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EXHIBIT 0

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Army Regulation 405-30

Real Estate

Mineral

Exploration
and Extraction

Headquarters
Department of the Army
Washington, DC
15 July 84

Unclassified

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SUMMARY of CHANGE
AR 405-30
Mineral Exploration and Extraction

Case 1:98-cv-00314-EJD
Headquarters
Department of the Army
Washington, DC
15 July 84

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Army Regulation 405-30
Effective 15 August 84

Real Estate

Mineral Exploration and Extraction
mineral exploration and extraction on Army-controlled lands. Applicabilty. This regulation applies to the
By Order of the Secretary of the Army:
JOHN A. WICKHAM, JR General, United States Army Chief of Staff
Official:
regulation are not offcial unless they are au-

thenticated by the Adjutant General. Users wil destroy interim changes on their expira-

Active Army, US Ary Reserve, Army National Guard, and elements dealing with

tion dates unless sooner superseded or rescinded.

Ary civil works. Proponent and exception authority.
Not applicable.

Impact on New Manning System. This
regulation does not contain information that

Suggested Improvements. The proponent agency of this regulation is the Offce the Chief of Engineers. Users are invited to
send comments and suggested improvements
on DA Form 2028 (Recommended Changes

affects the New Manning System.

ROBERT M. JOYCE Major General, United States Army

Army management control process.
Not applicable. Supplementation. Supplementation of this

to Publications and Blank Forms) directly to HQDA(DAEN-REM), Wash DC 20314.

The Adjutant General

regulation is prohibited without prior apHistory. Not applicable.
Summary. This regulation implements Departent of Defense; Directive 4700.3. on

Distribution.
To be distrbuted in accordance with DA

proval from HQDA(DAEN-REM), Wash DC
20314.

Interim changes. Interim changes to this

Form 12-9A requirements for AR, Real Estate. Active Army, C; ARNG, D; USAR, D.

Contents (Listed by paragraph and page number)

Puose . 1, page 1
References . 2, page 1

Explanation of abbreviations and terms' 3, page 1 Responsibilities . 4, page 1

Type and location of mineral' 5, page 1
Availability of minerals . 6, page 1
Oil and gas leasing' 7, page 1

Oil and gas lease operations . 8, page 2
Other mineral leases' 9, page 3

Permission to explore for minerals' 10, page 3

Appendixes A. Stipulations, page 4
B. Adequate Surace Use Program, page 4

Glossary

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RESERVED

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1. Purpose

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to exploration or extraction, or if the minerals are within an incorpo-

This regulation assigns responsibilties and sets policies and proce-

rated city, town, or vilage, or in tidelands, or submerged lands in
acquired lands.

dures for mineral exploration and extraction on Ary controlled
lands.

b. Geothermal resources. The BLM may also issue leases for
development, production, and use of geothermal resources on withdrawn public domain lands with the consent of the Army.
c. Locatables. Exploration or extraction of certain hard rock min-

2. References
a. Required publications.

(I) AR 385-64 (Ammunition and Explosives Safety Standards). Cited in paragraph 6.

(2) AR 405-80 (Granting use of Real Estate). Cited in paragraphs 7, 8, and 10.

erals known as locatable in not allowed, because it could lead to a land patent. d. Salesables. These materials are disposed of under AR 405-90.
6. Availabilty of minerals

b. Related publications. (A related publication is merely a source of additional information. The user does not have to read it to
understand this regulation.)

