[Code of Federal Regulations]

[Title 43, Volume 2]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 43CFR3102.5-1]



[Page 338-339]

 

                    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 339]]



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]