Document 309-41
Filed 06/30/2008
Page 1 of 17
.~.~,~~t~C/y/L~
Pages 9~95-9548
FEfiE.
VOLUME 27 ~"/JNITED
ItEGISTEfi
NUMBER 187
Washington, Wednesday, September 26, 1962
Con ents
THE PRESIDENT Proclamation
National Safe~ Council FifUeth Anniversary Year ............. 9497
Civil Aeronautics Board
NOTICF~: Alaska Air Forwarding Corp. et a~; Joint application for approval of control and interlocktug relaUonships; order of tentative approval ............... International Air Transport Association; agreement relating to specilic commodity rates___
Rate schedules and tariffs; filings by pipeline companies; changes in a tariff, executed service agreement or part thereof ....
9500
Fish and Wildlife Service
9525 9525
RD'LES AND P~EGELATIONS:
EXECUTIVE AGENCIES Agricultural Marketing Service
NoTices: Fresh cranSerries; no~ce of purchase program DMI~ I81a .... 9523 PROPOSE, RO~. ~uu~mG: ~'~lbert~ grown in Oregon and Washin~on; free and restricted percentages, 1962-63 fiscal year_ 9520 Tobacco inspection; st~cla~d~__ 9517
RULES AND REGUI~TIONS:
Certain lands within and adjacent
to Sabine National Wildlife Refuge, Louisiana; area closed to hun~.g. 9516
Comptroller of the Currency
NO~ICES: Brooldiue Savings and Trust Co. and First National Bank at Derry; notice of report on competitive factors involved in merger application ............
Food and Drug Administration
I~OPOSE~ RULE l~Mc~qU: Methyl salicylate; oil of wintergreen; establishment of tolerances for residues .......... 9521 9522
Shipments limitations; Irish po%atoes grown in: Colorado__ l~odoc and Sistd~ou Counties, CalEornia. and an counties in Oregon except Z~I a I h e ur County,
Federal Aviation Agency
9509
I~ULES AND REGULATIONS:
Health, Education, and Welfare Department
See l~ood and Drug AdmInisf~atiom
Alteration of positive control area, continental control area, federal airways, and alteration and rev9508 ocation of restricted areas ..... 9510 Agricultural Research Service ' Control zones; alterations (3 document~) 9511 NOTICES, l~ederaI airway; alteration_ ...... 9509 ~mdling of ani.~-hog-cholera Federal airway, associated control serum and hog-cholera virus; areas and reporl~I~, point; revodeci~on and det~rmina~on re cation_ ....................... 9510 sPectalinventory dates for 1963_ 9523 Transition area; alteration .... -- 9511 PROPOSED RIYLE ~AAB;ING: Scabies in sheep; addition of Federal Maritime Commission OFdahoma to ]L~t of eradication NoTices: areas-___ 952I A. P. l~oller-Maersk Line Joint service et aL; notice of agreeAgriculture Department ments filed for approval ..... 9526 ~ee a~o Agricultural Marketing Service; Agricultural Research Federal Power Commission Servlce. NOTICES: NOTICES: Hearfngs, etc.: Missouri and New ]~exico; designation of areas for emergency Connecticut Light and Power loans 9524 Co ................ 9526 Texaco. Inc ............ 9526 Atomic Energy Commission We~a Oil Corp. 9527 NOTZCES: RUL~.S ~ R~x~o~s: Pennsylvania State University; Practice, procedures, and organinotice of issuance of facility zation; m/scelIaneous amendlicense amendment ........... 9524 znents .................... 9499
Indian Affairs Bureau
RULES AND I~EGULATIONE: Leasing of Osage Reservation lands for oil and gas mining; modification of cez%ain regulations ....
9512
Interior Department
See Fish and Wildlife Service; Indian Affairs Bureau; Land l~Eanagement Bureau; National Park Service.
Internal Revenue Service
No'ricEs:
R~ef from excess profits tax because of inadequate excess profits credit; allowance during fiscal year ended June 30. 1962___ 9522
International Development Agency NOTICES: Various omcials; amendmen~ of " delegation of authorit~ ...... 9524 9495
HeinOnline -- 27 Fed. Reg. 9495 1962
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Case 1:99-cv-00550-ECH
9512 "
Document 309-41
Filed 06/30/2008
Page 2 of 17
RULES AND REGULATIONS
Et~ R~w~s~R (27 F_-~. 5406) stating below. In the heading of paragraph is found in paying quantities at a lesser that the Federal Aviation Agency pro- (b) of § 183.46, "UWisation" is "cor- depth, on the land covered by his lease, posed to alter the Vichy, Me., transi- rected to read "Unltlzation" and in line within 12 months from the date of aption area. 22 of paragraph (a) of § 183.88, "lessees"" proval of the lease, or the lease" may be No adverse commen~s were received ts corrected to read "Lessees" These held for the full five-year primary term regarding the proposed amendment. amendments shall become effectlve-at upon Interested persons have been afforded the beginning of the 3Oth calendar day without drilling,for thePayment to the Superintendent lessor of rental an opportunity to participate in the mak- following the date of thls publication In at the rate of one dollar per acre per ing of the ruIe herein adopted, and due the F~VERAL R~ZSZzR. annum, payable annually in advance, consideration has been given to all relebeginning one year after the date of ap(Act of June 28, 1{}06 (8~ Slat. 539-543.) ) vant matter presented. proval of the lease. This lease shall terThe substance of the proposed amendSTEWART L. UDALL~ minate as to both parties unless such Secrefar~ ol tl~e Interior. ment having been published, therefore, advance rental shall be received at the pursuant to the authority delegated to Osage Agency or shall have been mailed SEe~§~'~ 18, 1962. me by the A~trator (25 F~. 12582) 1. Paragraphs (a) and (b) of § 183.2 as indicated by postmark, on or before and for the reasons stated in the notice, the due date: Pro~dec~, That the time § 601,10849 (14 ~ 601.10849) is amend- a~e amended to read as follows: within which a wail shall be drilled shall ed to read: § 183.2 Royalty payments. not begin to run on any restricted homestead selection until the consent of the 601.10849 Viehy, Me, transition are~ drilling on such homeThat airspace extending upward'from mary or gas Inje.e~ion met, hogs. The. Superintendent to been given, nor shah lessee shall pay or cause to be paid to stead shall have 700 feet above the surface within a 5- the Superintendent, for the lessor as advance rental become due until.the next mile radius of the Rolla National Airpor~ a royalty, the stun of 16% percent of the anniversary date of the lease following (latitude 38°07"40" N., longitude 91°46'the date of such consent: Pro~igs~ J#r10'" W., Vlchy, Me.; within 2 miles either gross proceeds from sales after deducting -thor, That the Superintendent in his dis° radial the oil used bythe lessee for development side of the ~TichY VORTAC 067 on the lease, drilling of any extending from the 5-mile radius area and operation purposesCounc~, withun- cretion may order the the interests of less the Osage Tribal the lease, if in his opinion to 8 miles NE of the VOI~TAC; and the approval of the Commissioner of Indian the Osage Tribe warrant: Pro~de~ ~urairspace extending upward from 1~200 Affairs, shall elect to take the royal~y in tS~er, That whenever the Comnflssioner feet above the surface within 10 miles oil; payment shall be made at the time of Indian Affairs shall consider the marSE and 7 miles lqW7 of the ~/ichy VORoil, except where ketlng facilities inadequate to take care TAC 239° and 059° radials extending of sale or removal of the division orders, of the production he may direct suspenfrom 20 miles SW to 9 miles NE of the payments ar~ made on and settlement shall be based on the sion of drllling operations on this lease. -~ORTAC. actual selling price, but at not less than The completion