BLM is seeking to update natural gas production regs

The Bureau of Land Management (BLM) released a proposed rule last week to update and replace its regulations governing the measurement of natural gas produced from onshore Federal and Indian leases.  The requirements contained in the proposed rule reflect advances in measurement technology and critical updates in industry standards and practices.  It also responds directly to concerns from the Government Accountability Office (GAO), the Department of the Interior’s Office of Inspector General, and Secretary’s Subcommittee on Royalty Management, that the BLM’s existing rules do not provide adequate assurance that gas production on public and Indian lands is being accounted for in a way that ensures that all royalties are accurately tracked and paid.  These concerns have contributed to the Department’s inclusion on the GAO’s High Risk List.