TITLE 30--MINERAL LANDS AND MINING
CHAPTER 3A--LEASES AND PROSPECTING PERMITS
SUBCHAPTER I--GENERAL PROVISIONS
Sec. 181. Lands subject to disposition; persons entitled to
benefits; reciprocal privileges; helium rights reserved
Deposits of coal, phosphate, sodium, potassium, oil, oil shale,
gilsonite (including all vein-type solid hydrocarbons), or gas, and
lands containing such deposits owned by the United States, including
those in national forests, but excluding lands acquired under the
Appalachian Forest Act, approved March 1, 1911 (36 Stat. 961), and those
in incorporated cities, towns, and villages and in national parks and
monuments, those acquired under other Acts subsequent to February 25,
1920, and lands within the naval petroleum and oil-shale reserves,
except as hereinafter provided, shall be subject to disposition in the
form and manner provided by this chapter to citizens of the United
States, or to associations of such citizens, or to any corporation
organized under the laws of the United States, or of any State or
Territory thereof, or in the case of coal, oil, oil shale, or gas, to
municipalities. Citizens of another country, the laws, customs, or
regulations of which deny similar or like privileges to citizens or
corporations of this country, shall not by stock ownership, stock
holding, or stock control, own any interest in any lease acquired under
the provisions of this chapter.
The term ``oil'' shall embrace all nongaseous hydrocarbon substances
other than those substances leasable as coal, oil shale, or gilsonite
(including all vein-type solid hydrocarbons).
The term ``combined hydrocarbon lease'' shall refer to a lease
issued in a special tar sand area pursuant to section 226 of this title
after November 16, 1981.
The term ``special tar sand area'' means (1) an area designated by
the Secretary of the Interior's orders of November 20, 1980 (45 FR
76800-76801) and January 21, 1981 (46 FR 6077-6078) as containing
substantial deposits of tar sand.
The United States reserves the ownership of and the right to extract
helium from all gas produced from lands leased or otherwise granted
under the provisions of this chapter, under such rules and regulations
as shall be prescribed by the Secretary of the Interior: Provided
further, That in the extraction of helium from gas produced from such
lands it shall be so extracted as to cause no substantial delay in the delivery of gas produced from the
well to the purchaser thereof.
(Feb. 25, 1920, ch. 85, Sec. 1, 41 Stat. 437; Feb. 7, 1927, ch. 66,
Sec. 5, 44 Stat. 1058; Aug. 8, 1946, ch. 916, Sec. 1, 60 Stat. 950; Pub.
L. 86-705, Sec. 7(a), Sept. 2, 1960, 74 Stat. 790; Pub. L. 97-78,
Sec. 1(1), (4), Nov. 16, 1981, 95 Stat. 1070.)
Sec. 182. Lands disposed of with reservation of deposits of
coal, etc.
The provisions of this chapter shall also apply to all deposits of
coal, phosphate, sodium, oil, oil shale, gilsonite (including all vein-
type solid hydrocarbons), or gas in the lands of the United States,
which lands may have been or may be disposed of under laws reserving to
the United States such deposits, with the right to prospect for, mine,
and remove the same, subject to such conditions as are or may hereafter
be provided by such laws reserving such deposits.
(Feb. 25, 1920, ch. 85, Sec. 34, 41 Stat. 450; Pub. L. 86-705,
Sec. 7(a), Sept. 2, 1960, 74 Stat. 790; Pub. L. 97-78, Sec. 1(1), Nov.
16, 1981, 95 Stat. 1070.)
Sec. 183. Cancellation of prospecting permits
The Secretary of the Interior shall reserve and may exercise the
authority to cancel any prospecting permit upon failure by the permittee
to exercise due diligence in the prosecution of the prospecting work in
accordance with the terms and conditions stated in the permit, and shall
insert in every such permit issued under the provisions of this chapter
appropriate provisions for its cancellation by him.
(Feb. 25, 1920, ch. 85, Sec. 26, 41 Stat. 448.)
Sec. 184. Limitations on leases held, owned or controlled by
persons, associations or corporations
(a) Coal leases
No person, association, or corporation, or any subsidiary,
affiliate, or persons controlled by or under common control with such
person, association, or corporation shall take, hold, own or control at
one time, whether acquired directly from the Secretary under this
chapter or otherwise, coal leases or permits on an aggregate of more
than 75,000 acres in any one State and in no case greater than an
aggregate of 150,000 acres in the United States: Provided, That any
person, association, or corporation currently holding, owning, or
controlling more than an aggregate of 150,000 acres in the United States
on the date of enactment of this section shall not be required on
account of this section to relinquish said leases or permits: Provided,
further, That in no case shall such person, association, or corporation
be permitted to take, hold, own, or control any further Federal coal
leases or permits until such time as their holdings, ownership, or
control of Federal leases or permits has been reduced below an aggregate
of 150,000 acres within the United States.
(b) Sodium leases or permits, acreage
(1) No person, association, or corporation, except as otherwise
provided in this subsection, shall take, hold, own, or control at one
time, whether acquired directly from the Secretary under this chapter,
or otherwise, sodium leases or permits on an aggregate of more than five
thousand one hundred and twenty acres in any one State.
(2) The Secretary may, in his discretion, where the same is
necessary in order to secure the economic mining of sodium compounds
leasable under this chapter, permit a person, association, or
corporation to take or hold sodium leases or permits on up to 30,720
acres in any one State.
(c) Phosphate leases, acreage
No person, association, or corporation shall take, hold, own, or
control at one time, whether acquired directly from the Secretary under
this chapter, or otherwise, phosphate leases or permits on an aggregate
of more than twenty thousand four hundred and eighty acres in the United
States.
(d) Oil or gas leases, acreage, Alaska; options, semi-annual statements
(1) No person, association, or corporation, except as otherwise
provided in this chapter, shall take, hold, own or control at one time,
whether acquired directly from the Secretary under this chapter, or
otherwise, oil or gas leases (including options for such leases or
interests therein) on land held under the provisions of this chapter
exceeding in the aggregate two hundred forty-six thousand and eighty
acres in any one State other than Alaska \1\ Provided, however, That
acreage held in special tar sand areas, and acreage under any lease any
portion of which has been committed to a federally approved unit or
cooperative plan or communitization agreement or for which royalty
(including compensatory royalty or royalty in-kind) was paid in the
preceding calendar year, shall not be chargeable against such State
limitations. In the case of the State of Alaska, the limit shall be
three hundred thousand acres in the northern leasing district and three
hundred thousand acres in the southern leasing district, and the
boundary between said two districts shall be the left limit of the
Tanana River from the border between the United States and Canada to the
confluence of the Tanana and Yukon Rivers, and the left limit of the
Yukon River from said confluence to its principal southern mouth.
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\1\ So in original. Probably should be followed by a colon.
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(2) No person, association, or corporation shall take, hold, own, or
control at one time options to acquire interests in oil or gas leases
under the provisions of this chapter which involve, in the aggregate,
more than two hundred thousand acres of land in any one State other than Alaska, or, in the case of
Alaska, more than two hundred thousand acres in each of its two leasing
districts, as hereinbefore described. No option to acquire any interest
in such an oil or gas lease shall be enforcible if entered into for a
period of more than three years (which three years shall be inclusive of
any renewal period if a right to renew is reserved by any party to the
option) without the prior approval of the Secretary. In any case in
which an option to acquire the optionor's entire interest in the whole
or a part of the acreage under a lease is entered into, the acreage to
which the option is applicable shall be charged both to the optionor and
to the optionee, but the charge to the optionor shall cease when the
option is exercised. In any case in which an option to acquire a part of
the optionor's interest in the whole or a part of the acreage under a
lease is entered into, the acreage to which the option is applicable
shall be fully charged to the optionor and a share thereof shall also be
charged to the optionee, as his interest may appear, but after the
option is exercised said acreage shall be charged to the parties pro
rata as their interests may appear. In any case in which an assignment
is made of a part of a lessee's interest in the whole or part of the
acreage under a lease or an application for a lease, the acreage shall
be charged to the parties pro rata as their interests may appear. No
option or renewal thereof shall be enforcible until notice thereof has
been filed with the Secretary or an officer or employee of the
Department of the Interior designated by him to receive the same. Each
such notice shall include, in addition to any other matters prescribed
by the Secretary, the names and addresses of the parties thereto, the
serial number of the lease or application for a lease to which the
option is applicable, and a statement of the number of acres covered
thereby and of the interests and obligations of the parties thereto and
shall be subscribed by all parties to the option or their duly
authorized agents. An option which has not been exercised shall remain
charged as hereinbefore provided until notice of its relinquishment or
surrender has been filed, by either party, with the Secretary or any
officer or employee of the Department of the Interior designated by him
to receive the same. In addition, each holder of any such option shall
file with the Secretary or an officer or employee of the Department of
the Interior as aforesaid within ninety days after the 30th day of June
and the 31st day of December in each year a statement showing, in
addition to any other matters prescribed by the Secretary, his name, the
name and address of each grantor of an option held by him, the serial
number of every lease or application for a lease to which such an option
is applicable, the number of acres covered by each such option, the
total acreage in each State to which such options are applicable, and
his interest and obligation under each such option. The failure of the
holder of an option so to file shall render the option unenforcible \2\
by him. The unenforcibility \3\ of any option under the provisions of
this paragraph shall not diminish the number of acres deemed to be held
under option by any person, association, or corporation in computing the
amount chargeable under the first sentence of this paragraph and shall
not relieve any party thereto of any liability to cancellation,
forfeiture, forced disposition, or other sanction provided by law. The
Secretary may prescribe forms on which the notice and statements
required by this paragraph shall be made.
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\2\ So in original. Probably should be ``unenforceable''.
\3\ So in original. Probably should be ``unenforceability''.