Under the multiple-use principle, lands wil be made available for mineral exploration and extraction to the extent possible, consistent
with militar operations, national defense activities, and civil works

(I) AR 405-90 (Disposal of Real Estate). (2) 43 CFR 3160 (On Shore Oil and Gas Order No.1)
(3) DODD 4700.3 (Mineral Exploration and Extraction on DOD Lands.)

activities. a. Exlusions and restrictions. Exclusions of lands from exploration and extraction and any restrctions on exploration and extraction wil be necessar, justified, and based on military or civil works

3. Explanation of abbreviations and terms
Abbreviations and special terms used in this regulation are explained in the glossary.

considerations. (See app A.) For example, classified activities, contamination, and operational incompatibility may restrct or exclude

leasing. .

b. Directional driling. A lease may cover oil and gas in a vast

4. Responsibilties

tract of land, although sudace-isturbing activities ar~ limited to a

a. The Assistant Secretary of the Army (Installations, Logistics,

and Financial Management (ASA(IL&FM) oversees the Army mineral exploration and extraction program and gives final approval of
nonavailability determinations or refusals to consent.

b. The Chief of Engineers(1) Coordinates and approves availability determinations for mineral leasing on military lands, under ASA(IL&FM) guidance.
(2) Issues instructions for mineral leasing.

specified area. It is also possible, though expensive, to reach some oil and gas by directional drillng from a site off the installation. Since directional drilling involves no sudace occupancy, it is normally impossible to justify withholding consent for leasing. c. Ammunition and explosives facilities. (See AR 385-64.)
(I) Mineral exploration and driling activities wil be separated

for amunition and explosives operating and storage facilities by(a) Public traffc route explosives safety distances if no personnel

(3) Obtains Departent of Defense Explosives Safety Board

wil be occupying the site when the exploration or drilling is
completed.
(b) Inhabited building explosives safety distances if personnel wil occupy the site after exploration or drllng is completed.

(DDESB) review and approval of plans for exploration or extraction
involving amunition or explosives contamination.

c. Major Ary Commands (MCOMs) will(1) Review reports of availability for mineral

leasing and explo-

(c) Public exclusion distances if toxic chemical agents or munitions are present.

ration requests.

the Bureau of Land Management (BLM) on request.

(2) Furnish available environmental and cultural information to

Examples of exploration activities are seismic or other geophysical

d. Division and distrct commanders wil(I) Provide advice on mineral leasing. (2) Prepare statements of availability with stipulations or justifications for nonavailability for mineral leasing and exploration requests for civil works propert. (3) Approve availability of civil works lands and grant consent for mineral leasing. (4) Notify the BLM of the Ary's determination on requests for

tests. Examples of drlling activities are those for exploration or extraction of oil, gas, and geothermal energy.

plosives operating and storage facilities by-

(2) Mining activities will be separated from ammunition and ex(a) Inhabited building explosives safety distances in most cases.

(b) Public exclusion distances if toxic chemical agents or munitions are present.

mineral leasing and of available title information.

Examples of mining activities are strip, shaft, open pit, and placer
mining, which normally require the presence of operating personneL.

(5) Participate in BLM inspections on surface use of civil
properties. (6) Issue licenses or request BLM to issue permits for mineral explorations.
e. Milta installation commanders wil-

d. Contaminated lands. (See AR 385-64.) Exploration, drlling,
and mining are prohibited on the sudace of explosives or toxic chemical agent contaminated lands. Exploration and extraction is

permitted by. (I) Directional (slant) drllng at a depth greater than 50 feet
under the explosives contaminated land sudace.
(2) Shaft mining at a depth greater than 100 feet under the con-

(I) Prepare ROA or justifications for nonavailability for mineral leasing and exploration requests. (2) Furnish available environmental and cultural information, through channels, to the BLM on request.

taminated surface.
e. Nuclear or chemical surety mission. Military installations with

5. Type and location of mineral a. Leasable minerals. The mineral leasing statute for acquired
lands authorizes the BLM to lease coal, phosphate, sodium, potassium, oil, oil shale, gas, or sulfur owned by the United States within acquired lands. The statute for public domain lands authorizes the BLM to lease coal, phosphate, sodium, oil, oil shale, native asphalt, solid or semisolid bitumen, and bituminous rock or gas owned by the United States within public domain lands. These authorities do not apply to Army-controlled propert if the Army does not consent

a nuclear or chemical surety mission wil not normally be made
available.

