in 400 m or deeper water.