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(e) Association or stockholder interests, conditions; combined interests
(1) No person, association, or corporation shall take, hold, own or
control at one time any interest as a member of an association or as a
stockholder in a corporation holding a lease, option, or permit under
the provisions of this chapter which, together with the area embraced in
any direct holding, ownership or control by him of such a lease, option,
or permit or any other interest which he may have as a member of other
associations or as a stockholder in other corporations holding, owning
or controlling such leases, options, or permits for any kind of
minerals, exceeds in the aggregate an amount equivalent to the maximum
number of acres of the respective kinds of minerals allowed to any one
lessee, optionee, or permittee under this chapter, except that no person
shall be charged with his pro rata share of any acreage holdings of any
association or corporation unless he is the beneficial owner of more
than 10 per centum of the stock or other instruments of ownership or
control of such association or corporation, and except that within three
years after September 2, 1960 no valid option in existence prior to
September 2, 1960 held by a corporation or association on September 2,
1960 shall be chargeable to any stockholder of such corporation or to a
member of such association so long as said option shall be so held by
such corporation or association under the provisions of this chapter.
(2) No contract for development and operation of any lands leased
under this chapter, whether or not coupled with an interest in such
lease, and no lease held, owned, or controlled in common by two or more
persons, associations, or corporations shall be deemed to create a
separate association under the preceding paragraph of this subsection
between or among the contracting parties or those who hold, own or
control the lease in common, but the proportionate interest of each such
party shall be charged against the total acreage permitted to be held,
owned or controlled by such party under this chapter. The total acreage
so held, owned, or controlled in common by two or more parties shall not
exceed, in the aggregate, an amount equivalent to the maximum number of
acres of the respective kinds of minerals allowed to any one lessee,
optionee, or permittee under this chapter.
(f) Limitations on other sections; combined interests permitted for
certain purposes
Nothing contained in subsection (e) of this section shall be
construed (i) to limit sections 227, 228, 251 of this title or (ii),
subject to the approval of the Secretary, to prevent any number of
lessees under this chapter from combining their several interests so far
as may be necessary for the purpose of constructing and carrying on the business of a
refinery or of establishing and constructing, as a common carrier, a
pipeline or railroad to be operated and used by them jointly in the
transportation of oil from their several wells or from the wells of
other lessees under this chapter or in the transportation of coal or
(iii) to increase the acreage which may be taken, held, owned, or
controlled under this section.
(g) Forbidden interests acquired by descent, will, judgment, or decree;
permissible holding period
Any ownership or interest otherwise forbidden in this chapter which
may be acquired by descent, will, judgment, or decree may be held for
two years after its acquisition and no longer.
(h) Cancellation, forfeiture, or disposal of interests for violation;
bona fide purchasers and other valid interests; sale by
Secretary; record of proceedings
(1) If any interest in any lease is owned, or controlled, directly
or indirectly, by means of stock or otherwise, in violation of any of
the provisions of this chapter, the lease may be canceled, or the
interest so owned may be forfeited, or the person so owning or
controlling the interest may be compelled to dispose of the interest, in
any appropriate proceeding instituted by the Attorney General. Such a
proceeding shall be instituted in the United States district court for
the district in which the leased property or some part thereof is
located or in which the defendant may be found.
(2) The right to cancel or forfeit for violation of any of the
provisions of this chapter shall not apply so as to affect adversely the
title or interest of a bona fide purchaser of any lease, interest in a
lease, option to acquire a lease or an interest therein, or permit which
lease, interest, option, or permit was acquired and is held by a
qualified person, association, or corporation in conformity with those
provisions, even though the holdings of the person, association, or
corporation from which the lease, interest, option, or permit was
acquired, or of his predecessor in title (including the original lessee
of the United States) may have been canceled or forfeited or may be or
may have been subject to cancellation or forfeiture for any such
violation. If, in any such proceeding, an underlying lease, interest,
option, or permit is canceled or forfeited to the Government and there
are valid interests therein or valid options to acquire the lease or an
interest therein which are not subject to cancellation, forfeiture, or
compulsory disposition, the underlying lease, interest, option, or
permit shall be sold by the Secretary to the highest responsible
qualified bidder by competitive bidding under general regulations
subject to all outstanding valid interests therein and valid options
pertaining thereto. Likewise if, in any such proceeding, less than the
whole interest in a lease, interest, option, or permit is canceled or
forfeited to the Government, the partial interests so canceled or
forfeited shall be sold by the Secretary to the highest responsible
qualified bidder by competitive bidding under general regulations. If
competitive bidding fails to produce a satisfactory offer the Secretary
may, in either of these cases, sell the interest in question by such
other method as he deems appropriate on terms not less favorable to the
Government than those of the best competitive bid received.
(3) The commencement and conclusion of every proceeding under this
subsection shall be promptly noted on the appropriate public records of
the Bureau of Land Management.
(i) Bona fide purchasers, conditions for obtaining dismissals
Effective September 21, 1959, any person, association, or
corporation who is a party to any proceeding with respect to a violation
of any provision of this chapter, whether initiated prior to said date
or thereafter, shall have the right to be dismissed promptly as such a
party upon showing that he holds and acquired as a bona fide purchaser
the interest involving him as such a party without violating any
provisions of this chapter. No hearing upon any such showing shall be
required unless the Secretary presents prima facie evidence indicating a
possible violation of this chapter on the part of the alleged bona fide
purchaser.
(j) Waiver or suspension of rights
If during any such proceeding, a party thereto files with the
Secretary a waiver of his rights under his lease (including
particularly, where applicable, rights to drill and to assign) or if
such rights are suspended by the Secretary pending a decision in the
proceeding, whether initiated prior to enactment of this chapter or
thereafter, payment of rentals and running of time against the term of
the lease or leases involved shall be suspended as of the first day of
the month following the filing of the waiver or suspension of the rights
until the first day of the month following the final decision in the
proceeding or the revocation of the waiver or suspension.
(k) Unlawful trusts; forfeiture
Except as otherwise provided in this chapter, if any lands or
deposits subject to the provisions of this chapter shall be subleased,
trusteed, possessed, or controlled by any device permanently,
temporarily, directly, indirectly, tacitly, or in any manner whatsoever,
so that they form a part of or are in any wise controlled by any
combination in the form of an unlawful trust, with the consent of the
lessee, optionee, or permittee, or form the subject of any contract or
conspiracy in restraint of trade in the mining or selling of coal,
phosphate, oil, oil shale, gilsonite (including all vein-type solid
hydrocarbons), gas, or sodium entered into by the lessee, optionee, or
permittee or any agreement or understanding, written, verbal, or
otherwise, to which such lessee, optionee, or permittee shall be a
party, of which his or its output is to be or become the subject, to
control the price or prices thereof or of any holding of such lands by
any individual, partnership, association, corporation, or control in
excess of the amounts of lands provided in this chapter, the lease,
option, or permit shall be forfeited by appropriate court proceedings.
(l) Rules and regulations; notice to and consultation with Attorney
General; application of antitrust laws; definitions
(1) At each stage in the formulation and promulgation of rules and
regulations concerning coal leasing pursuant to this chapter, and at each stage in the
issuance, renewal, and readjustment of coal leases under this chapter,
the Secretary of the Interior shall consult with and give due
consideration to the views and advice of the Attorney General of the
United States.
(2) No coal lease may be issued, renewed, or readjusted under this
chapter until at least thirty days after the Secretary of the Interior
notifies the Attorney General of the proposed issuance, renewal, or
readjustment. Such notification shall contain such information as the
Attorney General may require in order to advise the Secretary of the
Interior as to whether such lease would create or maintain a situation
inconsistent with the antitrust laws. If the Attorney General advises
the Secretary of the Interior that a lease would create or maintain such
a situation, the Secretary of the Interior may not issue such lease, nor
may he renew or readjust such lease for a period not to exceed one year,
as the case may be, unless he thereafter conducts a public hearing on
the record in accordance with subchapter II of chapter 5 of title 5 and
finds therein that such issuance, renewal, or readjustment is necessary
to effectuate the purposes of this chapter, that it is consistent with
the public interest, and that there are no reasonable alternatives
consistent with this chapter, the antitrust laws, and the public
interest.
(3) Nothing in this chapter shall be deemed to convey to any person,
association, corporation, or other business organization immunity from
civil or criminal liability, or to create defenses to actions, under any
antitrust law.
(4) As used in this subsection, the term ``antitrust law'' means--
(A) the Act entitled ``An Act to protect trade and commerce
against unlawful restraints and monopolies'', approved July 2, 1890
(15 U.S.C. 1 et seq.), as amended;
(B) the Act entitled ``An Act to supplement existing laws
against unlawful restraints and monopolies, and for other
purposes'', approved October 15, 1914 (15 U.S.C. 12 et seq.), as
amended;
(C) the Federal Trade Commission Act (15 U.S.C. 41 et seq.), as
amended;
(D) sections 73 and 74 of the Act entitled ``An Act to reduce
taxation, to provide revenue for the Government, and for other
purposes'', approved August 27, 1894 (15 U.S.C. 8 and 9), as
amended; or
(E) the Act of June 19, 1936, chapter 592 (15 U.S.C. 13, 13a,
13b, and 21a).
(Feb. 25, 1920, ch. 85, Sec. 27, 41 Stat. 448; Apr. 30, 1926, ch. 197,
44 Stat. 373; July 3, 1930, ch. 854, Sec. 1, 46 Stat. 1007; Mar. 4,
1931, ch. 506, 46 Stat. 1524; Aug. 8, 1946, ch. 916, Sec. 6, 60 Stat.
954; June 1, 1948, ch. 365, 62 Stat. 285; June 3, 1948, ch. 379, Sec. 6,
62 Stat. 291; Aug. 2, 1954, ch. 650, 68 Stat. 648; Pub. L. 85-122, Aug.
13, 1957, 71 Stat. 341; Pub. L. 85-698, Aug. 21, 1958, 72 Stat. 688;
Pub. L. 86-294, Sec. 1, Sept. 21, 1959, 73 Stat. 571; Pub. L. 86-391,
Sec. 1(c), Mar. 18, 1960, 74 Stat. 8; Pub. L. 86-705, Sec. 3, Sept. 2,
1960, 74 Stat. 785; Pub. L. 88-526, Sec. 1, Aug. 31, 1964, 78 Stat. 710;
Pub. L. 88-548, Aug. 31, 1964, 78 Stat. 754; Pub. L. 94-377,
Secs. 11, 15, Aug. 4, 1976, 90 Stat. 1090, 1091; Pub. L. 97-78,
Sec. 1(2), (5), Nov. 16, 1981, 95 Stat. 1070; Pub. L. 106-191, Sec. 2,
Apr. 28, 2000, 114 Stat. 232; Pub. L. 106-463, Sec. 3, Nov. 7, 2000, 114
Stat. 2011; Pub. L. 109-58, title III, Sec. 352, Aug. 8, 2005, 119 Stat.
