Frequently Asked Questions
Frequently Asked Questions
Supplemental Environmental Assessment for Oil and Gas
Leasing within the Marietta Unit of the Wayne National Forest
Oil and Gas Leasing
and Development on Federal Lands
What is a federal oil and gas lease?
A federal oil and gas lease is a legal contract that grants exclusive
rights to the lessee to develop federally owned oil and gas resources. Until a
drilling permit is issued, a lease does not authorize surface-disturbing
activities or obligate the lessee to drill a well on the parcel in the future.
What are
the roles of the BLM and Forest Service in oil and gas leasing?
The BLM manages federal minerals under federally managed lands, in this
case the minerals beneath the Marietta Unit of the Wayne National Forest, in
Ohio. BLM and USDA Forest Service are directed to review, and when appropriate,
lease and permit oil and gas development, as well as regulate
surface-disturbing activities arising from such leasing as part of their land
management missions. Under law, the BLM’s multiple-use mandate includes oil and
gas leasing and development in balance with other uses and resource protection.
The Forest Service facilitates access to and orderly development of federal oil
and gas resources underlying National Forest System lands in an environmentally
sound manner.
What is the
process for leasing federal oil and gas minerals?
Leasing is the first step in the process to develop federal oil and gas
resources. If a portion of the federal mineral estate is made available to
potential oil and gas actions, anyone may nominate a parcel for leasing by submitting
an Expression of Interest to the BLM. Once parcels are nominated, the BLM
reviews each parcel to ensure that leasing conforms with applicable plans and
policies and that proper stipulations are in place before conducting a
competitive lease sale. This review includes an additional environmental
analysis, with public involvement, to determine if, where, and with what
stipulations and conditions to lease minerals. The BLM consults with the
surface owner as part of the leasing process. For potential leasing involving
National Forest System lands, the BLM requests consent to lease from the Forest
Service as it is the surface-managing agency. The Forest Service provides or
withholds consent based on the applicable forest plan and environmental review
of the proposal. The Forest Service manages any surface-disturbing aspects of
oil and gas leasing and operations on National Forest System land according to
its regulations.
What happens when a
lessee wants to develop oil and gas resources?
A permit is
required to begin drilling. Before development operations can begin, an lessee must
submit an Application for Permit to Drill detailing development plans to the
BLM. Should the parcel be leased and a detailed plan for oil and gas
development on the parcel be identified, the BLM and Forest Service would
conduct a site-specific environmental analysis and coordinate with tribes,
states and stakeholders prior to any ground disturbing activities.
What is fracking?
Hydraulic
fracturing, also referred to as fracking, is a process used by the oil and gas
industry to stimulate production from oil and gas wells. This practice has been
used to stimulate oil and gas wells for several decades. More recently, the
practice of high-volume hydraulic fracturing has been used to complete
horizontal wells in the Marcellus and Utica Shales underlying parts of western
Pennsylvania and West Virginia and southeastern Ohio.
Project
History and Information
Where can I
find more information about the project?
Project information, the supplemental
environmental assessment, decision record, and other pertinent project
information are available on the BLM National NEPA Register.
What has
changed since 2016 regarding mineral ownership in the Wayne National Forest?
Like the 2016 environmental assessment, this analysis considers the
impacts of leasing and developing parcels within 40,000 acres beneath the Wayne
National Forest, though it is expected that only a very small percentage of
this acreage would ever be developed. These 40,000 acres encompass mineral
resources that are currently federally managed and those presently in private
ownership that will revert to federal ownership in accord with deed
terms. “Reversionary” minerals occur when surface land is transferred to federal
ownership before a subsequent mineral transfer, or where mineral interests are
acquired later by the federal government. Once these minerals return to federal
ownership, they may be made available for leasing. An estimate of these
reversionary acres is part of the total acreage analyzed in the supplemental
environmental assessment. If leasing requests exceeded certain thresholds
identified in the EA, additional analysis under the National Environmental
Policy Act would be needed.
Can you
tell me more about the litigation and court findings affecting this project?
In 2017, the Center
for Biological Diversity and other groups filed suit in U.S. District Court (court),
alleging violations of National Environmental Policy Act, Administrative
Procedure Act, and Endangered Species Act. In 2020, the court found that
the Forest Service and BLM failed to take a hard look at the impacts of
high-volume hydraulic fracturing, also referred to as fracking, in the Wayne
National Forest, including surface disturbance, cumulative impacts to the
Little Muskingum River and the endangered Indiana bat, and impacts to air
quality. In 2021, the court returned for further consideration the BLM’s 2016 environmental
assessment and related Finding of No Significant Impact as well as the Forest
Service’s consent to lease. While the court did not vacate the leases issued
under the 2016 environmental assessment, it enjoined: (1) BLM from issuing any
new applications for development of leases at issue in the case, (2) water
withdrawals from the Little Muskingum River for any drilling that is occurring
pursuant to the already approved drilling permit on the leased parcels, and (3)
any further surface disturbing activities on the leased parcels, pending a new
decision on remand.
What is the status of
the leases challenged by litigation?
In its 2021 remedy
order, the court expressly declined to vacate the leases. Therefore, the leases
remain in effect, although they are subject to certain use restrictions
specified by the remedy order.
How many leases are
affected by the court’s decision?
