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News Release — Byron Dorgan, Senator for North Dakota

DORGAN'S EFFORT YIELDS SIX NEW STAFF TO JUMP-START ENERGY DEVELOPMENT ON THE FORT BERTHOLD RESERVATION

Tuesday, September 23, 2008

CONTACT: Justin Kitsch
or  Brenden Timpe
PHONE: 202-224-2551

(WASHINGTON, D.C.) – The U.S. Interior Department, responding to the request from Senator Byron Dorgan (D-N.D.) has moved six new employees to the Fort Berthold Indian Reservation to accelerate the review and approval of oil and gas leasing and permitting for drilling on the reservation.

These six new employees will work at the Fort Berthold Agency Office in New Town, and will help to clear the backlog that has been slowing down energy leasing and development activities on the Reservation. In July, Dorgan secured the commitment from the Interior Secretary to hire the additional personnel as part of an action plan he requested from the Secretary of Interior to improve energy development on Fort Berthold.

“There is oil production to the north, south and west of Fort Berthold but only a limited amount of drilling on the reservation,” said Dorgan. “The Fort Berthold Reservation is located on top of the Bakken Oil Shale Formation, which has estimated reserves of up to 4.3 billion barrels of oil, and these new employees will help to jump-start energy permitting work on the reservation.”

In addition to the employees in New Town, three new employees will be added to the Great Plains Regional Office to assist with the growing energy work. Dorgan is continuing to monitor the progress to ensure the oil and gas development work on the reservation continues.

As Chairman of the Indian Affairs Committee, Dorgan issued a report in June that detailed obstacles to energy development on Fort Berthold, including lack of sufficient staff, an extensive federal review process, and vacant leadership positions within the Administration’s Indian Affairs offices. Dorgan met with the Interior Secretary and asked for a specific plan to see that the oil development opportunities are pursued on the reservation.

Based on the production surrounding the reservation, the Department of Interior estimates there is a potential to drill 100 wells on the reservation, which would have estimated gross revenue of $2.9 billion over ten years. This new production could lead to potential annual royalty payments of over $528 million to trust land owners.

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