Land Bureau to Permit Oil, Gas ‘Commingling’ Under Proposed Rule

Fossil fuel companies will be able to measure oil and gas production from a common area under a rule the Bureau of Land Management proposed Thursday aimed at streamlining energy development on federal land.

The proposal will allow companies to “commingle” the oil and gas produced from different leases, possibly reducing oil’s environmental impact, the bureau said. Today, companies are required to measure production at each lease individually. The new rule allows measurement to occur at a common point—possibly a single oil and gas well pad—where fossil fuels from multiple leases are measured together.

The bureau’s proposed rule, which will ...