Oil and Gas Company’s Improper Measurement of Gas Production on Indian Lands

A southern Colorado Indian tribe suspected that a company operating oil and gas leases on the tribe’s lands used an unauthorized facility measurement point, and therefore did not properly account for production reported to the Bureau of Land Management (BLM) and the Office of Natural Resources Revenue (ONRR), which resulted in underpaying mineral royalties owed the tribe. We found that the company properly measured and valued gas production, and we notified the tribe and ONRR of this finding. 

 

This is a summary of an investigative report that was issued to BLM and ONRR.