Federal Onshore Competitive Oil and Gas Leasing Act of 1987

Federal Onshore Competitive Oil and Gas Leasing Act of 1987 - Amends Federal law regarding competitive leasing of oil and gas for onshore Federal lands to increase from 640 acres to 2,560 acres the units of land open to competitive leasing.

Provides for lease sales to be: (1) conducted by oral bidding; and (2) held at least every two months in each State (or more frequently at the Secretary's discretion). Requires the Secretary of the Interior to: (1) establish by regulation a national minimum acceptable price for all leases which is at least $10 per acre; and (2) accept the highest bid which is at least $10 or greater per acre, without evaluation of the value of the lands proposed for lease. Requires that all bids for less than the minimum acceptable price be rejected.

Makes lands available for leasing for a three-year period if the highest bid received for such lands was less than the minimum acceptable price.

Describes circumstances under which certain lands may be leased without competitive bidding. Conditions the issuance of leases upon payment of a minimum rental of $1 per acre for each year of the lease. Authorizes the Secretary to suspend a lease and extend its term by adding the suspended period thereto if a lessee, due to specified circumstances beyond his control, is denied access for exploration, drilling or production purposes.

Authorizes the Secretary to disapprove partial assignments of less than 640 acres outside of Alaska, or of less than 2,560 acres within Alaska. Directs the Secretary to promptly process requests for assignment or sublease approvals, and to grant such approvals (where appropriate) within 60 days of receipt.

Subjects a lease to cancellation by the Secretary of the Interior after 30 days' notice for noncompliance with the lease terms unless: (1) the leasehold contains a well capable of production of oil or gas in paying quantities; or (2) the lease is committed to an approved cooperative or unit plan or communitization agreement which contains a well capable of production of unitized substances in paying quantities.

Exempts from the environmental impact assessment requirements of the National Environmental Policy Act of 1969 actions taken by the Secretary to develop regulations and procedures for a competitive oil and gas leasing program (including lease sales).

Amends the Alaska National Interest Lands Conservation Act to make leasing in Alaska consistent with that in the lower 48 States. Repeals provisions regarding: (1) determination of favorable petroleum geological provinces; and (2) suspension of noncompetitive leasing.

Establishes an interim period during which certain pending lease applications will be processed as they would have been prior to the date of enactment of this Act.

Prohibits noncompetitive lease applications for specified lands from being processed until such lands are posted for competitive bidding in accordance with this Act.

Provides, with exceptions, for the leasing of certain lands without competitive bidding to the first qualified applicant if such lands were similarly available for such noncompetitive leasing prior to the date of enactment of this Act. Terminates the lease-issuing authority under this Act 24 months after the date of issuance of final regulations implementing it.

Directs the Secretary to issue final regulations within 60 days after the date of enactment of this Act. States that such regulations do not require certain accompanying impact analyses, including environmental impact analyses.

Requires the Secretary of the Interior to hold at least one competitive lease sale for tracts which but for this Act would have been posted for the filing of simultaneous oil and gas lease applications. Permits the inclusion in such sale of certain tracts which had over-the-counter noncompetitive oil and gas lease offers.

Imposes civil penalties upon persons who willfully and knowingly misrepresent the value of lands and leases under this Act. Grants to the States concurrent civil and criminal jurisdiction for violations of this Act.

Requires the Secretary to submit an annual report to the Congress regarding the implementation of this Act, including specified data.