714.)
Sec. 184a. Authorization of States to include in agreements for
conservation of oil and gas resources lands acquired from United
States
Notwithstanding the provisions of any applicable grant, deed,
patent, exchange, or law of the United States, any State owning lands or
interests therein acquired by it from the United States may consent to
the operation or development of such lands or interests, or any part
thereof, under agreements approved by the Secretary of the Interior made
jointly or severally with lessees or permittees of lands or mineral
deposits of the United States or others, for the purpose of more
properly conserving the oil and gas resources within such State. Such
agreements may provide for the cooperative or unit operation or
development of part or all of any oil or gas pool, field, or area; for
the allocation of production and the sharing of proceeds from the whole
or any specified part thereof regardless of the particular tract from
which production is obtained or proceeds are derived; and, with the
consent of the State, for the modification of the terms and provisions
of State leases for lands operated and developed thereunder, including
the term of years for which said leases were originally granted, to
conform said leases to the terms and provisions of such agreements:
Provided, That nothing in this section contained, nor the effectuation
of it, shall be construed as in any respect waiving, determining or
affecting any right, title, or interest, which otherwise may exist in
the United States, and that the making of any agreement, as provided in
this section, shall not be construed as an admission as to the title or
ownership of the lands included.
(Jan. 26, 1940, ch. 14, 54 Stat. 17.)
Sec. 185. Rights-of-way for pipelines through Federal lands
(a) Grant of authority
Rights-of-way through any Federal lands may be granted by the
Secretary of the Interior or appropriate agency head for pipeline
purposes for the transportation of oil, natural gas, synthetic liquid or
gaseous fuels, or any refined product produced therefrom to any
applicant possessing the qualifications provided in section 181 of this
title in accordance with the provisions of this section.
(b) Definitions
(1) For the purposes of this section ``Federal lands'' means all
lands owned by the United States except lands in the National Park
System, lands held in trust for an Indian or Indian tribe, and lands on
the Outer Continental Shelf. A right-of-way through a Federal reservation shall not be granted if the Secretary or agency head determines that it would be inconsistent with the purposes of the reservation.
(2) ``Secretary'' means the Secretary of the Interior.
(3) ``Agency head'' means the head of any Federal department or
independent Federal office or agency, other than the Secretary of the
Interior, which has jurisdiction over Federal lands.
(c) Inter-agency coordination
(1) Where the surface of all of the Federal lands involved in a
proposed right-of-way or permit is under the jurisdiction of one Federal
agency, the agency head, rather than the Secretary, is authorized to
grant or renew the right-of-way or permit for the purposes set forth in
this section.
(2) Where the surface of the Federal lands involved is administered
by the Secretary or by two or more Federal agencies, the Secretary is
authorized, after consultation with the agencies involved, to grant or
renew rights-of-way or permits through the Federal lands involved. The
Secretary may enter into interagency agreements with all other Federal
agencies having jurisdiction over Federal lands for the purpose of
avoiding duplication, assigning responsibility, expediting review of
rights-of-way or permit applications, issuing joint regulations, and
assuring a decision based upon a comprehensive review of all factors
involved in any right-of-way or permit application. Each agency head
shall administer and enforce the provisions of this section, appropriate
regulations, and the terms and conditions of rights-of-way or permits
insofar as they involve Federal lands under the agency head's
jurisdiction.
(d) Width limitations
The width of a right-of-way shall not exceed fifty feet plus the
ground occupied by the pipeline (that is, the pipe and its related
facilities) unless the Secretary or agency head finds, and records the
reasons for his finding, that in his judgment a wider right-of-way is
necessary for operation and maintenance after construction, or to
protect the environment or public safety. Related facilities include but
are not limited to valves, pump stations, supporting structures,
bridges, monitoring and communication devices, surge and storage tanks,
terminals, roads, airstrips and campsites and they need not necessarily
be connected or contiguous to the pipe and may be the subjects of
separate rights-of-way.
(e) Temporary permits
A right-of-way may be supplemented by such temporary permits for the
use of Federal lands in the vicinity of the pipeline as the Secretary or
agency head finds are necessary in connection with construction,
operation, maintenance, or termination of the pipeline, or to protect
the natural environment or public safety.
(f) Regulatory authority
Rights-of-way or permits granted or renewed pursuant to this section
shall be subject to regulations promulgated in accord with the
provisions of this section and shall be subject to such terms and
conditions as the Secretary or agency head may prescribe regarding
extent, duration, survey, location, construction, operation,
maintenance, use, and termination.
(g) Pipeline safety
The Secretary or agency head shall impose requirements for the
operation of the pipeline and related facilities in a manner that will
protect the safety of workers and protect the public from sudden
ruptures and slow degradation of the pipeline.
(h) Environmental protection
(1) Nothing in this section shall be construed to amend, repeal,
modify, or change in any way the requirements of section 102(2)(C) [42
U.S.C. 4332(2)(C)] or any other provision of the National Environmental
Policy Act of 1969 [42 U.S.C. 4321 et seq.].
(2) The Secretary or agency head, prior to granting a right-of-way
or permit pursuant to this section for a new project which may have a
significant impact on the environment, shall require the applicant to
submit a plan of construction, operation, and rehabilitation for such
right-of-way or permit which shall comply with this section. The
Secretary or agency head shall issue regulations or impose stipulations
which shall include, but shall not be limited to: (A) requirements for
restoration, revegetation, and curtailment of erosion of the surface of
the land; (B) requirements to insure that activities in connection with
the right-of-way or permit will not violate applicable air and water
quality standards nor related facility siting standards established by
or pursuant to law; (C) requirements designed to control or prevent (i)
damage to the environment (including damage to fish and wildlife
habitat), (ii) damage to public or private property, and (iii) hazards
to public health and safety; and (D) requirements to protect the
interests of individuals living in the general area of the right-of-way
or permit who rely on the fish, wildlife, and biotic resources of the
area for subsistence purposes. Such regulations shall be applicable to
every right-of-way or permit granted pursuant to this section, and may
be made applicable by the Secretary or agency head to existing rights-
of-way or permits, or rights-of-way or permits to be renewed pursuant to
this section.
(i) Disclosure
If the applicant is a partnership, corporation, association, or
other business entity, the Secretary or agency head shall require the
applicant to disclose the identity of the participants in the entity.
Such disclosure shall include where applicable (1) the name and address
of each partner, (2) the name and address of each shareholder owning 3
per centum or more of the shares, together with the number and
percentage of any class of voting shares of the entity which such
shareholder is authorized to vote, and (3) the name and address of each
affiliate of the entity together with, in the case of an affiliate
controlled by the entity, the number of shares and the percentage of any
class of voting stock of that affiliate owned, directly or indirectly,
by that entity, and, in the case of an affiliate which controls that
entity, the number of shares and the percentage of any class of voting stock of that entity
owned, directly or indirectly, by the affiliate.
(j) Technical and financial capability
The Secretary or agency head shall grant or renew a right-of-way or
permit under this section only when he is satisfied that the applicant
has the technical and financial capability to construct, operate,
maintain, and terminate the project for which the right-of-way or permit
is requested in accordance with the requirements of this section.
(k) Public hearings
The Secretary or agency head by regulation shall establish
procedures, including public hearings where appropriate, to give
Federal, State, and local government agencies and the public adequate
notice and an opportunity to comment upon right-of-way applications
filed after the date of enactment of this subsection.
(l) Reimbursement of costs
The applicant for a right-of-way or permit shall reimburse the
United States for administrative and other costs incurred in processing
the application, and the holder of a right-of-way or permit shall
reimburse the United States for the costs incurred in monitoring the
construction, operation, maintenance, and termination of any pipeline
and related facilities on such right-of-way or permit area and shall pay
annually in advance the fair market rental value of the right-of-way or
permit, as determined by the Secretary or agency head.
(m) Bonding
Where he deems it appropriate the Secretary or agency head may
require a holder of a right-of-way or permit to furnish a bond, or other
security, satisfactory to the Secretary or agency head to secure all or
any of the obligations imposed by the terms and conditions of the right-
of-way or permit or by any rule or regulation of the Secretary or agency
head.
(n) Duration of grant
Each right-of-way or permit granted or renewed pursuant to this
section shall be limited to a reasonable term in light of all
circumstances concerning the project, but in no event more than thirty
years. In determining the duration of a right-of-way the Secretary or
agency head shall, among other things, take into consideration the cost
of the facility, its useful life, and any public purpose it serves. The
Secretary or agency head shall renew any right-of-way, in accordance
with the provisions of this section, so long as the project is in
commercial operation and is operated and maintained in accordance with
all of the provisions of this section.
(o) Suspension or termination of right-of-way
(1) Abandonment of a right-of-way or noncompliance with any
provision of this section may be grounds for suspension or termination
of the right-of-way if (A) after due notice to the holder of the right-
of-way, (B) a reasonable opportunity to comply with this section, and
(C) an appropriate administrative proceeding pursuant to section 554 of
title 5, the Secretary or agency head determines that any such ground
exists and that suspension or termination is justified. No
administrative proceeding shall be required where the right-of-way by
its terms provides that it terminates on the occurrence of a fixed or
agreed upon condition, event, or time.
(2) If the Secretary or agency head determines that an immediate
temporary suspension of activities within a right-of-way or permit area
is necessary to protect public health or safety or the environment, he
may abate such activities prior to an administrative proceeding.