of a well to the Missis= This amendment shah become effec- the highest posted market price in the sippi LLme, or production of oil or gas in tive 0001 e.s.t., December 13, 1962.. Mid-Continent oil field on the day of paying quantities from a lesser depth (See. 307(a), 72 Slat. "/49; 49 U.S.C. 1348) sale or removal: Provi~s~, That when than the Mississippi Ltme, for such time the quantity of oil taken from all the as production shall continue, after the Issued in Washington, D.C., on Sep- producing wells on any quarter~section lease has entered a rental ~;atus. shall tember 19, 1962. according to the public survey, or frac- relieve the lessee from any further paytional, quarter-section if the land cov-ment of rentals for the balance of the ~FO~ P. BURTON, Ch~e], Airspace U~izu~o~ D~v~io-~. ered by the lease does not include the primary term of the lease for which full quarter-section, during any calendar rental has not been paid. Should such IP.R. Dec. 02-9571; ~Flled, Sept. 25, 1962; month is sufficient to average one hun- production cease, rental shall com8:~.5 a~n.] dred or more barrels per well per day, mence on the next anniversary date of the royalty on such oil shall be 20 the Iease. Rental shall be paid on the basis of a full year, and no refund will percent.. (b) Ro~al~ o~ oi~ ~ro~'~,ce~ tha~ Dos be made "of advance rental paid in comby seco~c~r# reeover~ ~oroce~ses o~her pliance with the regulations in this part. Chapie~ i--Bureau of Indian Affairs, injection. When the estimated reserves 3. Paragraph (a) of § 183.5 Is amended of oil recoverable by primary and/or gas to read as follows: Department of the Interior injection methods from a specified for$UBCHAPTER Q---OIL AND GAS 183.5 Use of surface ~ads; settlement marion or formations have been depleted of damages to lands and crops. Qr PART 18:3~LEASING OF OSAGE RES- partially depleted, the lessee and the Tribal Council may agree upon a new (a) Lessee shall have the right to use ERVATION LANDS FOR OIL AND royalty rate to be approved by the Super- so much of the surface of the land within GAS MINING lntendent, the sum to be not less than the Osage Reservation as may be reasonModificaffon of Certain Existing Reg- 12~ percent of the gross proceeds from able for operations, including the rlght ulatlons Pertaining to Oil and Gas sales of oil produced by secondary re- to lay and maintain pipelines, telephone covery processes, other than gas injecMining on t.he Osage Indian Reser- tion, after deducting the o11 used by the and- telegraph lines, pull rods and other applisnces necessary for the operation vation, Oklahoma lessee for development and operation of the wells, also the right of ingress and purposes on the lease, unles~ the Osage egress, and the Tight-of-way to any point On pages 5871, 5872, and 5873 of the Tribal Council, with the approval of the of operations. Lessee may use water F~P.SAL REGL~T~ of June 21, 1962, there was published a notice aud tex~ of pro- Con~aissloner of Indian Affairs, shall from streams and natural water courses elect to take the royalty in oil; payment for lease operations as set out in § 183.57. posed amendments to Part 183 of Title 25, Code of Federal Regulations. The to be made at the time of sale or removal Before commencing operations for the purpose of the amendments is to make of the off, except where payments are drilling of any well the lessee shall pay minor modifications and to clarify some made on division orders and settlement to the surface owner the sum o£ $200 of the language "of certain regulations shall be based on the actual selling for each well located on culltvated land price, but at not less than the highest (tilled or cultivated within the immedcontained in Part 183. Interested persons were given 30 days posted market price In the lVIid-Con- lately preceding three years, and includwithin which to submit written com- tinent oil field on the day of sale or ing hay-meadow land), $150 for open p~sture larfd, and $100 for such location ments, suggestions or objections with re- removal. spect to the proposed amendments. No 2. Paragraph (a) of § 183.4 is amended o.n brush or wooded lands, and other comments, suggestions or. bbjections to read as follows: lands not suitable for cultivation. Upon payment of such location site money, have been received, and the proposed 183.4 Drilling obligations, lessee shall be entitled to possession. Loamendments are hereby adopted without change, except for the correction of two (a) Lessee shall drill at least one well cation sites shall be held to.the rni~mum typographical errors, ~nd are set forth to the Missi~lppl Lime unless oil or gas area e~ential for operations, and in
Title 25--1HDIAHS
HeinOnline -- 27 Fed. Reg. 9512 1962
Case 1:99-cv-00550-ECH
Wednesday, September 26, 1962
Document 309-41
Filed 06/30/2008
Page 3 of 17
9513
FEDERAL REGISTER
no event, ahall exceed one and one-half a solvent, bau~ in an amount equal to and hog merely their ~orktn~ interest, acres In area. Lessee shall ~ pay tank 2~ percent of the bonus ~s a ~marant~ ofan~ also dates of discovery and beginning site fees at the rate of $2Q per tank of goo~ ~ 55ae balance of the banns= of utilization o~ gas ~om gas wells. The not exceeding 1,000 barrels capacity:. together with a $I0 filing fee for each lessee may include ~ one statement all Prov~de~, howe~er, Tnat no tank ~te fee lease, shall he paid, and the lease in leases upon which dry holes have been shall be paid for a tank temporariIy set completed for~. with neee~k~ accolzl- drilled or the wells have ceased to on a well location site for tes~ng pur- panying papers shall be filed with the produce. poses during the completion ol the well Sulm.dntendent within 20 days attar the 8. Paragraphs (b) and (c) of § 183.46 Tank sites shall be held to the mJJzhnum lease is forwarde& by the Superintendent, are amended to read as follows: area essential to ei~cisnt operations. t~ the les~e for execution, unless such and in no event shall exceed an area of pez~d h~s been extended by the Super- § 183.46 Approval of lease h*strumen~. 50 feet s~uare per tank. The sum to be "intendant for good and ~ffieient reapaid for an oH taz~ site o£ larger capacIf the ~cce~ul bidder fails to (b ) U~if.~aHore o.f oiI Ze~es. As aconity and occupying a greater area shall be complete the lease or to pay the full conagreed upon be~veon ,the mtrface owner r/deratlon Eithln 26 days or an author- sideration for further development by a and the lessee and on failure to agree= ]zed extension thereof, or ff the lease is secondary recovery process, two or more the Same shall be fixed by a~bii~-ation. disapproved through no fault of the oH leases may be unitized and merged lessor or the Department o£ the Interior, in a single blanket lease with the ap4. Paragraph (s) of §I83~ is the amount deposited as a guaranty o£ proval of the Super~tenden~. " The inamended to read as follows: good faith shall be forfeited for the use strumenb of unitization (blanket, lease) § 183~4 Royalty on easlng-heaL or ~at. and benefit of the lessor. Any and all shall include all the requirements and uraI gasoHne~ Lut=ne~ propane.~ or bids shall be subject to acceptance by the provisions of sections numbered I, 5, 6, otSe_r IiquJd hydrocar]~on substances" Osage Tribal CoUnciL The Supedn- 7, 8, 9, 10, I1, 12, 13. 