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Congress Legislates Commingling Reform for Federal Oil and Gas Production;  BLM to Initiate Rulemaking Process for Implementing Regulations

Congress Legislates Commingling Reform for Federal Oil and Gas Production; BLM to Initiate Rulemaking Process for Implementing Regulations

By Bret Sumner & Jacob Everhart The Big Beautiful Bill or the Reconciliation Act of 2025 (the Act) (House Resolution 1), contains an important provision for upstream oil and natural gas operators on federal lands.  This provision directs the Bureau of Land Management (BLM) to draft a rule authorizing commingling of production from diverse mineral ownership (federal and fee, federal,…