There are 65 leases
affected by the court’s decision. A total of 36 leases were identified in the
litigation. They resulted from the December 2016 and March 2017 leases sales.
An additional 29 leases were issued as a result of the lease sales held between
June 2017 and December 2019. While these leases were not specifically
litigated, they were approved based on the 2016 environmental assessment that
was found deficient.
What is the
status of the Wayne National Forest’s Land and Resource Management Plan (Forest
Plan)?
The Wayne
National Forest is managed under the FS 2006 Land and Resource Management Plan
(Forest Plan). In April 2018, the forest initiated
an assessment to determine whether to revise the Forest Plan. As a result of
that assessment, the forest determined that the 2006 Forest Plan meets current
management needs and objectives and made a decision not to revise the plan on
January 27, 2021.
Supplemental Environmental Assessment (EA)
What is the purpose of the supplemental EA?
This evaluation
augments an EA completed in 2016. In 2020, a federal district court found the
2016 EA to be deficient in evaluating
the specific impacts of using hydraulic fracturing techniques, known as
fracking, on federally-protected species, water resources, air quality, and
surface disturbance. The
supplemental EA reconsiders the existing leases and evaluates potential future
leasing of parcels within 40,000 acres of federal minerals beneath
the Marietta Unit of the Wayne National Forest.
What is the
BLM’s decision associated with the supplemental EA?
The BLM is moving
forward with the Proposed Action, which could authorize future competitive
lease sales on parcels within 40,000 acres of federal oil and gas resources within
the Marietta Unit of the Wayne National Forest. The BLM also affirms prior
leasing decisions challenged in litigation and authorizes activities to 65
existing leases.
How did the
BLM prepare the supplemental EA?
The BLM, in
close cooperation with Forest Service, developed a draft supplemental EA after
extensively reviewing the litigation, court directions, and comments on the
2016 EA. The agencies also worked with a contractor to review all the existing
documents and identify issues needing to be addressed. A review of current
information on the area’s resources ensured the latest available information
was incorporated into the EA.
Does the supplemental EA cover the same geographic
area evaluated in the 2016 EA?
Yes. The supplemental EA analyzes impacts of leasing
parcels within the same 40,000 acres of oil and natural gas resources in the
Marietta Unit of the Wayne National Forest. A map of the project area is
available on the BLM National NEPA Register.
What is the
Proposed Action that was analyzed?
The Proposed
Action supports the development of parcels within 40,000 acres of oil and
natural gas resources beneath the Wayne National Forest that support the
nation’s future needs for energy while minimizing adverse effects to natural
and cultural resources. The supplemental EA addresses the issues identified by
the court and enhances additional areas of analysis identified through internal
BLM and Forest Service review of the 2016 EA.
What is the
No-Action Alternative that was analyzed?
Under the
No-Action Alternative, the BLM would not make federal minerals in the Marietta
Unit available for oil and gas leasing, including parcels currently nominated
for leasing and all other federal minerals in the Marietta Unit.
Does the
analysis use the 2020 Reasonably Foreseeable Development Scenario?
Yes. In
preparing the supplemental EA, the BLM utilized the Reasonably Foreseeable
Development Scenario, completed in 2020, to support the since-paused Wayne
National Forest Plan update. The BLM and Forest Service have reviewed this
document and found that its assumptions remain valid, and it continues to
provide a sound assessment of the mineral development potential in the area
between 2020 to 2034.
Does the June 2024 rule on the oil and gas leasing program affect this EA?
The final Fluid Mineral Leases and
Leasing Process Rule does not directly affect this EA. However, the rule does
increase the revenues that the United States collects from oil and gas
production on federal lands, and it raises minimum bond amounts to protect the
federal lands that are used for oil and gas production.
For more information: Onshore Oil and Gas Leasing Rule
Public Involvement
Did the BLM seek public
comments?
Yes. The BLM
released the draft supplemental EA released for public review and comment on
Mar. 20, 2024. Public informational sessions were held Apr. 8 and 9, 2024. On Apr.
29, 2024, BLM announced a 10-day extension of the public comment period in
response to several requests. The BLM received more than 260 unique comments,
which are available on the BLM National NEPA Register.
What
decisions does the BLM anticipate making based on this analysis?
The BLM is directed to lease and permit oil and gas resources as part of
its multiple-use, sustained yield mission. The decision if, where, and with
what stipulations and conditions to lease minerals is dependent on
environmental analysis. Under the court’s order, the BLM must further consider
the leasing decisions made under the 2016 EA. The BLM used the supplemental EA
in the reconsideration of those decisions. The BLM may also use this analysis
for future leasing decisions if someone nominates a parcel by submitting an expression
of interest and the Forest Service consents.
What
decisions does the Forest Service anticipate based on this analysis?
The Forest
Service will use this supplemental EA to reconsider its prior consent
determinations, in accordance with 36 CFR 228.102(e), as well as any further
leases.
Other
Relevant Information
How do oil
and gas royalty payments to counties work? What about overall revenue from
mineral leasing?
All federal
oil and gas royalty, rental fee, and bonus bid revenue is shared almost equally
by the U.S. Treasury and the state where development occurred. States may share, at their discretion, a
portion of revenues with local governments. The
amount of annual revenue that federal mineral development provides to the U.S.
Treasury is second only to that provided by the Internal Revenue Service.
Where can I find additional information?
The EA and
related documents are available on the BLM National NEPA Register.