15, 16, 17, 18, I9 and extracted from gas, drip ~asoHne~ tenden~ Inky disapprove a lease made on 20 of Osage oil lease Form B: pr~, or ot~er natural condensate. an accepted bid, upon evidence satis- That the preamMe of Form B and the factory t~ him of collusion, fraud, or provisions cf section numbered 2 in re(a) A royalty of 16% percent of the other iz~egula~ity in connection with the spect to royalty rates; ~ction numbered gross proceeds of salee shall be paid on payment the value of one-third (or the Iessee's sale of the lease. At a public auction 3 in respect to respect toof rental; section payment, of ~ell portion if greater than one-third) of all sale the Superintenden~ may require numbered41n casing-head or natural gasoline, hutane, any bidder to submi~ satisfactory evi- site and tan~ location fees; and section numbered 14 in respect to the ~der propane, or other liquid hydrocarbon dence of good faith, that he has the of the lease may be modified and/or substances extracted from the gas pro- cash in hand or at his command, an~ to duced from the leasehold. The value of furnish whenever called upon by the supplemente~ by the parties~ with the Superintendent, to the the remainder is an allowance for the Superintendent during the progress of approval of the approp~te for the equico~ of manufacture, and no royalty the sale, authenticated statement of a extenk deemed thereonis required. The royalty shall be solvent bank to the effect; the bidder has table and effic~ cauducE of unitized operation~, and nol; otherwise in concomputed on the sale price received by the means to purchase the leas~ fllc~ ~ the ~nflations in th~ part. the manufacturers of such products, o]: 6. Section 183.40 ~ amended to read I~ssee(s) shall before commencing secsuch higher price the lessee may receive, as follows: ondar~ recove~ operations, and_ on or the same to be reported under oath and before December 31s~ of each year thereremitted to the Str~erintendent not later § 183.40 Corporal~on and corporate in- after, ~J0m~ to ti~ Superintendent an formatlo~ than the 2Sth of the succeeding month acceptable plan of dev, eiopment; and opfor all such products sold dln~ing the (a) If a sucee*sful bidder for a lease eraflau for unit area for Previous month. If the manufach~er o£ is a corporation, it shall file a.~tatement yea/. Upon thefinding by ~ the ensuing a that such any product extracted from ca~ng-head showing." gas produced fronI an Osage leasehold (I) The s~ate o~ incorporation and ac~io~ would he In the b~ interes~ of Should sell his product a~ a price beiovr that.the eorl~.oration is authorized to do the Osage Tribe~ the Superintenden~ also approva that obtained, by other manufacturers business in the state where the land to may lessor and thean agreamon~ between the la~ee~s) rescinding selling such product in the open market be leased is situate; a unii~ (blaz~et lease~ and restozing to during a particular month, the Super(2~ That i~ has po~er to hold and their original status the Form B-leases intendant shall notify said manufacturer operate min~gle~es; theretofore merged in the un~ lease': of such discrepancy and require seb~lc(3-) That the officer executing the ment for ro~alty upon the average price lease Is authorized to" act on behal~ of Prig, Tha% tt oR is being produced 111 paying cImm~itiea on a particu~ar obtained by manufacturers sellh~ such the corporation in such matters. quarte~-sec~on tract= o~ tl~ date ef approduct in the open m~rket during the (b) Whenever deemed advisable in p~vaI of such agreement, the lessee shall same period. The place of sule of liquid any case the Area Director or Superbe entitled.to hold such tra~ under terms hydrocarbon extracted from gas, for in~de~ may requ~e a corpoz~tion to origin~ royalty purposes, ~,~hall be. at %h~ plant ~Ie any additional information nece~sar~ of theproduced Form B lease sa long as oR is on said tract in paying where'manufacture~ to carry out the purposes and intent of quantttles. the regulations hz this par~ and such in5. The caption of § 183.39 and para(c) Assio'n~ents. A~ove& leases graph (b) thereof are amended to read formation shall be ~urnishe~ ~ a or any Interes~ therehz may be assigned reasonable time. as follows: with the approval of the Superintendent, "L Section 183.45 is amended to~r-ead and not otherw~e, ~signments, when § 183.39 Sale of oll leases and gusleases. as follows: approved, shall be subject to the terms and leases, and 18~=45 l{eport~ and t~me of royalty the conditions of %he orlglnal such leases (b) The Supe~intenden~, with the ~egu~ation~ under whlch payments. consent of the osage Tzibal Council, were approvecL In order for an assignmay at ~ times and in such manner l~oYaltie~ on all o~1 and gas, including ment to receive favoz'~ble considera[lon, as shall be deemed appropriate, publish casing-head gas or on gasoline manufac- the Ie~ee shall assig~ either his whole and disl~ibute notie e~ that oil leases and/ tured therefrom, preducedin anymcnth, Lu~res~ Jn a lega~ subdivision or an unor gas le~ses on specific tracts ol un- shall be paid on or before the 25th of divlded, in~re~ In the whole lease: If leased trlbal lands, each of which shall the month next succeeding- b~r either a Iease Is divided b~ the a~lgnmenl; of be a compact body, wilt be offered lot p~ or le~e~. Failure ta so remi~ an entire interest in any part of It, each sale to the highesl~ responsible bidder: will subject the lessee ~o ~nes as hereln~ part shall be considered a separate lease Provided, q~at not less than 25,Q00 acres after indicated, and[ a~o subject divisloz~ of the unIeased po~t~on of the Osage order to caneellatI~ Lessees shall also under all the terms and conditions of mineral reserve shall be offered for lease f_u~ish monthly reports eoveriz~ all the oz£~inal lease. The assignee shall fu~n~h with Ida assignment a satlsf~cduring any one year. Succe~s£u~ bidder~ eperations whether there has been pro- mnsi~ deposit wif~ the Supezlntend~nt duction or not, indicating therein the tory bond as ~ro~Idcd i~ ~I83.20(c). Any attempb to as31g~ au approved on day of sale, a check, or bank. draft, o~ 1~ota~ amount of otl, ga% or gasoline sold
HeinOnline -- 27 Fed. Reg. 9513 1962
Case 1:99-cv-00550-ECH
9514
Document 309-41
Filed 06/30/2008
Page 4 of 17
RULES AND- REGULATIONS
lease or any interest therein without the sonable, usual, necessary and proper expenses mentioned in this section shall consent and approval of the SuPerin- expenditures lncludin~ the following be presented to proposed purchasing Sendent shall be absolutely void and expenditures made by the lessee drilling lessee within i0 days a~ter the compleshall subject the original lease to can- the well. tion of the well collation in the discretion of the Super- ¯ (a) All location, or other surface damages occasioned by the" drilling of 13. Section 183.8I is amended to read intendent. as follows: 9. Section 183.49 is amended to read such well.expenses of laying, taking uP, § 183.81 Abandonment of wells. (b) All as follows: repairing, operating and nmintaining Lessee shall § 183.49 Commencement of operations. gas and water lines where such lines in- the purpose of not abandon any well for drilling deeper for oil or No drilling or development operations cluding amount paid for water privilege .gas unless the producing stratum is shall be permitted upon any tract of land or constructing dam, are used for the ex- properly protected and shall not abanuntil a lease covering such tract shall clnsive purpose of drilling the particular don any well producing oil or gas except have been approved by the