(3) Deliberate failure of the holder to use the right-of-way for the
purpose for which it was granted or renewed for any continuous two-year
period shall constitute a rebuttable presumption of abandonment of the
right-of-way: Provided, That where the failure to use the right-of-way
is due to circumstances not within the holder's control the Secretary or
agency head is not required to commence proceedings to suspend or
terminate the right-of-way.
(p) Joint use of rights-of-way
In order to minimize adverse environmental impacts and the
proliferation of separate rights-of-way across Federal lands, the
utilization of rights-of-way in common shall be required to the extent
practical, and each right-of-way or permit shall reserve to the
Secretary or agency head the right to grant additional rights-of-way or
permits for compatible uses on or adjacent to rights-of-way or permit
area granted pursuant to this section.
(q) Statutes
No rights-of-way for the purposes provided for in this section shall
be granted or renewed across Federal lands except under and subject to
the provisions, limitations, and conditions of this section. Any
application for a right-of-way filed under any other law prior to the
effective date of this provision may, at the applicant's option, be
considered as an application under this section. The Secretary or agency
head may require the applicant to submit any additional information he
deems necessary to comply with the requirements of this section.
(r) Common carriers
(1) Pipelines and related facilities authorized under this section
shall be constructed, operated, and maintained as common carriers.
(2)(A) The owners or operators of pipelines subject to this section
shall accept, convey, transport, or purchase without discrimination all
oil or gas delivered to the pipeline without regard to whether such oil
or gas was produced on Federal or non-Federal lands.
(B) In the case of oil or gas produced from Federal lands or from
the resources on the Federal lands in the vicinity of the pipeline, the
Secretary may, after a full hearing with due notice thereof to the
interested parties and a proper finding of facts, determine the
proportionate amounts to be accepted, conveyed, transported or
purchased.
(3)(A) The common carrier provisions of this section shall not apply
to any natural gas pipeline operated by any person subject to regulation
under the Natural Gas Act [15 U.S.C. 717 et seq.] or by any public
utility subject to regulation by a State or municipal regulatory agency
having jurisdiction to regulate the rates and charges for the sale of
natural gas to consumers within the State or municipality.
(B) Where natural gas not subject to State regulatory or
conservation laws governing its purchase by pipelines is offered for
sale, each such pipeline shall purchase, without discrimination, any
such natural gas produced in the vicinity of the pipeline.
(4) The Government shall in express terms reserve and shall provide
in every lease of oil lands under this chapter that the lessee,
assignee, or beneficiary, if owner or operator of a controlling interest
in any pipeline or of any company operating the pipeline which may be
operated accessible to the oil derived from lands under such lease,
shall at reasonable rates and without discrimination accept and convey
the oil of the Government or of any citizen or company not the owner of
any pipeline operating a lease or purchasing gas or oil under the
provisions of this chapter.
(5) Whenever the Secretary has reason to believe that any owner or
operator subject to this section is not operating any oil or gas
pipeline in complete accord with its obligations as a common carrier
hereunder, he may request the Attorney General to prosecute an
appropriate proceeding before the Secretary of Energy or Federal Energy
Regulatory Commission or any appropriate State agency or the United
States district court for the district in which the pipeline or any part
thereof is located, to enforce such obligation or to impose any penalty
provided therefor, or the Secretary may, by proceeding as provided in
this section, suspend or terminate the said grant of right-of-way for
noncompliance with the provisions of this section.
(6) The Secretary or agency head shall require, prior to granting or
renewing a right-of-way, that the applicant submit and disclose all
plans, contracts, agreements, or other information or material which he
deems necessary to determine whether a right-of-way shall be granted or
renewed and the terms and conditions which should be included in the
right-of-way. Such information may include, but is not limited to: (A)
conditions for, and agreements among owners or operators, regarding the
addition of pumping facilities, looping, or otherwise increasing the
pipeline or terminal's throughput capacity in response to actual or
anticipated increases in demand; (B) conditions for adding or abandoning
intake, offtake, or storage points or facilities; and (C) minimum
shipment or purchase tenders.
(s) Exports of Alaskan North Slope oil
(1) Subject to paragraphs (2) through (6) of this subsection and
notwithstanding any other provision of this chapter or any other
provision of law (including any regulation) applicable to the export of
oil transported by pipeline over right-of-way granted pursuant to
section 1652 of title 43, such oil may be exported unless the President
finds that exportation of this oil is not in the national interest. The
President shall make his national interest determination within five
months of November 28, 1995. In evaluating whether exports of this oil
are in the national interest, the President shall at a minimum
consider--
(A) whether exports of this oil would diminish the total
quantity or quality of petroleum available to the United States;
(B) the results of an appropriate environmental review,
including consideration of appropriate measures to mitigate any
potential adverse effects of exports of this oil on the environment,
which shall be completed within four months of November 28, 1995;
and
(C) whether exports of this oil are likely to cause sustained
material oil supply shortages or sustained oil prices significantly
above world market levels that would cause sustained material
adverse employment effects in the United States or that would cause
substantial harm to consumers, including noncontiguous States and
Pacific territories.
If the President determines that exports of this oil are in the national
interest, he may impose such terms and conditions (other than a volume
limitation) as are necessary or appropriate to ensure that such exports
are consistent with the national interest.
(2) Except in the case of oil exported to a country with which the
United States entered into a bilateral international oil supply
agreement before November 26, 1979, or to a country pursuant to the
International Emergency Oil Sharing Plan of the International Energy
Agency, any oil transported by pipeline over right-of-way granted
pursuant to section 1652 of title 43 shall, when exported, be
transported by a vessel documented under the laws of the United States
and owned by a citizen of the United States (as determined in accordance
with section 50501 of title 46).
(3) Nothing in this subsection shall restrict the authority of the
President under the Constitution, the International Emergency Economic
Powers Act (50 U.S.C. 1701 et seq.), the National Emergencies Act (50
U.S.C. 1601 et seq.), or Part B of title II of the Energy Policy and
Conservation Act (42 U.S.C. 6271-76) to prohibit exports.
(4) The Secretary of Commerce shall issue any rules necessary for
implementation of the President's national interest determination,
including any licensing requirements and conditions, within 30 days of
the date of such determination by the President. The Secretary of
Commerce shall consult with the Secretary of Energy in administering the
provisions of this subsection.
(5) If the Secretary of Commerce finds that exporting oil under
authority of this subsection has caused sustained material oil supply
shortages or sustained oil prices significantly above world market
levels and further finds that these supply shortages or price increases
have caused or are likely to cause sustained material adverse employment
effects in the United States, the Secretary of Commerce, in consultation
with the Secretary of Energy, shall recommend, and the President may
take, appropriate action concerning exports of this oil, which may
include modifying or revoking authority to export such oil.
(6) Administrative action under this subsection is not subject to
sections 551 and 553 through 559 of title 5.
(t) Existing rights-of-way
The Secretary or agency head may ratify and confirm any right-of-way
or permit for an oil or gas pipeline or related facility that was
granted under any provision of law before the effective date of this
subsection, if it is modified by mutual agreement to comply to the
extent practical with the provisions of this section. Any action taken
by the Secretary or agency head pursuant to this subsection shall not be
considered a major Federal action requiring a detailed statement
pursuant to section 102(2)(C) of the National Environmental Policy Act
of 1970 (Public Law 90-190; 42 U.S.C. 4321).\1\
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\1\ So in original. Probably should be ``National Environmental
Policy Act of 1969 (Public Law 91-190; 42 U.S.C. 4332(2)(C))''.
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(u) Limitations on export
Any domestically produced crude oil transported by pipeline over
rights-of-way granted pursuant to this section, except such crude oil
which is either exchanged in similar quantity for convenience or
increased efficiency of transportation with persons or the government of
an adjacent foreign state, or which is temporarily exported for
convenience or increased efficiency of transportation across parts of an
adjacent foreign state and reenters the United States, shall be subject
to all of the limitations and licensing requirements of the Export
Administration Act of 1979 (50 U.S.C. App. 2401 and following) and, in
addition, before any crude oil subject to this section may be exported
under the limitations and licensing requirements and penalty and
enforcement provisions of the Export Administration Act of 1979 the
President must make and publish an express finding that such exports
will not diminish the total quantity or quality of petroleum available
to the United States, and are in the national interest and are in accord
with the provisions of the Export Administration Act of 1979: Provided,
That the President shall submit reports to the Congress containing
findings made under this section, and after the date of receipt of such
report Congress shall have a period of sixty calendar days, thirty days
of which Congress must have been in session, to consider whether exports
under the terms of this section are in the national interest. If the
Congress within this time period passes a concurrent resolution of
disapproval stating disagreement with the President's finding concerning
the national interest, further exports made pursuant to the
aforementioned Presidential findings shall cease.
(v) State standards
The Secretary or agency head shall take into consideration and to
the extent practical comply with State standards for right-of-way
construction, operation, and maintenance.
(w) Reports
(1) The Secretary and other appropriate agency heads shall report to
the Committee on Natural Resources of the United States House of
Representatives and the Committee on Energy and Natural Resources of the
United States Senate annually on the administration of this section and
on the safety and environmental requirements imposed pursuant thereto.
(2) The Secretary or agency head shall promptly notify the Committee
on Natural Resources of the United States House of Representatives and
the Committee on Energy and Natural Resources of the United States
Senate upon receipt of an application for a right-of-way for a pipeline
twenty-four inches or more in diameter, and no right-of-way for such a
pipeline shall be granted until a notice of intention to grant the
right-of-way, together with the Secretary's or agency head's detailed
findings as to the terms and conditions he proposes to impose, has been
submitted to such committees.
(3) Periodically, but at least once a year, the Secretary of the
Department of Transportation shall cause the examination of all
pipelines and associated facilities on Federal lands and shall cause the
prompt reporting of any potential leaks or safety problems.
