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flag U.S. states received $4B in federal energy payments in 2025, mostly from oil and gas, with New Mexico leading, while experts urge caution on relying on volatile revenues.

flag U.S. states received about $4 billion in federal energy revenue payments in fiscal year 2025, primarily from rent, royalties, and lease fees on federal lands. flag New Mexico received the largest share—nearly $2.76 billion—due to oil production in the Permian Basin, while Wyoming saw a decline to $544.87 million, reflecting reduced coal revenues. flag Colorado and Montana saw gains from oil and gas development, and Utah benefited from geothermal energy. flag Overall revenue was slightly lower than in prior years, driven by fluctuating commodity prices. flag Experts warn of the volatility of this income and urge states to avoid overreliance, advocating for long-term savings. flag Funds also supported tribal nations and federal programs.

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