7. Oil and gas leasing
a. Application. The part desiring a lease may consult the appro-

priate division and district commander to identify acquisition tract numbers. However, the part must fie an offcer in the proper BLM

State offce to obtain a lease. b. BLM State offce. The BLM reviews the offer for suffciency and requires the applicant to identify the installation and tracts in

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title information request to the affected installation.

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the offer. If the BLM accepts the offer, it forwards the offer and a
c. Installation. The installation decides whether and under what
conditions minerals may be made available. The installation pre-

develop a surface use program, which the installation will approve. The installation wil provide available information on properties in, or eligible for, the National Register for Historic Places, threatened or endangered species, and critical habitats on the leased area.
b. Drillng operations.

pares an ROA for military properties under AR 404-80, or an
explanation for denying leasing. When completed, it is sent through the MACOM to HQDA(DAEN-ZCI), Wash DC 20310. The division or district commander prepares such data for civil properties

and forwards justifications for nonavailability to

HQDA(DAEN-REM), Wash DC 20314. The division or district commander determines if civil works propert is available. An ROA or civil works availability statement must indicate conditions under which exploration and extraction could be allowed, because these conditions wil become part of the lease. The ROA or civil works availability statement wil identify any known significant resources that may affect the lessee's exploration and extraction plans. The ROA will also include information per paragraph 3-6B of the Ap-

(I) Notice of staking (NOS). The lessee may furnish the BLM and the installation an NOS before fiing an Application for Permit to Dril (APD) to the BLM. The installation wil review the NOS and determine if an additional license is needed for the lessee to work outside the leased area. If so, the installation will prepare an ROA in accordance with AR 405-80. (2) Applications for Permit to Dril (APD). The lessee must fie an APD with the BLM. The BLM wil consult with the installation on the surface use of the program of the drillng plan in the APD.
predril inspection and promptly give the BLM any additional surface protection, safety, or reclamation stipulations. If plans not ap-

(3) Operations approval. The installation wil take part in the

pendix to AR 385-64 on leasing close to amunition and explosives facilities or land that is contaminated or suspected to be
contaminated with explosives. Stipulations wil be justified and will not duplicate the BLM regulations or standard lease terms. (See app

proved by DDESB involve exploration or extraction close to
ammunition and explosives facilities, or on land that is contaminated or suspected to be contaminated with explosives, the installa-

tion must submit a proposal under paragraph 3-6B of the appendix

A.) Because of the technical nature of oil and gas leasing, the
installation should consult the BLM or the division or district commander in developing the ROA.

to AR 385-64. Stipulations wil relate directly to details of the
proposed plan of operations, and each stipulation must be objec-

d. Chief of Engineers. DAEN-ZCI staffs and approves the ROA
or justifications for nonavailability for military properties.

DAEN-REM staffs and obtains DAEN-CWO approval for nonavailability of civil propertes. DAEN-REM wil obtain DDESP
review and approval of plans for leasing close to ammunition and

explosives facilities, or for leasing land that is contaminated or
suspected or suspected to be contaminated with explosives. DDAEN-REM forwards any approved ROA to the division or district commander for action and recommends that ASA (IL&FM) withhold consent for other cases. e. The Secretariat. ASA(IL&FM) wil review justifications for nonavailability and decide whether to withhold consent for leasing. If consent is withheld, ASA(IL&FM) will return the action to HQDA(DAEN-REM) for forwarding it to the division or district
commander.

tively justifiable, based on military or civil works considerations. The BLM wil normally schedule the inspection within 15 days after receiving the NOS or APD. The BLM wil include the added stipulations in the completed application before approval. At the same time, the installation should review the surface use program of the ADP for adequacy and advise the BLM of any needed changes. An adequate program is safe, protects the surface, and describes proper acceptable reclamation measures. (See app B.) (4) Subsequent operations approval. Subsequent operations approval. Except in emergencies, the BLM must consult with the installation that must approve, in advance, a change not already

approved in the APD for surace use due to new constrction,
reconstrction, or alterations. The installation wil attend site inspections arranged by the BLM. (5) Lease extension. The BLM must extend leases as long as oil
and gas are produced in paying quantities.

ers wil-

f Division or district commander. Division or distrct command-

(1) Develop available title information for acquired lands and identify outstading interests (e.g., easements) on withdrawn public domain land. The commander will indicate when Army title records
are incomplete.

