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Re: 9000 leases for pumping oil on federal lands go unused by oil companies. Why? 

By: oldCADuser in FFT4 | Recommend this post (2)
Wed, 09 Mar 22 12:41 AM | 22 view(s)
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Msg. 04033 of 13877
(This msg. is a reply to 04031 by zzstar)

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Also, as long as you don't actually drill, the annual fee on the lease is minimal. However, once they start to do anything, the lease payments go up, but while it's still an unused lease, your competition isn't able to drill either. They take these leases to lock competitors out for a very small investment (the minuscule lease payments).




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The above is a reply to the following message:
Re: 9000 leases for pumping oil on federal lands go unused by oil companies. Why?
By: zzstar
in FFT4
Wed, 09 Mar 22 12:32 AM
Msg. 04031 of 13877

I realize why: Because they make more profit than producing more oil and dropping the prices.

That’s it. Don’t blame Biden.


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