Date Issued
Report Number
17-0139
Report Type
Investigation
Component
Bureau of Land Management
Office of Natural Resources Revenue
Description
The OIG investigated allegations that Extraction Oil and Gas (EXT) drilled multiple horizontal wellbores through a railroad right-of-way (ROW) in Weld County, CO, containing Federal minerals without first obtaining a Federal lease or drilling permit.
We found that three companies (EXT, Mineral Resources, Inc., and PDC Energy, Inc.) illegally drilled oil wells through a railroad ROW and produced unleased Federal minerals. Based on our investigation, the U.S. Attorney’s Office for the District of Colorado entered into civil settlement agreements with all three companies to resolve the violations and recover public revenues. The settlements totaled more than $1,787,000.
Joint Report
No
Agency Wide
Yes
Questioned Costs
$0
Funds for Better Use
$0
Oversight Report File