Superln- well. with the approval of the Superintendent (c) Cus~mary charge for fui~nishtng or where it can be demonstrated that the tendent or such operations ~pectfleally authorized by him: Provide~, That the water where purchased shall be the price further operation of such well is cornSuperintendent may grant authority to prevailing in the particular locality: mercially unprofitable. When any well any party, under such rules (consLstent Prov/ded, Where the parties cannot a~ee is plugged and abandoned lessee shall, with the regulations in this Part) that upon the charge made under this parao within ninety (90) days, clean up the he deems proper, to conduct geophysical graph such charge shall be determined premises around such well to the satlsand geological exploration work in any by the Superintendent. - faction of the Superintendent or his au(d) Amount~ expended in spudding or thorized representative: Prov/~e~, That portion, or all of the Osage Reservation~ drilling a water well:. Provtdc~, That the ninet~r (90) day period may be ex10. Paragraph (b) of §183.51 is where any or all of the facilities referred tended a reasonable time in the discreamended to read az follows; to in this paragraph and in paragraphs tlon of the Superintendent. (b) and (c) of this section are not em§ 183.51 Well location fees. 14. Section 183.88 is amended to read ployed exclusively in connection with * * * * * the drilling of the well to be taken over, as follows: (b) Where the ~'urface owneris a re- or are also used in connection with the stricted Indian, adult or minor, the well drilling or operation of other wel~ by § 183.88 Division orders. location fee shall be paid to the Superin- the lessee drilling the well to be taken" (a) The lessee may make arrangetendent of the Osage Agency for such over by the other lessee, then a fair pro- merits with the purchasers of oil for the Indian. All other surface owners, .portion of the charges covered by this payment of the royalty, but such atwhether Indians or non-Indians shall paragraph and paragraphs (b) and (c) rangements, if made, shall not relieve be paid or tendered such fees direct, and of this section shall be assessed against the lessee from responsibility for the where such surface owners are not resi- each well, including the well to be taken payment of the royalty, should such putdents of Osage County nor have a rep- over, and in the event of a disagreement chaser fail, neglect, or refuse to pay the resentative located therein, such pay- between the parties as to the charges royalty when it becomes due. No oil merits shall be made or tendered by assessed against the well that is to be shall be run to any purchaser or de]Ivcheck, postage prepaid, to last known taken over, such charge shall be fixed ered to the pipeline or other carrier for address of said surface owner at least by the Superintendent. shipment, or otherwise conveyed or re. 5 days before commencing drilling op(e) Customary charge for drilling and moved from the leased premises, until a ¯ erations on any well: Prov/ded, That re~, except where reandng is done division order is executed, filed, and apshould the lessee be unable to reach the for the sole benefit of par~y drilling well. proved by the Superintendent, showing owner of the surface of the land for the If price charged for drilling is a~0ove the" that the lessee has a regularly approved purpose of tendering the location fee, average drilling price in the field, the" lease in effect, and the conditions under or if owner of the surface of the land which the oil may be run: (Provt~eg, upon being tendered the location fee price to be paid shall be determined by That the Superintendent may grant ternthe Superintendent. Provide~, That by the lessee, shall refuse to accept the where the well to be taken over is drilled porary pexnflssi0n to run oil from a lease same, the lessee may tender the location below the stratum in which the lessee pending the execution, filing, and apfee to the Superintendent of the Osage taking over the well is interested; that is, proval by him of a division order.) AgencY, and If the lessee and the Super- the gas stratum in the case of a well Lessees shall be required to pay for all intendent shall agree upon the amount taken over by a gas lessee, and the oil oil or gas used off the leased premtsas of the location fee, the lessee shall de- stra~mn in a well taken over by the oiI for operating purposes; aflldavit shall posit such amount with the Superintend- lessee, then the lessee doing such fur- ~e made as to the production used for ent for payment to the owner of the thor drilling shall sustain the cost of such purposes and royalty paid In the surface of the land upon demand, and drilling and reaming where such drilling usual manner. The lessee or his reprothe Superintendent shall thereupon ad- and reaming are done below such sentative shall be present when oil is vise the owner of the surface of the land stratum, taken from the leased premises under by mail at his last known address, that (f) All expenses of mudding, except any division order and ~ be responsible the location fee is being held for payfor the correct measurement thereof and mudding ment to him upon his written request. wherethe lessee is done for the sole bent- shall report all oil so rum fit of drilling the well. (b) The lessee shall also authorize (Sec. 3, 34 Star. 543) (g) Settlement- for casing or other pipeline company or the purchaser the of 11. Section 183.62 is changed to read pipe left in the well to be made at the oil to furnish the Superintendent with a prevailing market price for the charav- monthly statement, not later than the as follows: ¯ § 183.62 Perm|sslen to start operations. ter and kind of casing when placed in 20th day of the following calendar the well. month, of the gross barrels run as a Written perm~slon must be secured (h) All expenses of placing and refrom the Superintendent before opera- moving all casing or other pipe used in common-carrier shipment or purchased from his lease or leases. tions are started on the leased prenzlses. drilling said well Lessee shall submit application for such (1) A reasonable charge tocover su- 15. Paragraph (b) of § 183.93 is pelion, on forms to be furnished by pervision and overhead expenses: Pro- amended to read as follows: the Superintendent. ~e~, Where the parties cannot agree § 183.95 Forms. . , . , , 12.. Section 183.73 is changed to read upon the charge made under this paragraph, such charge shall be determined as follows: (b) All .sums received from sale of by the Superintendent. § 183.75 Determining cost of welL (j) Any additional charges which forms and flues shall be placed in Tribal The term "cost price of a well" as ap- cannot be mutually agreed upon "shall Funds. plied where one lessee takes over a well be submitted to and determined by the 16. Section 183.94 is amended to read drilled by another, shall include all tea- Superintendent. An approximate lis~of as follows:
HeinOnllne -- 27 Fed. Reg. 9514 1962
F ......... '
Case 1:99-cv-00550-ECH
Wednesday, September 26, 1962 § 183.94 Amount of fee. A fee of $10 will be charged for~eaeh lease, each sublease, each drilling contract affecting oil and gas mining leases, and each a.~ignment of lease, such amount to be paid by the lessee, sublessee or assignee upon notice of upproval of the contract, as provided by the act of February 14, 1920. |F~. Dec. 62-9581; Plied, Sept. 25, 1962; 8:47 mm.]
