Oil sale raises $85 million for schools

BISMARCK (AP) — An auction for the rights to drill for oil on North Dakota state lands raised $85.3 million on Tuesday.

The state Department of Trust Lands auctioned exploration rights to almost 70,000 acres in 14 western North Dakota counties.

The average payment ranged from just over a dollar per acre in Grant County to almost $7,900 per acre in McKenzie County.

The money goes into trust funds that benefit education. The largest one has more than $1.6 billion in assets. It distributes money to public schools.

State trust lands commissioner Lance Gaebe said the auction was successful. He said he expected to see between $60 million and $100 million raised.

He said speculators took a chance on some land in areas of North Dakota that don’t produce oil right now.

Tags: news, energy, auction, education