[Code of Federal Regulations]
[Title 43, Volume 2]
[Revised as of October 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 43CFR3102.5-1]

[Page 329-330]
 
                    TITLE 43--PUBLIC LANDS: INTERIOR
 
    CHAPTER II--BUREAU OF LAND MANAGEMENT, DEPARTMENT OF THE INTERIOR
 
PART 3100--OIL AND GAS LEASING--Table of Contents
 
                 Subpart 3102--Qualifications of Lessees
 
Sec. 3102.5-1  Compliance.

    In order to actually or potentially own, hold, or control an 
interest in a lease or prospective lease, all parties,

[[Page 330]]

including corporations, and all members of associations, including 
partnerships of all types, shall, without exception, be qualified and in 
compliance with the act. Compliance means that the lessee, potential 
lessee, and all such parties (as defined in Sec. 3000.0-5(k)) are:
    (a) Citizens of the United States (see Sec. 3102.1) or alien 
stockholders in a corporation organized under State or Federal law (see 
Sec. 3102.2);
    (b) In compliance with the Federal acreage limitations (see 
Sec. 3101.2);
    (c) Not minors (see Sec. 3102.3);
    (d) Except for an assignment or transfer under subpart 3106 of this 
title, in compliance with section 2(a)(2)(A) of the Act, in which case 
the signature on an offer or lease constitutes evidence of compliance. A 
lease issued to any entity in violation of this paragraph (d) shall be 
subject to the cancellation provisions of Sec. 3108.3 of this title. The 
term entity is defined at Sec. 3400.0-5(rr) of this title.
    (e) Not in violation of the provisions of section 41 of the Act; and
    (f) In compliance with section 17(g) of the Act, in which case the 
signature on an offer, lease, assignment, transfer, constitutes evidence 
of compliance that the signatory and any subsidiary, affiliate, or 
person, association, or corporation controlled by or under common 
control with the signatory, as defined in Sec. 3400.0-5(rr) of this 
title, has not failed or refused to comply with reclamation requirements 
with respect to all leases and operations thereon in which such person 
or entity has an interest. Noncompliance with section 17(g) of the Act 
begins on the effective date of the imposition of a civil penalty by the 
authorized officer under Sec. 3163.2 of this title, or when the bond is 
attached by the authorized officer for reclamation purposes, whichever 
comes first. A lease issued, or an assignment or transfer approved, to 
any such person or entity in violation of this paragraph (f) shall be 
subject to the cancellation provisions of Sec. 3108.3 of this title, 
notwithstanding any administrative or judicial appeals that may be 
pending with respect to violations or penalties assessed for failure to 
comply with the prescribed reclamation standards on any lease holdings. 
Noncompliance shall end upon a determination by the authorized officer 
that all required reclamation has been completed and that the United 
States has been fully reimbursed for any costs incurred due to the 
required reclamation.
    (g) In compliance with Sec. 3106.1(b) of this title and section 30A 
of the Act. The authorized officer may accept the signature on a request 
for approval of an assignment of less than 640 acres outside of Alaska 
(2,560 acres within Alaska) as acceptable certification that the 
assignment would further the development of oil and gas, or the 
authorized officer may apply the provisions of Sec. 3102.5-3 of this 
title.

[53 FR 22837, June 17, 1988]