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Oil and gas group says feds illegally canceling lease sales

A trade group for the energy industry is accusing federal officials of illegally canceling or postponing the sale of more than two dozen oil and gas leases over the past two years.

The Western Energy Alliance sued the Obama administration in U.S. District Court on Thursday to force it to hold lease sales four times a year.

The group says sales have been called off in Montana, Colorado, New Mexico, North Dakota, Oklahoma, Texas, Utah and Wyoming.

U.S. officials say at least some cancellations stem from companies' limited interest. Of more than 2.2 million federal acres offered for sale last year, just over a half-million acres received bids.

The government expects low oil and gas prices will reduce drilling on public lands by 40 percent versus historical levels in coming years.

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