The Biden administration earlier this month finalized revamped onshore natural gas and oil leasing rules, increasing the royalty rates and, for the first time in 60 years, bumping up the cost for bonding requirements.

The Department of Interior’s Fluid Mineral Leases and Leasing Process final rule revised regulations under the purview of the Bureau of Land Management (BLM). BLM oversees more than 245 million acres of public land, primarily in 12 western states including Alaska. 

Interior cited “outdated fiscal terms of the onshore federal oil and gas leasing program,  including for bonding requirements, royalty rates and minimum bids, which will increase returns to the public and disincentivize speculators and irresponsible actors.”

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