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Regulation tightens around royalty valuation on federal lands

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23 August 2016

Regulation tightens around royalty valuation on federal lands

Report summary

The US federal government is tightening the rules for the valuation of oil and gas royalties on federal lands, with effect  from 1 January 2017. The Office of Natural Resources Revenue (ONRR) is establishing the right to reject a company's valuation of its oil and gas production, and/or its reported transportation costs, if it considers these to be unreasonable. In these situations, the wellhead values will be based on a default valuation mechanism, effectively giving the ONRR the authority to decide on the "most appropriate" values on a case-by-case basis.

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  • Regulation tightens around royalty valuation on federal lands

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This report includes 3 images and tables including:

  • Regulation tightens around royalty valuation on federal lands: Image 1
  • Regulation tightens around royalty valuation on federal lands: Table 1
  • Top 5 companies with production from US federal lands

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