Document 309-41
FEDERAL REGISTER
Filed 06/30/2008
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9515
thereto after re.enable notice of default. (ii) Grazing privileges appurtenant to privately owned lands located outside the park shall not be withdrawn for a period of twenty-five yea~ after September 14; 1950, and thereafter shall continue during the lifetime of the original permittee and his heirs If they were members of his immediate family as described herein, except for failure to comply with the regulations applicable thereto after reasonable notice of default. (lid Members of the immediate family are those persons who are related to and directly dependent upon a person or persons, living on or conducting grazing operations from l~ds, as of Chapter I--National Park Service, September 14, 1950, which the National Department of the Interior Park Service recognized as base lands PART 7~SPECIAL REGULATIONS RE- appurtenant to grazing privilegas in the LATING TO PARKS AND MONU- park. Such interpretation excludes mature children who, as of that date, were MENTS established in their own households and were not directly dependent upon the Grand Teton National Park, Wyoming; base lands and appurtenant grazing $1ock Grazing recognized by the National Park Service. On pages 7792 and 7793 of the FED~ (iv) If title to base lands lying outside ~uIs~a of August 7, 1962, there was the park is conveyed, or such base lands published a notice and tex~ of a proposed ere leased to someone other than a amendment to § 7.22 of Title 36, Code of member of the immediate family of the Federal Regulations. The purpose of permittee as of September 14, 1950, the the amendment is to clarify existing reggrazing preference shall be recognized ulations in regard to grazing privileges only for a period of twenty-five years appurtenant to base lands and to add the from September 14, 1950. terms and conditions of grazing permits (v) If titi~ to a portion or part of the to the regulations. base land either outside or in,de the " Interested persons were given 30 days park is conveyed or such base lands are within which to submit written comleased, the new owner or lessee will take ments, suggestions, or objections with with the land so acquired or leased, such respect to the proposed amendment. No proportion of the entire grazing privicomments, ~uggestions. or objections leges as the grazing capacity in animal have been received, and the proposed unit months of the tract-conveyed or amendment is hereby adopted without leased bears to the original area to which change aud is set forth below. TI~ a grazing privilege was appurtenant and amendment ~hall become effective at the recognized. Conveyance or lease of all beginning of the 30th calendar day folsuch base lands will automatically conlowing the date of this publication in the vey all grazing privileges appurtenant ~"DERAL REGISTER. thereto. (vD Grazing privileges which are (60 Star. 238; 5 U.S.C. 1003; 89 Star. 535; 16 U~.C. s) appurtenant to base lands located either H. Y~ BILL, inside or outside the park shall not be Superln~end~nt conveyed separately therefrom. (2) Where no reasonable ingress or Paragraph (c) of § 7~22 ts amended egress is available to permittees or nonin its entirety to read as follows: permittecs who mnst cross park lands to § 7.22 Grand Teton NatlonaIPark. reach grazing allotments or non-Federal * $ $ $ lands within the exterior boundary of the park or adjacent thereto, the Superin(c) Stock: gr~,i~g. (1) Privileges for tendent will grant, upon request, a temthe grazing of domestic livestock based porary nonfee annual permit to herd on authorized use of certain areas at the stock on a designated driveway which time of approval of the Act of September shall specify the time to be consumed in 14, 1950 (64 Star. 849, Public Law 787), each single drive. shall continue in effect or shall be re(3) Grazing preferences are based on newed from time to time, except for failure to comply ~vith such terms and actual use during the period 1VIarch 15, conditions as may be prescribed by the 1938 through September 14, 1950 and no Superintendent in these regulatlon~ and ir~Qrea.~e in the number of animals or animal unit montl~ will be allowed on after reasonable notice of default and Federal lands in the park. ~ubject to the following provisions of (4) (i) A permittee whose grazing privt~nure: ilege is appurtenant to privately owned (O Graslng privileges appurtenant to lands within the Dark will be granted prlvateiy owned lands located within the total nonouse or reduced benefits for one park shall not be withdrawn until title or more years without nullifying 1~ to the lands to which such privileges are pLrvilege in subsequent years. appurtenant shall have vested "in the (ll) A permittee whose privilege is apUntted States except for failure to compurtenant to base lands outside the park ply with the regulations applicable
Title 38--PARKS, FORESTS, AND MEMORIALS
may be granted total nonuse on a year to year basis not to exceed three consecutive years. Total nonusc beyond this time may be granted if necessitated for reasons. clearly outside the control of the permtttee. Total unauthorized nonuse beyond three consecutive years will result in the termination and loss of all grazing privflege~. (ill) Whenever partial or totalnon-nse is desired, an application must be made in Writing to the Superintendent. (5) Grazing fees shall be the same as those approved for the Teton National Forest and will be adjusted accordingly. (0) Permtttees or nonpermittees who have stock on Federal lands within the park at any time or place, when or where herding or grazing is unauthorized may be assessed fifty cents per day per animal as damages. (7) The Superintendent may accept a written relinquishment or waiver of any privileges; however, no such relinqu~xment or waiver will be effest~ve without the written consent of the owner or owners of the base lands. (8) Permits: Terms and conditions: The issuance and continue'd effectiveness of al~permlts will be ~bject, in addition to mandatory provisions required by Executive Order or law, to the following terms and conditions: (i) The permlttec and his employees shall use all-possible care In Prevent~-g forest and range fires, and shall assist in the extinguishing of fores~ and range fires on, or within, the vicinity of the land described in the permit, as well as in the preservation of good order within the boundaries of the park. (fl) The Superintendent may require the pennittce before driving livestock to or from the grazing allotment to ga~her his livestock at a designated time and place for the purpose of counting the
saine.
(rid Stock wlll be allowed to graze onlY on the allotment designated in the permit. (iv) The permittce shall file with the Superintendent a copy of his stock brand or other mark. (v) The permittee shall, upon notice from the Superintendent that the allotment designated in the permit is not ready to be grazed at the beginning of the designated grazing season, place no livestock on the allotment for such a period as may be determined by the Superintendent as rieceamry to avoid damage to the range. All, or a portien of the livestock shrll be removed from the area before the expiration of the designated grazing season if the Superintendent determines further grazing would be detrimp~tal ~.o the range. The munbet of ~ock and the grazing period may be adjnsted by the Superintendent. at any time when such action is deemed necessary for the protection of the range. (vi) No pern~t shall be issued or renewed until payment of all fees and other amounts due the National Park Service has been made. Fee~ for permit~ are due the National Park Service and must be paid at least 15 days in advance of the grazing period. No permit shall be effective to authorize grazing
HeinOnline -- 27 Fed. Reg. 9515 1962
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CUMULATIVE POCKET SUPPLEMENT
// ..~
TO THE , , ,
r
CODE
OF FEDERAL REGULATIONS
I
Title 25-Indians
For chanEes on and after January 1, 1963, see the dailly issues of the Federal Rezister
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CHAPTER I--
Cite this Pocket Suppleme~t CFR
CHAPTER II-
i!hus: 25 CFR 1.2
CHAPTER HI"
Page iv
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§ 183.2 ,,rior, submit therewith .)nds or notes in the rescribed as security for of the terms, conditions. of the lease: Provided Lessee may file in lieu of ease bonds, one bond in ¯ by the Secretary of the ; all leases to which he e a party, The right is ved to the Secretary of ~quire an increase of the bond above the sum articular case where he ary to require such in10, 1961]
Title 25--Indiaus
§ 183.2
SUBCHAPTER C]---OIL AND GAS Part 183--Leasing of Osage Reservation Lands for Oil and Gas Mining
OIL MINING LEASES Sec.