(6) Well abandonment. The BLM wil not approve final abandonment until the installation advises that it is satisfied with the reclamation work, as required by the APD or the approved abandonment notice. The BLM wil consult with the installation. The installation may assume responsibility for a well with fresh water if funds are
available to reimburse the lessee for recoverable casing and well-

consent for leasing. Consents wil include required stipulation and available title information. The commander wil request an opport-

(2) Consent or inform the BLM of the decision to withhold

head equipment used only for the conversion to a water well. The
lessee is stil responsible to complete surface cleanup. Otherwise,

the installation will advise the BLM of any further reclamation
measures required.

nity to review the mineral lease before execution in the case of

noncompetitive leasing or before the offer of the mineral interest for sale in the case of competitive leasing. The commander wil require

an opportnity to review new or changed stipulations in advance.
The affected installation wil take part in such a review. g. Leasing. As the lead agency, the BLM wil prepare necessary

c. Cancellation. Unlike most other leases, mineral leases convey more than a right to use and occupy propert. They also convey a right to the propert itself, i.e., all leased minerals in place and all that the lessee severs or extracts, unless such right is affected by a
stipulation in the lease. Therefore, lease cancellation involves taking possibly valuable propert rights where minerals are known to exist.

environmental and cultural documents before deciding to lease. BLM may consult the Army as cooperating agency for available environmental and cultual information. Then the BLM grants the lease, with the stipulations required by the Army, and furnishes a
completed copy to the division or distrct commander or the installation commander who sends a copy to the division or district com-

BLM has established the following procedures for canceling or otherwise ending a lease:
(I) The Secretary of the Interior may cancel a lease after giving

mander. The division or district commander will mark the
installation map to identify mineral leases on the propert.

notice if the leased area contains valuable oil and gas deposits, and if after notice of noncompliance, the lessee or bona fide purchase of the lease interest continues to violate the mineral leasing statute,
regulations, or provisions.

8. Oil and gas lease operations
Where surface occupancy is allowed under a lease, a separate procedure, detailed in 43 CFR 3160, is followed to approve the lessee's

(2) The BLM may suspend a lease, i.e., temporarily discontinue the right to explore and extract oil and gas. Usually, the BLM extends the lease term for the suspension period. The Secretary of

operations. The procedure is described generally below. Lessees
must obtain prior approval for any surface distubing activities.

the Army or designee may also suspend lease operation under a lease stipulation (app A). Also, a leasee may give up a lease or any
legal subdivision of a lease. Finally, the lease automatically termi-

a. Advance action by lessees. Before applying to the BLM for approval, the lessee may contact the installation for information to

nates for nonpayment of rent under certain conditions, but may later be reinstated by the BLM.

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9. Other mineral leases

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As explained in paragraph 5, the BLM may grant leases for other
tyes of minerals. Leases for these minerals are less frequent and

procedures are usually more complicated. This regulation also applies to such leases. However, DAEN-REM will advise MACOMs on specific procedures on each case.
10. Permission to explore for minerals

In some cases, a part may request permission to conduct geophysi-

cal tests to explore for minerals before requesting a lease. Seismic
testing is most common.

