Newspaper article THE JOURNAL RECORD

Mineral Revenues Drop 8.5 Percent; Royalties Increase

Newspaper article THE JOURNAL RECORD

Mineral Revenues Drop 8.5 Percent; Royalties Increase

Article excerpt

Oil and gas, coal and other mineral revenues from federal and Indian lands fell 8.5 percent in 1989 to $3.9 billion, mostly due to government suspension of offshore oil and gas drilling, which account for 74.5 percent of total revenues.

However, royalties and rent returned to Oklahoma from federal leases and to Indians in Oklahoma, excluding the Osage, were up. Oklahoma's share of mineral revenues climbed 18 percent to $1.9 million last year, up from $1.6 million in 1988. Royalties from Indian leases in the state totaled $15.4 million, up 1.5 percent. The Osage tribe manages its own land.

Total mineral revenues were down from $4.3 billion in 1988, according to the Minerals Management Service arm of the Department of Interior. For the Outer Continental Shelf alone, revenues fell 13.8 percent to $2.9 billion last year from $3.4 billion in 1988.

"The decline is primarily the result of a suspension of Outer Continental Shelf lease sales pending a review by a presidential task force of the effects of offshore drilling and exploration (of oil and gas) on the environment," said service director Barry A. Williamson.

Yet, Williamson noted a report in March that evaluated 24,000 wells drilled in Outer Continental Shelf from 1972 to 1986 found "no blowouts occurred that resulted in significant amounts of oil reaching shore, impacting sensitive enrivonments or causing loss of resources." The report was made by the National Research Council of the National Academy of Sciences.

The oil and gas industry has lobbied fervently against moratoriums on offshore drilling, but President George Bush has banned drilling for oil and gas in waters off several states for 10 years. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.