Show i Federal oil eil shale lands approved for leasing I Approval of 01 the prototype oil shale leasing program on federal leder ll lands in Utah Colorado and Wyoming Wednesday of 01 last week by the Interior Department was accepted with open arms by Utah's congressional representatives TilE THE ANNOUNCEMENT of 01 the lease sale which will lead to this country's first commercial scale oil production from shale was made by Interior Secretary Rogers C C. C B B. B Morton Reaction from Senator Frank E. E M Moss s was it is better late than never Th Those e of us from the western states stales who have been urging this action for years are of course delighted that Interior has finally moved But I Iwonder Iwonder iwonder wonder if our situation today might not be better regarding the energy crisis if the Interior Department hadn't dragged its feet for so so long M Moss s said TIIE TIlE SENATOR repeated a statement nt he made during his oil shale seminar in Vernal last September We are perhaps at atthe t the threshold of 01 a new industry for the Uintah Basin and a strong assist to the rest of 01 the country in meeting mooting our energy needs A itA proposed prototype oil shale leas leasing ng program in Utah Colorado and Wyoming would create new jobs and million annually in tax revenues but could result in insignificant insignificant insignificant significant environmental consequences SENATOR MOSS said he he wants to be sure the water supplies are adequate and problems such as air pollution and restoration of the land are understood by all and efforts made mad to resolve them quickly so that construction of ofa a aA aR R A I I x r-x- 1 IDAHO 1 I Green River f 1 a I I Basin RAINS FossI Basin s Ml J J N I TOM Wo I Bash 1 J l coR COLORADO oo f So Benin UINTA MOUNTAINS YERN I I RIE I I LON I C ANO JUNCTION OIL SHALE LANDS LAND production plant can begin But Moss said he is confident acceptable solutions will be found during the prototype development SENATOR WALLACE F P. P Bennett applauded the approval of the oil shale leasing program and added Although this program will have haye no effect on the current energy crisis it could have a substantial impact on President Nixons Nixon's goal to achieve energy sufficiency self in the next decade Bennett said that tha t under the Interior Department program he expects expects' two i leases totaling about acres acres' to be offered in each of the th three ee states states' for construction of pilot plants plant to extract crude oil from the sh shale le lerock rock The Utah site chosen after core drilling by by private in industry industry in- in is is located near the e White River southeast of Ve Vernal 1 oC r on the Utah Colorado border SENATOR Bennett s 's said ld construction of the Utah plant which will take three years could begin as early as 1977 1971 The plant is e expected ted to to be producing ng b barrels foU of oil per day by 1980 through ugh the use u use of underground mining t methods Bennett said an estimated 1470 c construction workers would be employed during construction of 01 the plant This This' would genera generate e another 2000 jobs in support services and would result in a a te temporary p increase in population eastern Utah of ci over people Construction costs would runabout run about about 68 million for far each ch of the 5 three while salaries of J I construction workers and and support jobs' jobs would t total 41 1 million II per perr year r r I Copt Continued oJ on Pa Page 8 vr I. I 0 l Oil shale 3 i i Continued from Page 1 U D- D Once the plant is in operation n. n it will nearly 1 Ann to persons persona with an annual aMual payroll of 21 21 million The plant will wiD produce about 48 annually in revenues for the Utah state government arid and 71 million yearly in local taxes 3 V r TILE THE FIRST federal oil sh shale ie land lease sale is to be made on Colorado Tract C C-a C a in the e Creek Basin southwest of Meeker in on January 8 Tract C C-b C C b In Creek Basin Js t scheduled on February 1 14 ti according to an Interior Department announcement A r Utah's Tract U-a U in Uintah b Basin will be offered for lease at atthe atthe t the Salt Lake City Bureau of Land Management Office March 12 Tract U U-b U b is iI scheduled for April 9 WYOMING'S Tract W-a W h In Washakie Basin will go on sale sat at the Cheyene office May 13 and Tract W-b W on June 11 All tracts will be offered f for i isale sale under a year 20 lease on a e bonus bid basis Each tract will willbe willbe be awarded to the bidder offering offering of of- fering th the highest bonus All I leases are subject to rental and royalty payments The le lewill leases will remain in force Corce for as long lorig longas as commercial production of shale oil is economical The leases may renegotiated be atthe at atthe atthe the C year 20 intervals f TIlE THE INTERIOR Department schedule calls for the first d per day day r-day oil shale plant be in In operation by 1978 a at Colorado Tract C-b. C How the federal lands a ad ar arf d developed will be up to Ui the lessees not the government governments Each plant to retort oil with related facilities from shale i Ii expected to cost cost from from million to million z m |