MMS-4436 Letter of Credit

U.S. Department of the Interior
Minerals Management Service
Minerals Revenue Management

OMB Control Number 1010-0122
OMB Approval Expires July 31, 2008

LETTER OF CREDIT
Form MMS-4436
Bank Name___________________________________________________________________________
Bank Address _________________________________________________________________________
Bank ABA Number ____________________________________________________________________
Irrevocable Letter of Credit No. ___________________________________________________________
This Letter of Credit is effective ___________________________________________________________
Expiration date is at close of business on ____________________________________________________
Beneficiary:

Minerals Management Service
Minerals Revenue Management
Attn: Chief, Office of Enforcement
DFC, Building 85, Room A-614
Denver, Colorado 80225

Sir or Madam:
We hereby establish our irrevocable Letter of Credit in your favor and authorize drawing(s) on (Bank)
____________________________________ by order(s) and for account of (Company Name, Address)
_____________________, ________________________________________ up to an aggregate amount of
$_____________________ available by your drafts at sight accompanied by:
Beneficiary’s statement certifying that: The signer is a duly authorized official acting on behalf of
the Minerals Management Service of the U.S. Department of the Interior and that the amount of the
accompanying sight draft is due and payable to the Minerals Management Service of the U.S.
Department of the Interior as a result of completion of final administrative adjudication of the appeal
of (Bill Number(s))___________________ on (Date)______________ and further that (Company
Name)______________________ has for a period of more than 15 days neglected, failed, or refused
to pay such amount although requested to do so by the Minerals Management Service of the U.S.
Department of the Interior.
We hereby agree with bona fide holders that all drafts drawn under and in compliance with the terms of this credit
shall meet with due honor upon presentation and delivery of documents as specified to the drawee if drawn and
presented for negotiation on or before the expiration date.
It is a condition of this Letter of Credit that it is deemed to be automatically extended without amendment for
additional 1 year periods from the expiration date, unless 30 days prior to any expiration date, we notify you by
registered mail that we elect not to consider this Letter of Credit renewed for any such additional period.
Such notice of our intention not to renew this Letter of Credit as provided for herein shall authorize you to draw
upon this Letter of Credit, unless (Company Name) __________________ provides you, at least fourteen (14)
calendar days prior to the then current expiration date, with a replacement letter of credit with terms and
conditions substantially identical to those contained herein.
We certify that the amount of the credit herein established will not be reduced for any reason during the period of
this instrument without your written consent.
We will promptly notify you of any notice received or action filed alleging the insolvency or bankruptcy of the
Bank, or alleging any violations of regulatory requirements which could result in suspension or revocation of the
Bank’s charter or license to do business.
Form MMS-4436

(revised 02/2005)

Page 1 of 2

U.S. Department of the Interior
Minerals Management Service
Minerals Revenue Management

OMB Control Number 1010-0122
OMB Approval Expires July 31, 2008

In the event the Bank becomes unable to fulfill our obligations under this Letter of Credit for any reason, notice
shall be given immediately to you.
This Letter of Credit is subject to the Uniform Customs and Practice for Documentary Credits (1993 version),
International Chamber of Commerce Publication No. 500. If this Letter of Credit expires during an interruption
of business as described in Article 17 of said Publication No. 500, the bank hereby specifically agrees to effect
payment if this Letter of Credit is drawn against within 30 days after the resumption of business.
IN WITNESS WHEREOF, the bank has hereunto set its signature and seal this _____ day of ______________,
________.
_____________________________________
(Issuing Bank)
_____________________________________
(Authorized Officer)
ACKNOWLEDGMENT
On this ______ day of ______________, ________, before me, a Notary Public in and for the County of
_____________________, in the State of ____________________, appeared ____________________________
to me personally known who, being by me duly sworn did say that he/she is ___________________ of
_______________________, the bank named in and which executed the within instrument, and that the seal
affixed to said instrument is the seal of said Bank, and that said instrument was signed, sealed and delivered in
behalf of said Bank by authority of its Board of Directors, and he/she, as such, offer acknowledged said
instrument to be the free act and deed set forth.
IN WITNESS WHEREOF, I have hereunto set my hand and official seal on the day, month and year aforesaid.
My Commission Expires:
_______________________
Date

____________________________
Notary Public in and for said
County and State

Paperwork Reduction Act of 1995 (PRA) Statement: The PRA (44 U.S.C. § 3501 et seq.) requires us to inform you that we collect this
information to allow lessees, designees, or payors to stay the effectiveness of an order or decision by posting a surety instrument. The
MMS uses the information to secure the financial interests of the public and Indian lessors during the entire administrative and judicial
appeal process. Responses are required to obtain a benefit (43 U.S.C. § 1334). Proprietary information is protected in accordance with
standards established by the Federal Oil and Gas Royalty Management Act of 1982 (30 U.S.C. § 1733), the Freedom of Information Act
(5 U.S.C. § 552(b)(4)), the Department regulations (43 CFR § 2). An agency may not conduct or sponsor, and a person is not required to
respond to, a collection of information unless it displays a currently valid OMB Control Number. Public reporting burden for this form is
estimated to average 1 hour per response, including the time for reviewing instructions, gathering and maintaining data, and completing
and reviewing the form. Direct comments regarding the burden estimate or any other aspect of this form to the Information Collection
Clearance Officer, Minerals Management Service, Mail Stop 4230, 1849 C Street, NW, Washington, DC 20240.

Form MMS-4436

(revised 02/2005)

Page 2 of 2