Denver Business Journal – by Cathy Proctor
Date: Thursday, May 19, 2011, 2:29pm MDT
Oil and gas companies bid $8.8 million Thursday for 7,229 acres of mineral rights owned by the Colorado State Land Board at the agency’s quarterly auction.
The lowest bid was $27 per acre for a parcel in Lincoln County. The highest was $4,550 per acre for a parcel in Weld County, where oil and gas companies are drilling horizontal wells into the Niobrara formation seeking oil.
The average bid was $1,613 per acre, according to the land board.
In February, companies bid a total of $22.4 million for 52,000 acres at the land board’s last auction.
The land board’s record auction was in August 2010, when leases for mineral rights under nearly 27,000 acres brought in $26.2 million.