a. Army licenses. Usually the Army wil grant permission in the form of a license. The affected installation wil require a detailed operations plan from the interested part. The installation wil prepare an ROA or similar data for civil works propert with required stipulations and environmental and cultural information. The
MACOM or its designee must approve an ROA for military property. The division or distrct commander wil issue the license under AR 405-80. Licenses wil prohibit extraction and require the operator to contact the installation before entr. The licensee must furnish a performance bond under BLM regulations and advise the BLM of
its findings. These findings are the licensee's propert, and they are

confidential until disclosure of the findings does not adversely affect the competitive position of the licensee. The division or district

commander wil monitor license compliance. b. BLM permits. In unusual circumstances, the BLM may be
asked to issue a permit for exploration. Unusual circumstances in-

clude requests involving complex technology requiring the expertise of BLM, that may result in litigation, or to explore in Alaska. The affected militar designee for approval. The division or distrct commander wil ask the BLM to issue the permit. The BLM, as the lead
agency, wil insure compliance with the National Environmental

Protection Act before issuing the permit. The affected installation

wil give available environmental and cultural information to the BLM or request. On completion of work, the permittee wil advise
the BLM and the installation of compliance with all permit requirements. The installation wil advise the distrct commander and the BLM within 60 days if further restoration is required. The BLM will assist the installation and the distrct commander in monitoring
license compliance.

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Appendix A

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Stipulations

surface resources, values, uses, and users to show which lands
require the protection of a stipulation.
A-6. Information notices

A-1. Stipulations
Mineral leases grant the right to operate in the leased area for
mineral production. Stipulations are contract terms that restrict the
lessee's right to operate. The authority to deny lessee operations

At the time of leasing, the installation may wish to give the lessee information that will not restrict lessee operations. This information
might help the lessee write an acceptable plan of operations or
clarify administrative matters. In such cases, the installation should

must be established by lease stipulations.
A-2. Drafting

recommend that the information be included in the lease as an information notice and not as a stipulation.

To prevent challenges to lease, stipulations should be carefully written. They should be clear enough for the potential lessee to estimate
the value of leasing. Stipulations should specify the reason for

A-7. 8lM assistance
Installations are encouraged to consult the BLM or the division or district commander for help in drafting leasing stipulations.

restricting operations and the land affected. For example, "The lessee may not operate in Tract A because it contains a critical wildlife habitat." Stipulations should also permit a waiver of the restriction if
pertinent conditions change or if the lessee can operate without

causing unacceptable effects. For example, "Operations on Tract B

wil not be approved, unless it is shown to the satisfaction of the installation commander that mineral operations wil not interfere with training."

Appendix B Adequate Surface Use Program The lessee will furnish information under guidelines to BLM. The installation must review the information to insure that the surface use program is safe, protects the surface, and describes acceptable
reclamation measures.

A-3. Mandatory stipulations
All leases will contain the following stipulations: a. The Secretar of the Army or designee reserves the right to require suspension of operations in a national emergency or if the Army needs the lease area for a mission that is not compatible with lease operations. Use of this right wil have prior MACOM concurrence. On approval ITom higher authority, the installation commander for militar propert or the project manager for civil works

8-1. Existing access

Provide for maintenance of existing access roads per installation

standards. (Use of any rail facilities, piers, and docks wil also be
addressed. )

8-2. Other access
Give detailed information on construction or reconstrction of ac-

propert wil give the lessee written notice, or when time permts,

request the BLM to give notice of the requirement to suspend

cess roads.
8-3. Wells

operations. Copies of this notice must be simultaneously provided to

the MACOM; HQDA(DAEN-REM), Wash DC 20314; the appropriate district commander; the operator; and the BLM. The lessee

Locate all existing wells on a map or plat.

and the operator agree to this condition and waive the right to
compensation for its exercise. The lessee and the operator agree to this condition and waive the right to compensation for its exercise.

