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North Dakota Moves On Biden, Sues Joe Over Halting Oil And Gas Leases: “In addition to being a foolish idea, President Biden’s moratorium on oil and gas leasing on public lands is illegal”


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North Dakota, the nation’s second-biggest producer of oil, just dropped the hammer on Joe Biden and filed a lawsuit against his administration for halting oil and gas leases on public lands.

“Oil and gas production are central to North Dakota’s economy and the welfare of citizens, responsible for 54% of the value of the State’s economy, generating approximately 76% of the State’s tax revenue and creating approximately 66,000 good-paying jobs in the State,” the lawsuit states. “Oil and gas produced from leases on Federal and Indian lands in North Dakota are an important part of this sector, generating approximately $ 93.65 million in royalties to the State every year.”

U.S. Senator Kevin Cramer said: “In addition to being a foolish idea, President Biden’s moratorium on oil and gas leasing on public lands is illegal.  It increases federal and state budget shortfalls hampers state and private mineral owners’ rights and makes the United States less energy independent and more reliant on foreign producers who are not all good actors like Russia, Saudi Arabia, or Venezuela.

“I support Attorney General Stenehjem’s effort in court, applaud him for standing up for North Dakota, and stand ready to help in any way I can.”

From Fox Business:

Though the leasing ban is temporary, the White House has not confirmed for how long the suspension will hold.  

In his civil complaint filed Wednesday, North Dakota Attorney General Wayne Stenehjem said the suspension had prevented leasing auctions during March and June – reportedly costing the state more than $80 million dollars.

“I have taken this action to protect North Dakota’s economy, the jobs of our hard-working citizens, and North Dakota’s rights to control its own natural resources,” Stenehjem said in a statement this week.

The attorney general argued that the financial losses could grow into the billions if the “illegal cancellations” are not reversed.

The suit seeks to require the U.S. Bureau of Land Management (BLM) to reschedule the lost lease sales and prevent them from blocking future sales in the state.

Republicans have widely condemned Biden’s suspension as “illegal” and argue it will do more harm to the U.S. economy in the aftermath of the pandemic.

From Grand Forks Herald:

North Dakota Attorney General Wayne Stenehjem filed the civil complaint on Wednesday, July 7, in federal court. It asks a judge to force the U.S. Department of Interior to hold lease sales that were supposed to happen this year. It also asks the court to prohibit the federal government from canceling future sales.

The North Dakota lawsuit comes several weeks after a federal judge in Louisiana temporarily blocked implementation of the leasing moratorium in a ruling on a lawsuit brought by a coalition of 13 oil and gas producing states, including Texas, Utah, Oklahoma and Alaska.

North Dakota declined to join that lawsuit, filing this week’s complaint alone. Stenehjem said the state opted to challenge the executive order separately because of the unique impacts of the federal moratorium for North Dakota.

“I have taken this action to protect North Dakota’s economy, the jobs of our hardworking citizens, and North Dakota’s rights to control its own natural resources,” Stenehjem said in a statement released Thursday.

In the newly filed lawsuit, Stenehjem noted that two North Dakota lease sales, one slated for March and one for June, were not held this year after Biden signed an executive order that paused new oil and natural gas leases on public lands and in offshore waters. The Jan. 27 executive order came as Biden opened his administration with several aggressive moves targeting climate change and the fossil fuel industry.

Though Stenehjem cited the Louisiana case as related to his filing, the complaint argues that unique leasing laws in North Dakota have resulted in $82 million in losses to the state from the two canceled auctions.