American Oil and Gas Reporter - July 2015 - 137

ConventionSection: Independent Petroleum Association of New Mexico
Archeological Sites
Krakauskas says the U.S. Bureau of
Land Management is moving to expand
the Permian Basin Programmatic Area
(PA)-formerly known as the Permian
Basin Memorandum of Agreement-which
lists archeological sites in a 28-quandrangle
area overseen by the Carlsbad field office.
The PA allows oil and gas operators
to pay into a mitigation fund instead of
paying to have a site-specific archeological
inventory performed, according to an
agency fact sheet. Funds from the Permian
Basin PA will be used to conduct archeological research and outreach in southeastern New Mexico, the BLM says.
Krakauskas says the affected area is
being expanded to the east, but the BLM
has streamlined the compliance process,
which is beneficial to IPANM members.
"The BLM allows you to pay a fee to
identify an archeological site prior to
building a location or putting in a pipeline,"
he explains. "It has mapped all the archeological sites located, and you have to
avoid those. This allows companies to

avoid performing an archeological survey
prior to building locations, pipelines or
tank batteries, or running seismic.
"I think the PA is a great idea,"
Krakauskas avers. "Our company uses
it, as I am sure the majority of companies
do. It saves time and allows us to put
money in a fund that enables them to uncover other archeological sites that are
more substantial."
According to the BLM, to utilize the
PA, companies have to sign a data user
agreement stating that archeological locations will be kept confidential. A "proffer
form" is required by the government for
monetary contributions. In return, the
agency provides a compact disc with geographical information system data on
the locations of all National Register-eligible archeological sites to be avoided,
as well as surveyed spaces, within the
Permian Basin project area, the agency
states.
Companies are to use the site location
information to plan projects so as to
avoid eligible archeological sites by at
least 100 feet, the BLM says.

Potash Mining
In 2012, then Interior Secretary Ken
Salazar issued a potash order to establish
development areas and "drill islands" for
oil and gas activities in the vicinity of
potash mining so both industries could
develop their resources simultaneously,
Krakauskas recalls. The BLM has indicated the guidelines and procedures for
administering the 2012 secretarial order
should be released soon, he says.
Krakauskas compliments the Carlsbad
BLM field office on its implementation
of Secretary Salazar's order. "The field
office has done a great job in bringing together affected industries to come to some
sort of solution about how we can operate
under this order. I think it has turned out
a lot better than any of us expected when
it passed in 2012," he praises.
He says an instruction memorandum
from Carlsbad office has been forwarded
to Washington for review. Approval will
provide the Carlsbad office guidance on
implementing the new rule and moving
forward with approving development
areas and drill islands in the potash area.

JULY 2015 137

American Oil and Gas Reporter - July 2015

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