(x) Liability
(1) The Secretary or agency head shall promulgate regulations and
may impose stipulations specifying the extent to which holders of
rights-of-way and permits under this chapter shall be liable to the
United States for damage or injury incurred by the United States in
connection with the right-of-way or permit. Where the right-of-way or
permit involves lands which are under the exclusive jurisdiction of the
Federal Government, the Secretary or agency head shall promulgate
regulations specifying the extent to which holders shall be liable to
third parties for injuries incurred in connection with the right-of-way
or permit.
(2) The Secretary or agency head may, by regulation or stipulation,
impose a standard of strict liability to govern activities taking place
on a right-of-way or permit area which the Secretary or agency head
determines, in his discretion, to present a foreseeable hazard or risk
of danger to the United States.
(3) Regulations and stipulations pursuant to this subsection shall
not impose strict liability for damage or injury resulting from (A) an
act of war, or (B) negligence of the United States.
(4) Any regulation or stipulation imposing liability without fault
shall include a maximum limitation on damages commensurate with the
foreseeable risks or hazards presented. Any liability for damage or
injury in excess of this amount shall be determined by ordinary rules of
negligence.
(5) The regulations and stipulations shall also specify the extent
to which such holders shall indemnify or hold harmless the United States
for liability, damage, or claims arising in connection with the right-
of-way or permit.
(6) Any regulation or stipulation promulgated or imposed pursuant to
this section shall provide that all owners of any interest in, and all
affiliates or subsidiaries of any holder of, a right-of-way or permit
shall be liable to the United States in the event that a claim for
damage or injury cannot be collected from the holder.
(7) In any case where liability without fault is imposed pursuant to
this subsection and the damages involved were caused by the negligence
of a third party, the rules of subrogation shall apply in accordance
with the law of the jurisdiction where the damage occurred.
(y) Antitrust laws
The grant of a right-of-way or permit pursuant to this section shall
grant no immunity from the operation of the Federal antitrust laws.
(Feb. 25, 1920, ch. 85, Sec. 28, 41 Stat. 449; Aug. 21, 1935, ch. 599,
Sec. 1, 49 Stat. 678; Aug. 12, 1953, ch. 408, 67 Stat. 557; Pub. L. 93-
153, title I, Sec. 101, Nov. 16, 1973, 87 Stat. 576; Pub. L. 95-91,
title III, Secs. 301(b), 306, title IV, Sec. 402(a), (b), title VII,
Secs. 703, 707, Aug. 4, 1977, 91 Stat. 578, 581, 583, 584, 606, 607;
Pub. L. 99-64, title I, Sec. 123(b), July 12, 1985, 99 Stat. 156; Pub.
L. 101-475, Sec. 1, Oct. 30, 1990, 104 Stat. 1102; Pub. L. 103-437,
Sec. 11(a)(1), Nov. 2, 1994, 108 Stat. 4589; Pub. L. 104-58, title II,
Sec. 201, Nov. 28, 1995, 109 Stat. 560; Pub. L. 104-66, title I,
Sec. 1121(k), Dec. 21, 1995, 109 Stat. 724.)
Sec. 186. Reservation of easements or rights-of-way for working
purposes; reservation of right to dispose of surface of lands;
determination before offering of lease; easement periods
Any permit, lease, occupation, or use permitted under this chapter
shall reserve to the Secretary of the Interior the right to permit upon
such terms as he may determine to be just, for joint or several use,
such easements or rights-of-way, including easements in tunnels upon,
through, or in the lands leased, occupied, or used as may be necessary
or appropriate to the working of the same, or of other lands containing
the deposits described in this chapter, and the treatment and shipment
of the products thereof by or under authority of the Government, its
lessees, or permittees, and for other public purposes. The Secretary of
the Interior, in his discretion, in making any lease under this chapter,
may reserve to the United States the right to lease, sell, or otherwise
dispose of the surface of the lands embraced within such lease under
existing law or laws hereafter enacted, insofar as said surface is not
necessary for use of the lessee in extracting and removing the deposits
therein. If such reservation is made it shall be so determined before
the offering of such lease. The said Secretary, during the life of the
lease, is authorized to issue such permits for easements herein provided
to be reserved.
(Feb. 25, 1920, ch. 85, Sec. 29, 41 Stat. 449.)
Sec. 187. Assignment or subletting of leases; relinquishment of
rights under leases; conditions in leases for protection of
diverse interests in operation of mines, wells, etc.; State laws
not impaired
No lease issued under the authority of this chapter shall be
assigned or sublet, except with the consent of the Secretary of the
Interior. The lessee may, in the discretion of the Secretary of the
Interior, be permitted at any time to make written relinquishment of all
rights under such a lease, and upon acceptance thereof be thereby
relieved of all future obligations under said lease, and may with like
consent surrender any legal subdivision of the area included within the
lease. Each lease shall contain provisions for the purpose of insuring
the exercise of reasonable diligence, skill, and care in the operation
of said property; a provision that such rules for the safety and welfare
of the miners and for the prevention of undue waste as may be prescribed
by said Secretary shall be observed, including a restriction of the
workday to not exceeding eight hours in any one day for underground
workers except in cases of emergency; provisions prohibiting the
employment of any child under the age of sixteen in any mine below the
surface; provisions securing the workmen complete freedom of purchase;
provision requiring the payment of wages at least twice a month in
lawful money of the United States, and providing proper rules and
regulations to insure the fair and just weighing or measurement of the
coal mined by each miner, and such other provisions as he may deem
necessary to insure the sale of the production of such leased lands to
the United States and to the public at reasonable prices, for the
protection of the interests of the United States, for the prevention of
monopoly, and for the safeguarding of the public welfare. None of such
provisions shall be in conflict with the laws of the State in which the
leased property is situated.
(Feb. 25, 1920, ch. 85, Sec. 30, 41 Stat. 449; Pub. L. 95-554, Sec. 5,
Oct. 30, 1978, 92 Stat. 2074.)
Sec. 187a. Oil or gas leases; partial assignments
Notwithstanding anything to the contrary in section 187 of this
title, any oil or gas lease issued under the authority of this chapter
may be assigned or subleased, as to all or part of the acreage included
therein, subject to final approval by the Secretary and as to either a
divided or undivided interest therein, to any person or persons
qualified to own a lease under this chapter, and any assignment or
sublease shall take effect as of the first day of the lease month
following the date of filing in the proper land office of three original
executed counterparts thereof, together with any required bond and proof
of the qualification under this chapter of the assignee or sublessee to
take or hold such lease or interest therein. Until such approval,
however, the assignor or sublessor and his surety shall continue to be
responsible for the performance of any and all obligations as if no
assignment or sublease had been executed. The Secretary shall disapprove
the assignment or sublease only for lack of qualification of the
assignee or sublessee or for lack of sufficient bond: Provided, however,
That the Secretary may, in his discretion, disapprove an assignment of
any of the following, unless the assignment constitutes the entire lease
or is demonstrated to further the development of oil and gas:
(1) A separate zone or deposit under any lease.
(2) A part of a legal subdivision.
(3) Less than 640 acres outside Alaska or of less than 2,560
acres within Alaska.
Requests for approval of assignment or sublease shall be processed
promptly by the Secretary. Except where the assignment or sublease is
not in accordance with applicable law, the approval shall be given
within 60 days of the date of receipt by the Secretary of a request for
such approval. Upon approval of any assignment or sublease, the assignee
or sublessee shall be bound by the terms of the lease to the same extent
as if such assignee or sublessee were the original lessee, any
conditions in the assignment or sublease to the contrary
notwithstanding. Any partial assignment of any lease shall segregate the assigned and retained
portions thereof, and as above provided, release and discharge the
assignor from all obligations thereafter accruing with respect to the
assigned lands; and such segregated leases shall continue in full force
and effect for the primary term of the original lease, but for not less
than two years after the date of discovery of oil or gas in paying
quantities upon any other segregated portion of the lands originally
subject to such lease. Assignments under this section may also be made
of parts of leases which are in their extended term because of any
provision of this chapter. Upon the segregation by an assignment of a
lease issued after September 2, 1960 and held beyond its primary term by
production, actual or suspended, or the payment of compensatory royalty,
the segregated lease of an undeveloped, assigned, or retained part shall
continue for two years, and so long thereafter as oil or gas is produced
in paying quantities.
(Feb. 25, 1920, ch. 85, Sec. 30A, formerly Sec. 30a, as added Aug. 8,
1946, ch. 916, Sec. 7, 60 Stat. 955; amended July 29, 1954, ch. 644,
Sec. 1(6), 68 Stat. 585; Pub. L. 86-705, Sec. 6, Sept. 2, 1960, 74 Stat.
790; renumbered Sec. 30A and amended Pub. L. 100-203, title V,
Sec. 5103, Dec. 22, 1987, 101 Stat. 1330-258.)
Sec. 187b. Oil or gas leases; written relinquishment of rights;
release of obligations
Notwithstanding any provision to the contrary in section 187 of this
title, a lessee may at any time make and file in the appropriate land
office a written relinquishment of all rights under any oil or gas lease
issued under the authority of this chapter or of any legal subdivision
of the area included within any such lease. Such relinquishment shall be
effective as of the date of its filing, subject to the continued
obligation of the lessee and his surety to make payment of all accrued
rentals and royalties and to place all wells on the lands to be
relinquished in condition for suspension or abandonment in accordance
with the applicable lease terms and regulations; thereupon the lessee
shall be released of all obligations thereafter accruing under said
lease with respect to the lands relinquished, but no such relinquishment
shall release such lessee, or his bond, from any liability for breach of
any obligation of the lease, other than an obligation to drill, accrued
at the date of the relinquishment.
(Feb. 25, 1920, ch. 85, Sec. 30B, formerly Sec. 30b, as added Aug. 8,
1946, ch. 916, Sec. 8, 60 Stat. 956; renumbered Sec. 30B, Pub. L. 100-
203, title V, Sec. 5103, Dec. 22, 1987, 101 Stat. 1330-258.)
