The U.S. Interior Department’s Bureau of Land Management generated more than 4 billion dollars from an onshore oil and gas lease sale in New Mexico and Texas, setting a record for the largest such auction in American history by revenue.
The May 20 sale covered 74 parcels totaling 33,530 acres, primarily in New Mexico’s Permian Basin. Combined bonus bids and rental payments totaled approximately 4.008 billion dollars, more than four times the previous onshore record of 972 million dollars set in 2018.
Devon Energy won 25 parcels with bonus bids of about 2.5 billion dollars, including a record 405.8 million dollar bid for 1,280 acres in Lea County. Interior Secretary Doug Burgum said the sale reflects strong industry demand and the Trump administration’s energy dominance agenda. New leases carry a 12.5 percent royalty rate restored by recent legislation.
Revenue is shared between the federal government and the states where parcels are located. The auction occurred as the Iran war pushed global oil prices higher, increasing interest in domestic production capacity. Environmental groups have criticized expanded federal leasing, while industry groups cited energy security benefits.
Devon Energy accounted for more than half the sale proceeds, bidding about 2.5 billion dollars for 25 parcels. A single 640-acre tract in Lea County fetched 357,129 dollars per acre, a record price. Revenue is split between federal and state governments, with New Mexico receiving half of proceeds from leases on its land.
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Sources:
https://dailycuratednews.substack.com/p/news-headlines-may-22-2026