See. 183.62
RE:IU!R~f62:YfS OF L~:FSEES f emr.ission to sta:@ opet-ations. [Re~_sed]
183.78 183.8!
183.88
i83.2 Royalty pas~nent s, ~Am,,n ~ed 1~3.4 Drllling obllgatlons. [Revised] 1 183.5 Use of surface lands; se%±lement of ds~.ages %o lands and crops. ~Amended] 183.1~ Surrender of lease. [Revised[
UTILIZATION O} CASING-;~EAD GAS :,~-!E~I USF2 ~R 'I':[E N.~U'g.IFACTT~p£< 0;: GASO! I:r 183.24 Roys!tS" on caging-head or
Deter~Ining cost of .':ell. 7Revl s ed ] Abandonment of wells. [Rev!sea]
Division orders. [Revised]
P&iS 183.93 Torm.s. ~' L,~enaed]
ension of operations and on leases for minerals ~! and gas. ¯ of § 172.15a of this subflicable to leases under ;. 26, 1959] minerals and deep-lying ,c minerals. >rovlded in § 176.6(b), w Indian lands, for rain;her than lead and zinc ,rid zinc and associated the horizon of the rock as the Reed Springs Fore made pursuant to the rt 172 of this subchapter. r. 4, 1961]
T': .......
183.94 ,'morni of fee. :Revised~ OIL MINI]NO LEASES
natural gasoline, bulane, propa~.e, or other liqul! hydrcce.rbe:: substances extracted from gas, drip g~soline~ or other natural condensate. [Amended]
HOW TO ACQUIRE LEASES OP TRIBAL LA~
183.39 Sale of oil leases a~nd sas leases. ~#.menJed] 183.4C Corporallon ~md corporate iufo~natien. ~Revised] 183.42 Rental period after consent of Superintendent to begin operations on homesteads. ]Superseded] 183.43 Lessee's process agencs. ]Revised] 183.45 Reports a.nd tithe ~f ro$'altspayments. ~Revised]
ASSIGNMENTS
183.46 Approval of [ Amended [
lease
instruments.
R:~T!O[ g 183.49 ('o::~enoemeni of operatlons. ~Rev~sed] 183.51 )~ell location fees. iAmenied]
§ 183.2 Royahy payments. ~a) Royalty on off produced by primary or gas in~ectfon methods. The lessee shall pay or cause to be paid to the Superintendent, for the lessor as a royalty, the sum of 16~,3 percent of the gross proceeds from sales after deducting the oil used by the lessee for development and operation pm'iv~,:; on the lease, unless the Osage Tribal Coun-.il, with the approval of the Commissioner of Indian Affairs, shall elect to take the royalty in oil: payment shall be made a~ the time of sale or removal of the oil, except where payments are made on division orders. and settlement shall be based on the actual selling price, but at not less than the highest posted market price in the Mid-Continent oil field on the day of sale or removal: Provided, That when the quantity of oil taken from all the producing wells on any quarter-section according to, the public survey, or fractional quarter-section if the land covered by the lease does not include the full quarter-section, during any calendar month is sufficient to average one hundred or more barrels per well per day. the royalty on such oil shall be 20 percent.
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§ 183.5 q o) Royalty on oil produced by ,scc- ther, That the Superintendent in his disondary recovery processes other than gas cretion may order the drilling of any lease, if in his opinion the interests of injeclion. When the estimated reserves of oil recoverable by primary and/or gas the Osage Tribe warrant: Provided jurinjection methods from a specified for- ther, That whenever the Commissioner mation or formations have been depleted of Indian Affairs :shall consider the maror partially depleted, the lessee and. the keting facilities inadequate to take care Tribal Council may agree upon a new of the production he may direct suspension of driY.ing operations on this lease. royalty rate to be approved by the SuperThe completion of a well to the Missisintendent, the sum to be not less than 12~ percent of the gross proceeds from sippi Lime, or production of oil or gas in paying quantities from a lesser depth sales of oil produced by secondary rethan the Mississil;~pi Lime, for such time covery processes, other than gas injec~s production shall continue, after the tion, after deducting the o.q used by the lease has entered a rental status, shall lessee for development and operation relieve the lessee from any further payPurposes on the lease, unless the Osage Tribal Council, with the approval oI the ment of rentals for the balance of the Commissioner of Indian Affairs, shall primary term of the lease for which elect to take the royalty in oil; payment rental has not been paid. Should such to be made at the time of sale or remov: 1 production cease, rental shall comof the oil, except where payments are mence on the nex~ anniversary date of made on division orders and settlement the lease. Rental shall be paid on the basis of a full year, and no refund will shall be based on the actual selling be made of advance rental paid in comprice, but at not less than the highest posted market price in the Mid-Con- pliance with the regulstions in this part. (b) Prior to the expiration of a term tinent oil field on the day of sale or of a lease, the Osage Tribal Council may. removal. :i ara£ra~hz (~ a.:d (b) were ~n,:;ed, with the approval of the Superintendent. and a finding by him that such action o~ , lOSO~ 27 ",R. 9512, '.'~.."'. .... ~ ~ is in the best interest of the Osage Tribe, grant an extension of the term of the lease for a period of not to exceed six months for the purpose of enablin~ the lo~eo tc~ dr!U ~ ~,N] to the Mississippi ,~ 183.1 Drilling obligations. i.iiitC ~211]t:);:~ u,~.: (~i ~.~[:~ [,~; fOlllld in paying ca) Lessee shall drill at least one well quantities at a lesser depth. to the Mississippi Lime unless oil or gas : diflic~tion: § 183.4 ,;'~s revise: is found in paying quantities at a lesser ~± 23 F.R. 7!33, epi. 16, 135":. depth, on the land covered by hi~ lease. within 12 months from the date of ap- 2ubseq~entl:¢, 7--,p~trraFh "p.' :',=:~.s proval of the lease, or the lease may' be c~,r..,.nde~, 27 Z.R. ~.5!2..'epl. :),3~ l_.'i.? held for the full five-year primary term without drilling, upon payment to the Superintendent for the lessor of rental at the rate of one dollar per acre per § 183.5 tT~e of :~urfa~e lands: settlement of damages t~., lands and crops. annum, payable annually in advance, beginning one year after the date of ap~a~ Lessee shall have the right to use proval of the lease. This lease shall ters9 much of the surface of the land within minate as to both parties unless such the Osage Reservation as may be, reasonadvance rental shall be received at the able for operations, including the right Osage Agency or shall have been mailed to lay and maintain pipelines, telephone as mrqcated by postmark, on or before and telegraph lines, pull rods and other the due date: Provided, That the time appliances necessary for the operation within which a well shall be drilled shall of the ~ ells, also the right of ingress and not begin to run on any restricted homeegress, and the right-of-way to any point stead selection until the consent of the of operations. Lessee may use water Superintendent to drilling on such homefrom streams and natural water courses stead shall have been given, nor shall for lease operations as set. out in § 183.57. advance rcntal become due until the next Before commencing operations for the anniversary date of the lease folP)win~ drilling of any w(,ll the lessee shall pay the date of st~.ch consent: Promdcd /urto the surface owner the sum of $200