Sec. 188. Failure to comply with provisions of lease
(a) Forfeiture
Except as otherwise herein provided, any lease issued under the
provisions of this chapter may be forfeited and canceled by an
appropriate proceeding in the United States district court for the
district in which the property, or some part thereof, is located
whenever the lessee fails to comply with any of the provisions of this
chapter, of the lease, or of the general regulations promulgated under
this chapter and in force at the date of the lease; and the lease may
provide for resort to appropriate methods for the settlement of disputes
or for remedies for breach of specified conditions thereof.
(b) Cancellation
Any lease issued after August 21, 1935, under the provisions of
section 226 of this title shall be subject to cancellation by the
Secretary of the Interior after 30 days notice upon the failure of the
lessee to comply with any of the provisions of the lease, unless or
until the leasehold contains a well capable of production of oil or gas
in paying quantities, or the lease is committed to an approved
cooperative or unit plan or communitization agreement under section
226(m) of this title which contains a well capable of production of
unitized substances in paying quantities. Such notice in advance of
cancellation shall be sent the lease owner by registered letter directed
to the lease owner's record post-office address, and in case such letter
shall be returned as undelivered, such notice shall also be posted for a
period of thirty days in the United States land office for the district
in which the land covered by such lease is situated, or in the event
that there is no district land office for such district, then in the
post office nearest such land. Notwithstanding the provisions of this
section, however, upon failure of a lessee to pay rental on or before
the anniversary date of the lease, for any lease on which there is no
well capable of producing oil or gas in paying quantities, the lease
shall automatically terminate by operation of law: Provided, however,
That when the time for payment falls upon any day in which the proper
office for payment is not open, payment may be received the next
official working day and shall be considered as timely made: Provided,
That if the rental payment due under a lease is paid on or before the
anniversary date but either (1) the amount of the payment has been or is
hereafter deficient and the deficiency is nominal, as determined by the
Secretary by regulation, or (2) the payment was calculated in accordance
with the acreage figure stated in the lease, or in any decision
affecting the lease, or made in accordance with a bill or decision which has been rendered by
him and such figure, bill, or decision is found to be in error resulting
in a deficiency, such lease shall not automatically terminate unless (1)
a new lease had been issued prior to May 12, 1970, or (2) the lessee
fails to pay the deficiency within the period prescribed in a notice of
deficiency sent to him by the Secretary.
(c) Reinstatement
Where any lease has been or is hereafter terminated automatically by
operation of law under this section for failure to pay on or before the
anniversary date the full amount of rental due, but such rental was paid
on or tendered within twenty days thereafter, and it is shown to the
satisfaction of the Secretary of the Interior that such failure was
either justifiable or not due to a lack of reasonable diligence on the
part of the lessee, the Secretary may reinstate the lease if--
(1) a petition for reinstatement, together with the required
rental, including back rental accruing from the date of termination
of the lease, is filed with the Secretary; and
(2) no valid lease has been issued affecting any of the lands
covered by the terminated lease prior to the filing of said
petition. The Secretary shall not issue any new lease affecting any
of the lands covered by such terminated lease for a reasonable
period, as determined in accordance with regulations issued by him.
In any case where a reinstatement of a terminated lease is granted
under this subsection and the Secretary finds that the reinstatement
of such lease will not afford the lessee a reasonable opportunity to
continue operations under the lease, the Secretary may, at his
discretion, extend the term of such lease for such period as he
deems reasonable: Provided, That (A) such extension shall not exceed
a period equivalent to the time beginning when the lessee knew or
should have known of the termination and ending on the date the
Secretary grants such petition; (B) such extension shall not exceed
a period equal to the unexpired portion of the lease or any
extension thereof remaining at the date of termination; and (C) when
the reinstatement occurs after the expiration of the term or
extension thereof the lease may be extended from the date the
Secretary grants the petition.
(d) Additional grounds for reinstatement
(1) Where any oil and gas lease issued pursuant to section 226(b) or
(c) of this title or the Mineral Leasing Act for Acquired Lands (30
U.S.C. 351 et seq.) has been, or is hereafter, terminated automatically
by operation of law under this section for failure to pay on or before
the anniversary date the full amount of the rental due, and such rental
is not paid or tendered within twenty days thereafter, and it is shown
to the satisfaction of the Secretary of the Interior that such failure
was justifiable or not due to lack of reasonable diligence on the part
of the lessee, or, no matter when the rental is paid after termination,
it is shown to the satisfaction of the Secretary that such failure was
inadvertent, the Secretary may reinstate the lease as of the date of
termination for the unexpired portion of the primary term of the
original lease or any extension thereof remaining at the date of
termination, and so long thereafter as oil or gas is produced in paying
quantities. In any case where a lease is reinstated under this
subsection and the Secretary finds that the reinstatement of such lease
(A) occurs after the expiration of the primary term or any extension
thereof, or (B) will not afford the lessee a reasonable opportunity to
continue operations under the lease, the Secretary may, at his
discretion, extend the term of such lease for such period as he deems
reasonable, but in no event for more than two years from the date the
Secretary authorizes the reinstatement and so long thereafter as oil or
gas is produced in paying quantities.
(2) No lease shall be reinstated under paragraph (1) of this
subsection unless--
(A) with respect to any lease that terminated under subsection
(b) of this section on or before August 8, 2005, a petition for
reinstatement (together with the required back rental and royalty
accruing after the date of termination) is filed on or before the
earlier of--
(i) 60 days after the lessee receives from the Secretary
notice of termination, whether by return of check or by any
other form of actual notice; or
(ii) 15 months after the termination of the lease; or
(B) with respect to any lease that terminates under subsection
(b) of this section after August 8, 2005, a petition for
reinstatement (together with the required back rental and royalty
accruing after the date of termination) is filed on or before the
earlier of--
(i) 60 days after receipt of the notice of termination sent
by the Secretary by certified mail to all lessees of record; or
(ii) 24 months after the termination of the lease.
(e) Conditions for reinstatement
Any reinstatement under subsection (d) of this section shall be made
only if these conditions are met:
(1) no valid lease, whether still in existence or not, shall
have been issued affecting any of the lands covered by the
terminated lease prior to the filing of such petition: Provided,
however, That after receipt of a petition for reinstatement, the
Secretary shall not issue any new lease affecting any of the lands
covered by such terminated lease for a reasonable period, as
determined in accordance with regulations issued by him;
(2) payment of back rentals and either the inclusion in a
reinstated lease issued pursuant to the provisions of section 226(b)
of this title of a requirement for future rentals at a rate of not
less than $10 per acre per year, or the inclusion in a reinstated
lease issued pursuant to the provisions of section 226(c) of this
title of a requirement that future rentals shall be at a rate not
less than $5 per acre per year, all as determined by the Secretary;
(3)(A) payment of back royalties and the inclusion in a
reinstated lease issued pursuant to the provisions of section 226(b)
of this title of a requirement for future royalties at a rate of not
less than 16\2/3\ percent computed on a sliding scale based upon the average production per well per day, at
a rate which shall be not less than 4 percentage points greater than
the competitive royality \1\ schedule then in force and used for
royalty determination for competitive leases issued pursuant to such
section as determined by the Secretary: Provided, That royalty on
such reinstated lease shall be paid on all production removed or
sold from such lease subsequent to the termination of the original
lease;
---------------------------------------------------------------------------
\1\ So in original. Probably should be ``royalty''.
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(B) payment of back royalties and inclusion in a reinstated
lease issued pursuant to the provisions of section 226(c) of this
title of a requirement for future royalties at a rate not less than
16\2/3\ percent: Provided, That royalty on such reinstated lease
shall be paid on all production removed or sold from such lease
subsequent to the cancellation or termination of the original lease;
and
(4) notice of the proposed reinstatement of a terminated lease,
including the terms and conditions of reinstatement, shall be
published in the Federal Register at least thirty days in advance of
the reinstatement.
A copy of said notice, together with information concerning rental,
royalty, volume of production, if any, and any other matter which the
Secretary deemed significant in making this determination to reinstate,
shall be furnished to the Committee on Natural Resources of the House of
Representatives and the Committee on Energy and Natural Resources of the
Senate at least thirty days in advance of the reinstatement. The lessee
of a reinstated lease shall reimburse the Secretary for the
administrative costs of reinstating the lease, but not to exceed $500.
In addition the lessee shall reimburse the Secretary for the cost of
publication in the Federal Register of the notice of proposed
reinstatement.
(f) Issuance of noncompetitive oil and gas lease; conditions
Where an unpatented oil placer mining claim validly located prior to
February 24, 1920, which has been or is currently producing or is
capable of producing oil or gas, has been or is hereafter deemed
conclusively abandoned for failure to file timely the required
instruments or copies of instruments required by section 1744 of title
43, and it is shown to the satisfaction of the Secretary that such
failure was inadvertent, justifiable, or not due to lack of reasonable
diligence on the part of the owner, the Secretary may issue, for the
lands covered by the abandoned unpatented oil placer mining claim, a
noncompetitive oil and gas lease, consistent with the provisions of
section 226(e) of this title, to be effective from the statutory date
the claim was deemed conclusively abandoned. Issuance of such a lease
shall be conditioned upon:
(1) a petition for issuance of a noncompetitive oil and gas
lease, together with the required rental and royalty, including back
rental and royalty accruing from the statutory date of abandonment
of the oil placer mining claim, being filed with the Secretary--
(A) with respect to any claim deemed conclusively abandoned
on or before January 12, 1983, on or before the one hundred and
twentieth day after January 12, 1983, or
(B) with respect to any claim deemed conclusively abandoned
after January 12, 1983, on or before the one hundred and
twentieth day after final notification by the Secretary or a
court of competent jurisdiction of the determination of the
abandonment of the oil placer mining claim;
(2) a valid lease not having been issued affecting any of the
lands covered by the abandoned oil placer mining claim prior to the
filing of such petition: Provided, however, That after the filing of
a petition for issuance of a lease under this subsection, the
Secretary shall not issue any new lease affecting any of the lands
covered by such abandoned oil placer mining claim for a reasonable
period, as determined in accordance with regulations issued by him;
(3) a requirement in the lease for payment of rental, including
back rentals accruing from the statutory date of abandonment of the
oil placer mining claim, of not less than $5 per acre per year;
(4) a requirement in the lease for payment of royalty on
production removed or sold from the oil placer mining claim,
including all royalty on production made subsequent to the statutory
date the claim was deemed conclusively abandoned, of not less than
12\1/2\ percent; and
(5) compliance with the notice and reimbursement of costs
provisions of paragraph (4) of subsection (e) of this section but
addressed to the petition covering the conversion of an abandoned
unpatented oil placer mining claim to a noncompetitive oil and gas
lease.