8-4. Proposed construction
Locate existing and proposed production facilities and lines on a map or plat, with dimensions of proposed constrction.
8-5. Water supply

b. If the installation commander (miltar) or project manager (civil work) finds an immnent danger to safety or security, the
installation commander or the project manager may order an imme-

diate stop of such activities. The regional director of BLM; the MACOM; HQDA(DAEN-REM), Wash DC 20314; the appropriate district commander, and the lessee wil be notified immediately. On receipt of the notice, the regional director wil review the order and
determine the need for other remedial action.

Describe in writing, or depict on a map or plat, the source of the water supply to be used in drilling and the method of transportng water ITom or across Federal or Indian lands.
8-6. Construction materials

c. The operator wil immediately stop work if contamination is
found in the operating area and ask the installation commander for help.
A-4. Necessity

Describe in writing or depict on a map or plat the source of
federally owned constrction materials, such as sand, gravel, stone,

and soiL. BLM wil approve use of constrction materials on acquired lands for use off the installation, under existing disposal instructions.
8-7. Disposal of waste material
Describe in writing, methods and locations for containment and

Stipulations must be necessary. a. Proposed stipulations that duplicate standard lease terms, pub-

lished regulations, or published operating orders should be
eliminated. b. Stipulations that restrict economical extraction of a mineral should be included.

disposal of waste, and plans for disposal of drlling fluids, oil, and water recovered during operations.

8-8. Ancilary facilties
Describe in writing and depict on a map or plat the location, required land areas, and construction methods and standards for ancillar facilities.

A-5. Justification
Stipulations must be justified.

a. Proposed stipulations that restrict operations, because they are incompatible with resources, values, uses, or users elsewhere at no
cost to the United States during the period of operations.

8-9. Site layout

Describe the well-site layout. Locate the dril pad, reserve and burn
pits, access roads to the pad, turnaround areas, parking areas, living

b. Installations should be prepared at all times to explain why the

stipulations are required. Installations should similarly be prepared to show that less restrictive stipulations were considered but rejected as not promoting the national defense or not being in the public interest. This may be done by referrng to mission statements, plans or similar materials, by separate explanation or by another reasonable method. Explanations should contain enough information on

facilities, soil material stock piles, and the orientation of the rig on a plat. Furnish a cross-section diagram of the drill pad showing any cuts and fills. Describe plans to line the reserve pit.
8-10. Reclamation

State plans for reclamation of the surface, with a time for commencement and completion.

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Glossary
Section I Abbreviations
APD
Application for Permit to Dril

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Locatables US-owned minerals, including gold and silver, on public domain lands subject to discovery and claim. These are not leasable or
saleable materials.

Public domain Lands owned by the United States, administered by the Departent of the Interior under
public land laws.

BLM
Bureau of Land Management

CFR
Code of Federal Regulations

Salables US-owned materials, including sand, clay,
and gravel.

DDESB

Department of Defense Explosive Safety
Board

Seismic testing

A procedure to gather evidence on the potential for oil and gas reservoirs by charing

DOD
Departent of Defense

sound waves into the earh and back to the
surface.

Withdrawn public domain lands
MACOM
major Ary command

Public domain lands reserved for use by a US agency for a specific purpose.

NOS

Section II

notice of stakng

Special Abbreviations and Terms
This section contains no entres.

ASA(I&FM)
Assistant Secretary of the Army (Installations, Logistics, and Financial Management)

ROA report of availability

Section II Terms
Abandonment Any process to reclaim or restore real estate under a plan approved by the BLM and the

Army, where operations (including a dry
hole) or production has occurred and has

ceased.

Acquired Lands Lands owned by the United States obtained
by purchase, gift, or condemnation.

Directional Drillng
Drill from a point of the installation to reach

oil or gas under the installation. Slant
driling.

Geophysical testing
A search for a mineral that involves a physical presence on the land, and testing may

cause damage. Does not include core drlling
for geological information or extraction of
the mineraL.

Installation A military or civil works project.
Leasables US-owned minerals, including oil and gas,
subject to lease under the mineral leasing

laws.

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Unclassified

PIN 056614-00

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DOCUMENT: AR 405-30
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