The Minerals Management Service’s Gulf of Mexico OuterContinental Shelf Region sale today has generated more interestthan a similar one held last year. MMS has received 780 bids on 547tracts offered in the Central GOM Lease Sale 178, Part 1. Lastyear’s Central Gulf Sale 175 generated 469 bids on 344 tracts andattracted $300,567,675 in high bids.

The sale today encompasses about 4,390 available blocks in theCentral Gulf planning area offshore Louisiana, Mississippi andAlabama, covering an area of about 23.19 million acres. Estimatesof undiscovered economically recoverable hydrocarbons expected tobe discovered and produced as a result of the sale are in the rangeof 150-400 MM bbl and 1.53-4.39 Tcf.

The blocks in the Central Gulf portion of the “Western Gap,”which were the subject of the new U.S./Mexico boundary agreement,will not be offered in this sale. MMS plans to offer these blocksin Sale 178, Part 2, which will be held with Lease Sale 180 in theWestern Gulf in August 2001.

There are 1,380 blocks available in water depths less than 400meters for five-year leases, 141 blocks in water depths between 400and 800 meters with eight-year leases, and 2,870 blocks in waterdepths 800 meters or deeper with 10-year leases.

Minimum bids for water depths less than 800 meters are $25 peracre or fraction thereof. For water depths 800 meters or deeper,the minimum bids are $37.50 per acre or fraction thereof. Annualrental rates are $5 per acre or fraction thereof in water depthsless than 800 meters and $7.50 per acre or fraction thereof inwater depths 200 meters or deeper.

Bid opening begins at 9 a.m. (CST) today in New Orleans, and theauction will be broadcast on the Internet from 8:45 a.m. to 11:45a.m. by The Offshore Oil Scouts Association. To receive thebroadcast, register at www.oosa.com.

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