[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: 43CFR3120.7-3] [Page 371] TITLE 43--PUBLIC LANDS: INTERIOR CHAPTER II--BUREAU OF LAND MANAGEMENT, DEPARTMENT OF THE INTERIOR PART 3120--COMPETITIVE LEASES--Table of Contents Subpart 3120--Competitive Leases Sec. 3120.7-3 Compensatory royalty agreements. The terms and conditions of compensatory royalty agreements involving acquired lands in which the United States owns a future or fractional interest shall be established on an individual case basis. Such agreements shall be required when leasing is not possible in situations where the interest of the United States in the oil and gas deposit includes both a present and a future fractional interest in the same tract containing a producing well. [53 FR 22843, June 17, 1988]