CHEYENNE - The Bureau of Land Management's office in Buffalo has drastically cut back on issuing drilling permits in northern Wyoming's Powder River Basin.
BLM field office manager Duane Spencer says a federal appeals board ruling issued in March forced the agency to revise protections for sage grouse.
Spencer says the Buffalo office has issued only about 220 permits so far this year. Last year, the office issued nearly 3,000.
The lack of permits, combined with low prices for Wyoming natural gas, has put a crimp on activity in the Powder River Basin. In May, there were no drilling rigs in operation in the expansive basin.
Bruce Hinchey of the Petroleum Association of Wyoming says he knows of several operators that would be drilling now despite low prices, but they can't get any permits.
Spencer says the Buffalo office should begin issuing permits soon.
Posted in Wyoming on Thursday, July 9, 2009 2:35 pm | Tags: Bureau Of Land Management
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