§ 183 16 for each w ~tilled or - _ lately Prec~
ing hay-m
---p.tsture lar
on brush q
lands not s payment o lessee ~hall cation sites area essen,, no event s~ acres in are site fees at not exceed Provided, h( shall be pai on a well 1( Poses durin~ Tank sites s: area essent and in no e~ 50 feet squa~ paid for an ( ity and occul agreed upon ~d the less, the same sh [-: "~ayr.~,r }: (,
9527, Sept. :
§ 183.16 S lessee may at Superintende: surrender all fractional par the lease does section, and I~ to the lands, lieved from a liabilities ther, rendered: Pro has been reco ecute a releas, the proper offi not entitle the unuaed portim of devel0pmen lessee ar.d his, incurred prior 1
[23 F. R. 7134. SeI
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§ 183.5 ~ent in his disirilling of any he interests of Provided/urCommissioner raider the marte to take care direct suspens on this lease. to the Missisof oil or gas in a lesser depth ~, for such time mue, after the ~1 status, shall . .y further paybalance of the ase for which Should such :1 shall com,ersary date of be paid on the no refund will d patti in com,ns in this part. .tion of a term ~I Council may. ;uperintendent. at such action ne Osage Tribe, ~e term of the to exceed six )f enabling the the Mis-¢issiPpi ound in payin~ th. 4 :~-~s revised 16, 195z. ( ~: :m.s ;:ept. 26, 17,52
Ands : .~elt|ement and crops, the right to use the land within may be reasonudmg the right ~lines, telephone rods and other r the operation ~t of ingress and ~'ay to any point may use water al water courses ¢ out in ~ 183.57. :rations for the lessee shall pay he sum of $200
§ 183.39 Titl~ 2S--Indians § 183. 16 for each well located on culitvated land UTILiZA?I N CF CAS[NC-::EAD GAS ",.7:::::: ~tilled or culLivated within the immed- USED FOR ?:{E ~"~CFACTUR~: ):- CASOLI::E iately preceding three years, and including hay-meadow land), $150 f.',r open § 183,24 Royalty on ¢'-sing-head or nat.-.p.~sture land, and $100 for such ?ocation ural gasoline, butane, propane, or on brush or wooded lands, and other other liquid hydrocarbon ~ubstances lands not suitable for cultivation. Upon extracted from gas, drip gasoline, payment of such location site money, or other nalural condensate. lessee ~hall be entitled to possession. Lo{a) A royalty of 162/3 .e:'cent of the cation sites shall be held to the minimum gross proceeds o! sales ~.mll be paid on area essential for operations, and in the value of one-third (or the lessees no event shall exceed one and one-half acres in area. Lessee shall also pay tank portion i~ greater than one-third) of all site fees at the rate of $20 per tank of casing-head or natural gasoline, butane, not exceeding :,000 barrels capacity: propane, or other liquid hydrocarbon substances extracted from the gas proProvided, however, That no tank site fee shall be paid for a tank temporarily set duced from the leasehold. The value of on a well location site for testing pur- the: remainder is an allowance for the cost of manufacture, and no royalty poses during the completion of the well, be Tank sites shall be held to the minimum thereon is required. 2~ne royalty shall by computed on the sale price received area essential to efficient operations, such and in no event shall exceed an area of the manufacturers oflessee products, or may receive, 50 feet square per tank. The sum to be such higher price the the same to be reported under oath and paid for an oil tank site of larger capacremitted to the Superintendent not later ity and occupying a greater area shall be than the 25th of the succeeding month agreed upon between the surface owner and the lessee and on fmlure to agree, for all such products sold during the the same shall be fixed by arbitration. previous month. If the manufacturer of any product extracted from casing-head [?arayr~Fh (~) W~.S arn, ended~ 27 F.R. gas produced from an Osage leasehold 95!2~ Sep%. 26~ lC'62" should sell his product at a price below thai; obtained by other manufacturers ~ellin~ such pror'~,-.! i~': ~ : :~'n market ::~.i:~ a particular nloIlti~, the Superintendent shall notify said manufacturer of such d:screpaney and require settle§ 183.16 Surrender o/ lease. The oil ment for royalty upon the average price lessee may at any time,, by paying to the obtained by manufacturers selling such Superintendent the sum of one dollar, product in the open market during the surrender all or any quarter-section o.~ same period. The place of sale of liquid fractional part of quarter-section where hydrocarbon extracted from gas, for the lease does not cover' the full quarterroyalty purposes, shall be at the plant section, and have the lease cancelled as where manufactured. to the lands, surrendered; and be re[F.~ragraph (~) lieved from all further' obligations and .Cept. 25, 1967] '~eu!e:~., 2" :.R. 5:17, liabilities thereunder, as to the part surrendered: Provided, That if this lease has been recorded, the les.~ee shall execute a release and record the same in HOW TO ACQUIRE LEASES OF TRIBAL LANDS the proper office. Such surrender shall not entitle the lessee to a refund of the unuaed portion of rental paid in lieu § 183;.39 Sale of oli leeses and gas leases. of development, nor shall it relieve the lessee and his sureties of any obligation (b) The Superintendent, with the incurred prior to such surrender. consent of the Osage Tribal Council, ~23 F. R. '~134, Sept. 16, 1958] may at such times and in such manner
99
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§ 183.43 183.40 Title 25--Italians as shall be deemed apl)ropziate, publish business in the state where the land to and distribute notices that oil leases and/ be leased is situate; or Ras bases on spt~,ific trae*~ of un~2, That it has power to hold and operate mining leases; leased tribal lands, ,'ach of wx..~h shall be a compact body, will be offered for ~3~ That the officer executing the sale to the highest responsible bidder: lease is authorized to act on behalf of Prorzded, That not less than 25,000 ',acres the corporation in such matters. of the unleased portion of the C)sa:.'e [b} Whenever deemed advisable in mme,,al reserve Mla!l be offered for lease any case the Area Director or SuperdUl-mV any one year. Successful bidders mtendent may require a corporation to rnu.~t deposit with tile Superintendent file any additio~d information necessary on day oI mile. a ct~eck, or bank draft on to carry out the purposes ~nd intent of a ,~olvcnt baltk iIa all amo'~nt equal to the regulations m this part and such in25 percent of the bonus as a guaranty of formation shah be furnished within a toed faith The balance of the bonus, reasonable time. to~ether wlth a $I0 filing fee for each :. , .E. 951, 7e:t. 2, !