(g) Treatment of leases
(1) Except as otherwise provided in this section, a reinstated lease
shall be treated as a competitive or a noncompetitive oil and gas lease
in the same manner as the original lease issued pursuant to section
226(b) or (c) of this title.
(2) Except as otherwise provided in this section, the issuance of a
lease in lieu of an abandoned patented oil placer mining claim shall be
treated as a noncompetitive oil and gas lease issued pursuant to section
226(c) of this title.
(3) Notwithstanding any other provision of law, any lease issued
pursuant to section 223 of this title shall be eligible for
reinstatement under the terms and conditions set forth in subsections
(c), (d), and (e) of this section, applicable to leases issued under
section 226(c) of this title except, that, upon reinstatement, such
lease shall continue for twenty years and so long thereafter as oil or
gas is produced in paying quantities.
(4) Notwithstanding any other provision of law, any lease issued
pursuant to section 223 of this title shall, upon renewal on or after
November 15, 1990, continue for twenty years and so long thereafter as
oil or gas is produced in paying quantities.
(h) Statutory provisions applicable to leases
The minimum royalty provisions of section 226(m) of this title and
the provisions of section 209 of this title shall be applicable to leases issued pursuant to
subsections (d) and (f) of this section.
(i) Royalty reductions
(1) In acting on a petition to issue a noncompetitive oil and gas
lease, under subsection (f) of this section or in response to a request
filed after issuance of such a lease, or both, the Secretary is
authorized to reduce the royalty on such lease if in his judgment it is
equitable to do so or the circumstances warrant such relief due to
uneconomic or other circumstances which could cause undue hardship or
premature termination of production.
(2) In acting on a petition for reinstatement pursuant to subsection
(d) of this section or in response to a request filed after
reinstatement, or both, the Secretary is authorized to reduce the
royalty in that reinstated lease on the entire leasehold or any tract or
portion thereof segregated for royalty purposes if, in his judgment,
there are uneconomic or other circumstances which could cause undue
hardship or premature termination of production; or because of any
written action of the United States, its agents or employees, which
preceded, and was a major consideration in, the lessee's expenditure of
funds to develop the property under the lease after the rent had become
due and had not been paid; or if in the judgment of the Secretary it is
equitable to do so for any reason.
(j) Discretion of Secretary
Where, in the judgment of the Secretary of the Interior, drilling
operations were being diligently conducted on the last day of the
primary term of the lease, and, except for nonpayment of rental, the
lessee would have been entitled to extension of his lease, pursuant to
section 226-1(d) of this title, the Secretary of the Interior may
reinstate such lease notwithstanding the failure of the lessee to have
made payment of the next year's rental, provided the conditions of
subparagraphs (1) and (2) of subsection (c) of this section are
satisfied.
(Feb. 25, 1920, ch. 85, Sec. 31, 41 Stat. 450; Aug. 8, 1946, ch. 916,
Sec. 9, 60 Stat. 956; July 29, 1954, ch. 644, Sec. 1(7), 68 Stat. 585;
Pub. L. 87-822, Sec. 1, Oct. 15, 1962, 76 Stat. 943; Pub. L. 91-245,
Secs. 1, 2, May 12, 1970, 84 Stat. 206; Pub. L. 97-451, title IV,
Sec. 401, Jan. 12, 1983, 96 Stat. 2462; Pub. L. 100-203, title V,
Secs. 5102(d)(2), 5104, Dec. 22, 1987, 101 Stat. 1330-258, 1330-259;
Pub. L. 101-567, Sec. 1, Nov. 15, 1990, 104 Stat. 2802; Pub. L. 103-437,
Sec. 11(a)(1), Nov. 2, 1994, 108 Stat. 4589; Pub. L. 109-58, title III,
Sec. 371(b), Aug. 8, 2005, 119 Stat. 734.)
Sec. 188a. Surrender of leases
The Secretary of the Interior is authorized to accept the surrender
of any lease issued pursuant to any of the provisions of this chapter,
or any amendment thereof, where the surrender is filed in the Bureau of
Land Management subsequent to the accrual but prior to the payment of
the yearly rental due under the lease, upon payment of the accrued
rental on a pro rata monthly basis for the portion of the lease year
prior to the filing of the surrender. The authority granted to the
Secretary of the Interior by this section shall extend only to cases in
which he finds that the failure of the lessee to file a timely surrender
of the lease prior to the accrual of the rental was not due to a lack of
reasonable diligence, but it shall not extend to claims or cases which
have been referred to the Department of Justice for purposes of suit.
(Nov. 28, 1943, ch. 329, 57 Stat. 593; 1946 Reorg. Plan No. 3, Sec. 403,
eff. July 16, 1946, 11 F.R. 7876, 60 Stat. 1100.)
Sec. 189. Rules and regulations; boundary lines; State rights
unaffected; taxation
The Secretary of the Interior is authorized to prescribe necessary
and proper rules and regulations and to do any and all things necessary
to carry out and accomplish the purposes of this chapter, also to fix
and determine the boundary lines of any structure, or oil or gas field,
for the purposes of this chapter. Nothing in this chapter shall be
construed or held to affect the rights of the States or other local
authority to exercise any rights which they may have, including the
right to levy and collect taxes upon improvements, output of mines, or
other rights, property, or assets of any lessee of the United States.
(Feb. 25, 1920, ch. 85, Sec. 32, 41 Stat. 450.)
Sec. 190. Oath; requirement; form; blanks
All statements, representations, or reports required by the
Secretary of the Interior under this chapter shall be upon oath, unless
otherwise specified by him, and in such form and upon such blanks as the
Secretary of the Interior may require.
(Feb. 25, 1920, ch. 85, Sec. 33, 41 Stat. 450.)
Sec. 191. Disposition of moneys received
(a) In general
All money received from sales, bonuses, royalties including interest
charges collected under the Federal Oil and Gas Royalty Management Act
of 1982 [30 U.S.C. 1701 et seq.], and rentals of the public lands under
the provisions of this chapter and the Geothermal Steam Act of 1970 [30
U.S.C. 1001 et seq.], shall be paid into the Treasury of the United
States; and, subject to the provisions of subsection (b) of this
section, 50 per centum thereof shall be paid by the Secretary of the
Treasury to the State other than Alaska within the boundaries of which
the leased lands or deposits are or were located; said moneys paid to
any of such States on or after January 1, 1976, to be used by such State
and its subdivisions, as the legislature of the State may direct giving
priority to those subdivisions of the State socially or economically
impacted by development of minerals leased under this chapter, for (i)
planning, (ii) construction and maintenance of public facilities, and
(iii) provision of public service; and excepting those from Alaska, 40
per centum thereof shall be paid into, reserved, appropriated, as part
of the reclamation fund created by the Act of Congress known as the
Reclamation Act, approved June 17, 1902, and of those from Alaska, 90
per centum thereof shall be paid to the State of Alaska for disposition
by the legislature thereof: Provided, That all moneys which may accrue
to the United States under the provisions of this chapter and the
Geothermal Steam Act of 1970 from lands within the naval petroleum
reserves shall be deposited in the Treasury as ``miscellaneous
receipts'', as provided by section 7433(b) of title 10.
All moneys received under the provisions of this chapter and the
Geothermal Steam Act of 1970 not otherwise disposed of by this section
shall be credited to miscellaneous receipts. Payments to States under
this section with respect to any moneys received by the United States,
shall be made not later than the last business day of the month in which
such moneys are warranted by the United States Treasury to the Secretary
as having been received, except for any portion of such moneys which is
under challenge and placed in a suspense account pending resolution of a
dispute. Such warrants shall be issued by the United States Treasury not
later than 10 days after receipt of such moneys by the Treasury. Moneys
placed in a suspense account which are determined to be payable to a
State shall be made not later than the last business day of the month in
which such dispute is resolved. Any such amount placed in a suspense
account pending resolution shall bear interest until the dispute is
resolved.
(b) Administrative costs
In determining the amount of payments to the States under this
section, the amount of such payments shall not be reduced by any
administrative or other costs incurred by the United States.
(c) Rentals received on or after August 8, 2005
(1) Notwithstanding the first sentence of subsection (a) of this
section, any rentals received from leases in any State (other than the
State of Alaska) on or after August 8, 2005, shall be deposited in the
Treasury, to be allocated in accordance with paragraph (2).
(2) Of the amounts deposited in the Treasury under paragraph (1)--
(A) 50 percent shall be paid by the Secretary of the Treasury to
the State within the boundaries of which the leased land is located
or the deposits were derived; and
(B) 50 percent shall be deposited in a special fund in the
Treasury, to be known as the ``BLM Permit Processing Improvement
Fund'' (referred to in this subsection as the ``Fund'').
(3) For each of fiscal years 2006 through 2015, the Fund shall be
available to the Secretary of the Interior for expenditure, without
further appropriation and without fiscal year limitation, for the
coordination and processing of oil and gas use authorizations on onshore
Federal land under the jurisdiction of the Pilot Project offices
identified in section 15924(d) of title 42.
(Feb. 25, 1920, ch. 85, Sec. 35, 41 Stat. 450; May 27, 1947, ch. 83, 61
Stat. 119; Aug. 3, 1950, ch. 527, 64 Stat. 402; Pub. L. 85-88, Sec. 2,
July 10, 1957, 71 Stat. 282; Pub. L. 85-508, Secs. 6(k), 28(b), July
7, 1958, 72 Stat. 343, 351; Pub. L. 94-273, Sec. 6(2), Apr. 21, 1976, 90
Stat. 377; Pub. L. 94-377, Sec. 9, Aug. 4, 1976, 90 Stat. 1089; Pub. L.
