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Choosing Oil Rights
for Auction... Governments usually have a mechanism for selecting the oil rights that are to be put up for auction. To put it simply, if an oil company has an interest in a particular area, it puts up a small fee to have the government put up the area for auction. This process is called "posting land." The auction is open to all oil companies. The company that posted the land usually has done a thorough geological and economic analysis to determine a good bid for the auction. Often they win the rights, but sometimes other companies―who may or may not have done a similar analysis―feel they really need this land as part of their land holdings. They submit a higher bid, and the posting company has to wait until the rights expire to try this area again. In OilFinancier . . . . . . your seminar will be doing a similar process called "postvoting". Every ten days or so, the administrator will ask the seminar for the rights it wants to see auctioned. Each financier has 10 votes. He or she can put all 10 votes to one oil right, one vote to 10 different oil rights, or any combination that totals 10 votes or less. The administrator will compile the submitted postvotes, and the oil rights will be auctioned in order of the highest votes first. If a financier votes for a certain oil right but does not see it come up for auction, the postvotes he cast towards that oil right will still accumulate to that right's postvote total. If more postvotes are cast toward that right, it will likely be up for auction in the next round.
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