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MMS Reduces Lease Length in Oil, Gas Gulf Tract Sale

The U.S. Minerals Management Service reduced the lease terms for offshore Gulf of Mexico oil and gas tracts in a coming lease sale, saying that advances in sub-sea drilling technology allow companies to explore and develop new reservoirs.

In a statement released Thursday announcing a lease sale 213 in the Central Gulf of Mexico, the Department of Interior agency, which oversees offshore energy production, said that lease periods would be reduced to seven years from 10 years for tracts in water depths ranging from 800 meters to 1,600 meters.

Source: Dow Jones

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