94-422, title III, Sec. 301, Sept. 28, 1976, 90 Stat. 1323; Pub. L. 94-
579, title III, Sec. 317(a), Oct. 21, 1976, 90 Stat. 2770; Pub. L. 97-
451, title I, Secs. 104(a), 111(g), Jan. 12, 1983, 96 Stat. 2451,
2456; Pub. L. 100-203, title V, Sec. 5109, Dec. 22, 1987, 101 Stat.
1330-261; Pub. L. 100-443, Sec. 5(b), Sept. 22, 1988, 102 Stat. 1768;
Pub. L. 103-66, title X, Sec. 10201, Aug. 10, 1993, 107 Stat. 407; Pub.
L. 106-393, title V, Sec. 503, Oct. 30, 2000, 114 Stat. 1624; Pub. L.
109-58, title III, Sec. 365(g), Aug. 8, 2005, 119 Stat. 725.)
Sec. 191a. Late payment charges under Federal mineral leases
(a) Distribution of late payment charges
Any interest or other charges paid to the United States by reason of
the late payment of any royalty, rent, bonus, or other amount due to
the United States under any lease issued by the United States for the
extraction of oil, gas, coal, or any other mineral, or for geothermal
steam, shall be deposited in the same account and distributed to the
same recipients, in the same manner, as such royalty, rent, bonus, or
other amount.
(b) Effective date
Subsection (a) of this section shall apply with respect to any
interest, or other charge referred to in subsection (a) of this section,
which is paid to the United States on or after July 1, 1988.
(c) Prohibition against recoupment
Any interest, or other charge referred to in subsection (a) of this
section, which was paid to the United States before July 1, 1988, and
distributed to any State or other recipient is hereby deemed to be
authorized and approved as of the date of payment or distribution, and
no part of any such payment or distribution shall be recouped from the
State or other recipient. This subsection shall not apply to interest or
other charges paid in connection with any royalty, rent, bonus, or other
amount determined not to be owing to the United States.
(Pub. L. 100-524, Sec. 7, Oct. 24, 1988, 102 Stat. 2607.)
Sec. 191b. Collection of unpaid and underpaid royalties and late
payment interest owed by lessees
Beginning in fiscal year 1996 and thereafter, the Secretary shall
take appropriate action to collect unpaid and underpaid royalties and
late payment interest owed by Federal and Indian mineral lessees and
other royalty payors on amounts received in settlement or other
resolution of disputes under, and for partial or complete termination
of, sales agreements for minerals from Federal and Indian leases.
(Pub. L. 104-134, title I, Sec. 101(c) [title I], Apr. 26, 1996, 110
Stat. 1321-156, 1321-167; renumbered title I, Pub. L. 104-140,
Sec. 1(a), May 2, 1996, 110 Stat. 1327.)
Sec. 192. Payment of royalties in oil or gas; sale of such oil
or gas
All royalty accruing to the United States under any oil or gas lease
or permit under this chapter on demand of the Secretary of the Interior
shall be paid in oil or gas.
Upon granting any oil or gas lease under this chapter, and from time
to time thereafter during said lease, the Secretary of the Interior
shall, except whenever in his judgment it is desirable to retain the
same for the use of the United States, offer for sale for such period as
he may determine, upon notice and advertisement on sealed bids or at
public auction, all royalty oil and gas accruing or reserved to the
United States under such lease. Such advertisement and sale shall
reserve to the Secretary of the Interior the right to reject all bids
whenever within his judgment the interest of the United States demands;
and in cases where no satisfactory bid is received or where the accepted
bidder fails to complete the purchase, or where the Secretary of the
Interior shall determine that it is unwise in the public interest to
accept the offer of the highest bidder, the Secretary of the Interior,
within his discretion, may readvertise such royalty for sale, or sell at
private sale at not less than the market price for such period, or
accept the value thereof from the lessee: Provided, That inasmuch as the
public interest will be served by the sale of royalty oil to refineries
not having their own source of supply for crude oil, the Secretary of
the Interior, when he determines that sufficient supplies of crude oil
are not available in the open market to such refineries, is authorized
and directed to grant preference to such refineries in the sale of oil
under the provisions of this section, for processing or use in such
refineries and not for resale in kind, and in so doing may sell to such
refineries at private sale at not less than the market price any royalty
oil accruing or reserved to the United States under leases issued
pursuant to this chapter: Provided further, That in selling such royalty
oil the Secretary of the Interior may at his discretion prorate such oil
among such refineries in the area in which the oil is produced:
Provided, however, That pending the making of a permanent contract for
the sale of any royalty, oil or gas as herein provided, the Secretary of
the Interior may sell the current product at private sale, at not less
than the market price: And provided further, That any royalty, oil, or
gas may be sold at not less than the market price at private sale to any
department or agency of the United States.
(Feb. 25, 1920, ch. 85, Sec. 36, 41 Stat. 451; July 13, 1946, ch. 574,
60 Stat. 533.)
Sec. 192a. Cancellation or modification of contracts
Where, under any existing contract entered into pursuant to the
first proviso in the second paragraph of section 192 of this title, any
refinery is required to pay a premium price for the purchase of
Government royalty oil, such refinery may, at its option, by written
notice to the Secretary of the Interior, elect either--
(1) to terminate such contract, the termination to take place at
the end of the calendar month following the month in which such notice is given; or
(2) to retain such contract with the modifications, that (a) the
price, on and after March 1, 1949, shall be as defined in the
contract, without premium payments, (b) any credit thereby resulting
from past premium payments shall be added to the refinery's account,
and (c) the Secretary may, at his option, elect to terminate the
contract as so modified, such termination to take place at the end
of the third calendar month following the month in which written
notice thereof is given by the Secretary.
(Sept. 1, 1949, ch. 529, Sec. 1, 63 Stat. 682.)
Sec. 192b. Application to contracts
The provisions of sections 192a to 192c of this title shall apply to
all existing contracts for the purchase of Government royalty oil
entered into after July 13, 1946, and prior to September 1, 1949,
irrespective of whether a determination of preference status was made in
connection with the award of such contracts, but shall not apply to any
such contract which subsequent to its award has been transferred,
through the acquisition of stock interests or other transactions, to the
ownership or control of a refinery ineligible for a preference under
section 192 of this title, and the regulations in force thereunder at
the time of such transfer.
(Sept. 1, 1949, ch. 529, Sec. 2, 63 Stat. 682.)
Sec. 192c. Rules and regulations governing issuance of certain
leases; disposition of receipts
The Secretary of the Interior is authorized under general rules and
regulations to be prescribed by him to issue leases or permits for the
exploration, development, and utilization of the mineral deposits, other
than those subject to the provisions of chapter 7 of this title, in
those lands added to the Shasta National Forest by the Act of March 19,
1948 (Public Law 449, Eightieth Congress), which were acquired with
funds of the United States or lands received in exchange therefor:
Provided, That any permit or lease of such deposits in lands
administered by the Secretary of Agriculture shall be issued only with
his consent and subject to such conditions as he may prescribe to insure
the adequate utilization of the lands for the purposes set forth in the
Act of March 19, 1948: And provided further, That all receipts derived
from leases or permits issued under the authority of sections 192a to
192c of this title shall be paid into the same funds or accounts in the
Treasury and shall be distributed in the same manner as prescribed for
other receipts from the lands affected by the lease or permit, the
intention of this provision being that sections 192a to 192c of this
title shall not affect the distribution of receipts pursuant to
legislation applicable to such lands.
(Sept. 1, 1949, ch. 529, Sec. 3, 63 Stat. 683.)
Sec. 193. Disposition of deposits of coal, and so forth
The deposits of coal, phosphate, sodium, potassium, oil, oil shale,
and gas, herein referred to, in lands valuable for such minerals,
including lands and deposits in Lander, Wyoming, coal entries numbered
18 to 49, inclusive, shall be subject to disposition only in the form
and manner provided in this chapter, except as provided in sections 1716
and 1719 of title 43, and except as to valid claims existent on February
25, 1920, and thereafter maintained in compliance with the laws under
which initiated, which claims may be perfected under such laws,
including discovery.
(Feb. 25, 1920, ch. 85, Sec. 37, 41 Stat. 451; Feb. 7, 1927, ch. 66,
Sec. 5, 44 Stat. 1058; Aug. 8, 1946, ch. 916, Sec. 11, 60 Stat. 957;
Pub. L. 95-554, Sec. 4, Oct. 30, 1978, 92 Stat. 2074.)
Sec. 193a. Preference right of United States to purchase coal
for Army and Navy; price for coal; civil actions; jurisdiction
The United States shall, at all times, have the preference right to
purchase so much of the product of any mine or mines opened upon the lands sold under the provisions of this Act, as may be necessary for the use of the Army and
Navy, and at such reasonable and remunerative price as may be fixed by
the President; but the producers of any coal so purchased who may be
dissatisfied with the price thus fixed shall have the right to prosecute
suits against the United States in the United States Court of Federal
Claims for the recovery of any additional sum or sums they may claim as
justly due upon such purchase.
(May 28, 1908, ch. 211, Sec. 2, 35 Stat. 424; Pub. L. 97-164, title I,
Sec. 160(a)(10), Apr. 2, 1982, 96 Stat. 48; Pub. L. 102-572, title IX,
Sec. 902(b)(1), Oct. 29, 1992, 106 Stat. 4516.)
Sec. 194. Repealed. Pub. L. 89-554, Sec. 8(a), Sept. 6, 1966, 80
Stat. 644
Section, acts Feb. 25, 1920, ch. 85, Sec. 38, 41 Stat. 451; Mar. 3,
1925, ch. 462, 43 Stat. 1145, related to fees and commissions of
registers (successors to consolidated offices of registers and
receivers), the predecessors of managers.
| File Type | application/msword |
| Author | jesonnem |
| Last Modified By | jesonnem |
| File Modified | 2009-05-28 |
| File Created | 2009-05-28 |