News Releases for September 2005
September 9, 2005
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Hoeven: USDA Proposes To Streamline Oil Drilling Rules In Grasslands
Usda Also Agrees To Reevaluate Grasslands Leasing Rules
BISMARCK , N.D. - Gov. John Hoeven Thursday met with U.S. Department of Agriculture Under Secretary Mark Rey to discuss a new proposal that will increase domestic oil supplies and at the same time maintain good stewardship of the Dakota Prairie Grasslands. Rey oversees the Forest Service, which directs management of the Little Missouri National Grasslands in western North Dakota and the Sheyenne National Grasslands in southeastern North Dakota.
Under the policy, the Forest Service plans to allow a “categorical exclusion” for oil drilling in areas where no unusual environmental issues exist. The streamlining of the process will result in reducing the permitting time from 6 months to 60 days or less, which will encourage energy development in grassland areas that are appropriate for drilling.
About 80 percent of the 92 eligible applications received by the Dakota Prairie Grasslands’ two district offices this year will qualify for a categorical exclusion. The new policy is expected to be implemented after the comment period in about 60 days. Wells being drilled in North Dakota are using new horizontal drilling technology, which greatly enhances production, while reducing the surface footprint of the wells.
“We’ve worked on this issue for two years,” Hoeven said. “It’s about increasing the domestic supply of petroleum from areas open to development at a time when our nation needs more domestic supply to reduce prices for consumers. It will also stimulate more economic development in western North Dakota through more oil production, while at the same time preserving our strong track record for good environmental stewardship.”
Under Secretary Mark Rey said: “We have reviewed this process very carefully, and we find it a prudent way to benefit the public by preserving the natural integrity of the grasslands, while helping to meet our nation’s energy needs.”
In a separate matter, Rey also agreed to subject the entire Grazing Handbook, which initially became effective July 19, to public comment. The Forest Service withdrew Chapters 10 and 20 in August after Hoeven and state ranchers expressed specific concerns about policy changes pertaining to leased property requirements and the ability of new and small ranchers to share animals or lease a grazing allotment. Also of concern was how the agency planned to implement the new rules such that they would not detrimentally affect ranchers renewing permits or seeking permits for the first time.
“This is another step forward, but we still have work to do,” Hoeven said. “We pressed forward on the two initial issues, and now the Forest Service has agreed to review the package in its entirety, giving us an opportunity to make a strong case for future management that works for our ranchers.”
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