The Minerals Management Division (MMD) of the Commissioners of the Land Office manages over 1.1 million mineral acres for the beneficiaries of the nine trust funds. These lands are located in 75 of the 77 counties across the state. The MMD staff is responsible for the oversight of approximately 4,500 active oil and gas leases. Additionally, the staff manages 100,000 mineral acres for several state agencies, including the Office of Management and Enterprise Services, Oklahoma State University, and Oklahoma Department of Wildlife Conservation.
In order to maximize revenue, the MMD must maintain a precise inventory of what is owned, what is leased and what is available to lease. This effort is complicated by the horizontal and vertical Pugh clauses.
Oil and gas lease sales are conducted quarterly. Bids for the mineral leases are submitted through the EnergyNet online auction platform. Only bids that meet or exceed fair market value are considered.
Since 2007, the oil and gas lease auctions have yielded over $300 million in bonus revenue. This is more bonus revenue than had previously been generated since statehood. These funds are distributed directly to the beneficiaries and have a significant impact on Oklahoma education.