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Over 4,200 acres of OC land up for oil, gas auction
Oil and gas rights to more than 4,200 acres of land in Oakland County are expected to be available at auction next month, the state Department of Natural Resources (DNR) announced Monday, Sept. 10.
The state routinely auctions oil and gas lease rights it holds on land each spring and fall. Auction proceeds go to the state’s Natural Resources Trust Fund (NRTF), which is used to purchase and develop land for recreational use. Some proceeds may also be used for park maintenance under the state’s Parks Endowment Fund, as well as upkeep to the state’s fishery and wildlife habitat.
Oil and gas rights to 4,265 acres of land in Oakland County were nominated for auction by the DNR. The state’s Natural Resources Commission (NRC) will decide tomorrow, Thursday, Sept. 13 whether those rights, as well as rights to another 191,416 acres of land, will be available at an Oct. 24 auction.
A map and more detailed information regarding the location of parcels nominated for the auction may be found at http://www.michigan.gov/dnr/1,1607,7-153-10371_14793-30912–,00.html, or by calling 517-373-7633.
Five-year leases of state mineral and gas rights are typically purchased by oil and gas industry companies, according to the DNR. The high bidders on the leases must obtain drilling permits and other permissions before the land may be tapped for resources.
The state Department of Environmental Quality (DEQ) regulates the drilling and completion of oil and gas wells in order to ward off potential negative impacts on the environment.
Concerns raised about potential hazards associated with drilling has resulted in protests by concerned citizens and action by some municipalities.
“I haven’t seen this type of response before in my time here,” said Julie Manson, a property manager for the DNR’s Oil and Gas Lease Management Unit, of the number of people scheduled to speak at tomorrow’s NRC meeting.
More than 50 individuals, including about a half-dozen west Oakland County residents, are signed up to speak at the meeting. The DNR reports several protesters attended the DNR’s oil and gas lease auction in May, where some were led out of the room by state officials.
In West Bloomfield Township, residents’ concern led to township Board of Trustees adoption of a resolution to try to prevent any drilling for oil or gas in the township.
About 18,347 acres located in Oakland County were auctioned in May, contributing to a total of $4.125 million collected by the state for oil and gas lease rights across Michigan during that auction.
Two Traverse City companies — Jordan Development and Pteradon Energy — leased all of the land offered in Oakland County during that auction.
The DNR will release an auction catalog with legal descriptions of each parcel offered for auction following the NRC’s meeting tomorrow.
One Response to Over 4,200 acres of OC land up for oil, gas auction
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kathy chiaravalli
September 14, 2012 at 10:23 am
. Oil and gas companies reap billions in profits and millions in executive compensation without complying with the clean water act while residents bear enormous risks and the state earns a mere 6%. The $4 MM the state receives is a very tiny fraction of executive pay and profit earned by the energy companies.
2. Oil and gas companies will use their gargantuan profits for advertising, PR and lobbying. It is very difficult for objective sources such as universities (Duke, Cornell and the EPA) to produce information BECAUSE THE INDUSTRY DOESN’T NEED TO DISCLOSE THE DANGEROUS CHEMICALS THEY USE. (Thanks to the Halliburton loophole passed by the greedy and demented Dick Cheney).
3. Residents bear the risk and damage of a) polluted drinking and recreation water, b) storage of millions of gallons of toxic wastewater (aka produced water), c) transport of polluted water and other contaminants, d) destruction of the beautiful environment (roads, noise, drills, waste pools.
4. Why is the state complicit in selling their soul (aka lifewater – more precious than oil) for pennies on the dollar? Are they being funded by big oil and gas?
5. Reuters and the Free Press have uncovered potential collusion and price fixing among energy companies. They are being investigated for allegedly keeping prices down in Michigan.
6. Remediation efforts and expenditures by energy companies are feeble, ask the residents of the Gulf and Kalamazoo. How can BP and Enbridge still earn record profits and provide hundreds of millions in executive compensation?
What can ordinary citizens in Michigan do?
1. Contact the state DNR to comment on the auction: contact Debbie Whipple at 517-373-2352 or whippled1@michigan.gov
2. Attend the October 24 auction and purchase your rights or at least find out who wants to drill and frack in your backyard. http://www.michigan.gov/documents/dnr/FinalProposedOctPubNotice2_395123_7.pdf
3. Check to see if you own your mineral rights, Department of Natural Resources mansonj@michigan.gov (e-mail) 517-335-3232 (phone)
4. Get your water tested because the burden of proof will be on you. The energy companies will claim that your water was contaminated before they injected millions of gallons of toxic water through the aquifers. Get a baseline test of your tap water; test for Benzene and VOC’s. Contact the state Drinking Water Laboratory, DEQ, at 517-335-8184.
5. Check the DNR map to see if mineral rights near you or in your favorite recreation areas have been leased. http://www.michigan.gov/dnr/1,1607,7-153-10371_14793-30912–,00.html
6. Alert your neighbors. Energy companies will try to purchase private rights for a pittance, influence your neighbors not to sell out. Learn how to interpret the 50 page leases which will require you to sign a nondisclosure if you want any remediation for toxic water.
7. Influence your public officials to take action.
8. Courageous and forward thinking officials such as Cathy Shaunessey of West Bloomfield have passed moratoriums and resolutions. Some of these can include provisions which make it difficult, expensive and slow for energy companies to operate in our area. Jim Nash has held a meeting on this issue.
9. Contact your public officials and candidates and express your opinion.
10. Alert the media. Write letters to the editor of papers.
11. Attend public meetings and make comments. September 20, 2012 (9:30 a.m.) Oakland Board of Commissioners 1200 Telegraph road.
12. Join groups such as Clean Water Action and Food and Water Watch who are aligned on this issue.