Federal onshore oil and gas lease bonus bids, 1972-1977: Statistical studies

Open-File Report 79-1251
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Abstract

We studied the statistical behavior of Federal onshore oil and gas lease bonus bids. Like offshore bids, these bids exhibited (a) occasional occurrences of low, noise bids, (b) apparent lognormality, (c) standard deviations (using natural logarithms) close to one, (d) apparent disparities between money left on the table given random lognormal bids consistent with flinching, and (e) wide ranges of aggressive and conservative biases of bidders in individual sales. In fact, the only substantive difference found was a far lesser proportion of joint bidding and larger company bidders bidding for these onshore leases which tended to receive lower bids than offshore bids.

Suggested Citation

Lohrenz, J., and Pederson, J.A., 1979, Federal onshore oil and gas lease bonus bids, 1972-1977: Statistical studies: U.S. Geological Survey Open-File Report 79-1251, 61 p., https://doi.org/10.3133/ofr791251.

ISSN: 2331-1258 (online)

Publication type Report
Publication Subtype USGS Numbered Series
Title Federal onshore oil and gas lease bonus bids, 1972-1977: Statistical studies
Series title Open-File Report
Series number 79-1251
DOI 10.3133/ofr791251
Year Published 1979
Language English
Publisher U.S. Geological Survey
Description 61 p.
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