§ 183., pa Roya casingtured t] shall b the m( purcha: will suL after i~. order t( furnish operati, duction total ar and no and als( of utiliz lessee n leases drilled produce [27 F.R
§ ~8~.4
§ 183.46 ~b~ U~ ,~d(leratio secondm oil lease: in a sin, proval o: strumeni shall inc provisio~ 7, 8, 9.1C 20 of Os~ That th~ provision spect to 3 in resp( numbere~ site and numbere( of the h suppleme approval extent de table ant operation flict with Lessee [ s ) ondary r( before De~ after, sub acceptabh
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§ 183. 43 :'e the land to to hold and .~xecuting the on behalf of aatters. advisable in ~or or Supcr:orporation to tion necessary and intent of and such inched within a
§ 183. 45
alter consent operations on by § 183.4, 23 s agents. (a) development ~d on leased shall appoint atative within 3n whom the athorized repent may serve aunicate with :h the regrlaall notify the tree and post :esentative sc es own a lease ative or agent e duties shall ~s concerned. representative y in charge of incapacity or f such desigepresentative, me person to t the absence [ notice of the ute any emn the leased or other per~r related op,.onsidered the .~ for the purer notices as ice upon any or other per'ice upon the
§ 183, 46 § 183.45 Reports and time of royalty eration for tim unit area for the ensuing year. Upon a finding by him that such payments. action would be in the best interest of Royalties on all oil and gas, including the Osage Tribe, the Superintendent casing-head gas or on gasoline manufacmay also apm'ove an agreement between tured therefrom, produced in any month, the lessor and the lessee(s) rescinding shall be paid on or before the 25th of a unit (blanket lease) and restoring to the month next succeeding by either their original status the Form B leases purchaser or lessee. Failure to so remit theretofore merged in the unit lease: will subject the lessee to fines as hereinProvided, That if oil is being produced after indicated, and also subject division in paying quantities on a particular order to cancellation. Lessees shall also quarter-section tract on the date of apfurnish monthly reports covering all proval of such agreement, the lessee shall operations whether there has been probe entitled to hold such tract under terms duction or not, indicating therein the of the original Form B lease so long as total amount of oil, gas, or gasoline sold oil is produced on said tract in paying and not merely their' working interest, quantities. and also dates of discovery and beginning ~c) Assiorments. Approved leases of utilization of gas from gas wells. The or any i:~.;: "r~'~t therein may be assigned lessee may include in one statement all with the .~, :" #val of the Superintendent, leases upon which dry holes have been and not otherwise. Assignments, when drilled or the wells have ceased to approved, shall be subject to the terms produce. and conditions of the original leases, and [27 F.R. 9513, Sep%. 25, 1962~ the regulations under which such leases were approved. In order for an assignmeat to receive favorable consideration, ASSIGNMENTS the lessee shall assign either his whole int~.~rest in a legal subdivision or an un§ 183.46 Approval of lease instruments. div~ded interest in the whole lease. If a lease is divided by the assignment ' of an entire interest in any part of it, each ¢b) Unitization o] oil leaseb. As a conpart shall be considered a separate leas~ sideration for further clevelopment by a under all the terms and conditions oi secondary recovery process, two or more oil leases may be unitized and merged the original lease. The assignee shall furnish with his assignment a satisfacin a single blanket lease with the aptory' bond as provided in § 183.20(c). proval of the Superintendent. The inAny attempt to assign an approved strumen~ of unitization (blanket lease) shall include all the requirements and lease or any interest therein without the consent and approval of the Superinprovisions of sections numbered 1, 5, 6, 7.8, .q., 10, 11, 12, ,~,'~ 15, 16, 17, 18, 19 and tendent shall be absolutely void and 20 of Osage oil lease Form B: Provided, shall sub)cot the original ]ea-~e to canThat the preamble of Form B and the cellation in the discretion of ~l~e Superprovisions of section numbered 2 in reintendent. spect to royalty rates; section numbered 3 in respect to payment of rental; section F.R. 9513, Sept. 26, 1962] numbered 4 in respect to payment of well site and tank location fees; and section numbered 14 in respect to the surrender (d) Overriding royalties. Agreements ot the lease may be modified and/or creating overriding royalties or payments supplemented by the parties, with the out of production shall not be considered approval of the Superintendent, to the as interests in the leases as such term is extent deemed appropriate for the equi- used in paragraph (e) of this section. table and efficient conduct of unitized Agreements creating overriding royalties operations, and not otherwise in conor payments out of production are hereby flict with the regulations in this part. authorized and the approval of the DeLessee(s) shall before commencing sec- partment of the Interior or any agency ondary recovery operations, and on or thereof shall not be required with respect before December 31st of each year there- there.o, hut such agreements shall be after, submit to the Superintendent an subject to the condition that nothing in acceptable plan of deve][opment and op- any such agreement shall be construed lOl
Title 25--I~ltans
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§ 183. 49 Title 25--Indians § 183. 73 as modifying any of the obligations of the tendent of the Osage Agency for such lessee, including, but not limited to, obli- Indian. All other surface owners, gations for diligent development and opwhether Indians or non-Indians shall eration, protection against drainage, be pald or tendered such fees direct, and compliance with oil and ~as operating where such surface owners are not resiregulations in this part. and the requiredents of Osage County nor have a repment for departmental approval before resentative located therein, such payabandonment of any well. All such obli- ments shall be made or tendered by gations are to remain in full force and check, postage prepaid, to last known effect, the same as if free of any such address of said surface owner at least royalties or payments. The existence of 5 days before commencing drilling opagreements creating overriding royalties erations on any well: Provided, That or payments out of production, whether should the lessee be unable to reach the or not actually paid, shall not be conowner of the surface of the land for the sidered as justification for the approval purpose of tendering the location fee, of abandonment of ~.ny well. Nothing or if owner of the surface of the land in this paragraph r yokes the requireupon being tendered the location fee ment for approval of assignments and by the lessee, shall refuse to accept the other instruments which is required in same, the lessee may tender the location this section, but any overriding royalties fee to the Superintendent of tl~e Osage or payments out of production created Agency, and If the lessee and the Superby the terms of such assignments or inintendent shall agree upon the amount struments shall be subject to the condiof the location fee, the lessee :shall detion stated above. Agreements creating posit such amount with the Superintendoverriding royalties or payments out of ent for payment to the owner of the production need not be filed with the surface of the land upon demand, and Superintendent unless incorporated in the Superintendent shall thereupon adassi~m_ments or instruments required to vise the owner of the surface of the land be filed pursuant to paragraph (c) of this by mail at his last known address, that section. the location fee ',is being held for pay[Paragraph (d) added. 23 F. R. 9758, Dec. ment to him upon his written, request. 18, 1958] [?aragraph (b) amended, 27 F.R. 9514, Fept. 26, 1962] Oi-~:l:b~,']~ ~ O;~S RE : ,':~ I RI':MI,:,2$T S 0 F LESS I':ES § 183.49 Commencement of operations. No drilling or development operations § 183.62 Permission to start operations. shall be permitted upon any tract of land Written permission must be secured until a lease covering such tract shall from the Superintendent before operahave been approved by the Superintions are started on the leased premises. tendent or such operations specifically Lessee shall submit application for such authorized by him: Provided, That the permission, on forms to be furnished by Superintendent may grant authority to the Superintendent. any party, under such rules (consistent [27 Y.R. 9514, Sept. 26, 1962] with the regulations In this part) that he deems proper, to conduct geophysical and geological exploration work in any portion, or all of
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