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HomeMy WebLinkAbout911272Fo~'~OO-nb. UNITED STATES (Oet~er lo92) DEPARTMENT OF THE INTERIOR BUREAU OF LAND MANAGEMENT OFFER.TO LEASE AND LEASEFOR OIL AND GAS The undersigned (reverse) offers to I~.ase all or ~ny of the lands in Item 2 that are available for lease pursuant to the Mineral Leasing Act of 1920, "a~ amend~l :an~l s~pplem~nte~ (30 U.S.C. 181 et seq.), the Mineral Leasing Act for Acquired Lands of 1947. as amended (30 U.S.C. 351-359), the Attorney Ge~rM's Opinion of April '2, '194T'(4~.~' Op. At~. 1Gen. 41L~ or the iSSTaUCnoNs 1. Name ZI~KE '~ TRUMBO INC r~ Future rental payments must be made , - on or before the anniversary date to: street 1202 E'33RD ST " ~ -'' Minerals Management Service city, state. Zip code. TULSA, OK 7d1052048 "' Royalty Management Program . . ... P.O. Box 5640 · '~ Denver, CO 80217 2. This application/offer/lease is for: (Checkonly..One) ~ PUBLIC D~M~N LANDS [] ACQUIRED" !"LANDS ''~ ': (p~=rce~. U.siCi~'.'i'~'~ '-.~.,. ~.i".'.~'interest. ."" mans i~g ge,? if~ther'than BLM" ' ..... :: S_grfaee g a y : Unit/Project' ..... '.:;v "q ,.,' *SEE ITEM i fN,1NsTRUCT!ONS BELOW PRIOR TO coMPLt~'ING PARCEL'NUMBER AND SALE DATE .......... . - . ' .............. RECEIVING # 911272 .... ,. ..... BOOK: 595 PAGE: 663 r, ,,, LINCOLN COUNTY CLERK, KEMMERER so. 00663 WYW 163336 Amount remitted: Filing fee $ Rental fee $ DO SOT WRITE BELOW THIS LINE Total' acres"applied for" Total $ 3 Land included in lease: T. 09- l ON R. 1140W Sec. 007 LOTS 1; ~. t 007 NENW; 018 LOTS I-4; I L~ 018 E2W2; '101eridian 06hh 'State~,X~y County Linooln Total acres in lease 301q.81'0 Rental retained $ 59~.59 This lease is issued granting the exclusive right to drill for, mine. extract, remove and dispose of all the oil and gas (except helium) in the lands.described in Imm 3 together with the right to build and maintain necessary improvements thereupon for the term indicated below, subject to renewal or extension in accordance with the appropriate leasing authority. Rights granted are subject to applicable laws, the terms, conditions, and at*ached stipulations of this lease, the Secretao of the Interior's regulations and formal orders in effect as of lease issuance, and to regulations and formal orders hereafter promulgated when not inconsistent with lease fights granted or specific provisions of this lease. NOTE: 'This lease is issued to the high bidder pursuant to his/her duly executed bid or nomination form submitted under 43 CFR 3120 and is subject to the provisions of that bid or nomination and those specified on this form. Type and primary term of lease: [] Noncompetttive lease (ten years) Competitive lea~e (ten years) [] Other ...................... l:' fOrq LE.qRFF 4. (a) Undersigned certifies that (1) offeroe is a citizen of the United States; an association of such citizens; a municipality; or a corporation organized under the laws of the United States or of any State or Territory thereof; (2) all pa~ies holding an interest in th~ offer are in compliance wi.th 43, CFR 3100 and the leasing authorities; (3) offeror's chargeable interests,' dire.~t and indin~ct, in each public domain and acquired lands separately in the same State do not exceed 246,080 acres ruod and gas leases eof which .up to 200,000 acres;may be ir$ oil an'dr'gas ~fpffbvJ);.~31- 3~0~0~0 acres in leases in each leasing District in Alaska o£ which up to 200,000 acres may be in options, (4) offeror is not comldered a minor under the laws of the State in which the lands covered by this offer are located; IS) offeroe is in compliance with q~nn~,~Uo,~ concerning Federal coal lease holdings provided in sec. 2(aX2XA) of the Mineral Leasin~.,Act; (6) offeror is in~,~e9. ~ ~dq~l~ance with reclamation requirements foe all Federal oil and gas lease holdings as required by see. 1700 of the Mineral Leasing Act; and (7) offeroe is not in violation of'sj.].~: 4 l~'ff the Act.. , 0a) Undersigned agrees that signature to this offer constitutes azceptance of this lease, including all terms, conditions, and stipulations of whl/~h 6fl'ii:or h,ss been given ~tlce' av2t any amendmenl or separate lease that may inolude any land described in this offer open to leasing at the time this offer was filed bat omitte~ foe any reason from this lease. The offi;roe further agrees that this bffer Thls offer will be rejectod smd will ~ford offeror no priority if It is not properly completed smd executed in~cordance with the reguhstions, or if it is not.accompm~d by the requirod Imyments. 1~ U.$.C. Sec. 1001 makes it a crime for stay person knowingly smd willfully to make to ~ny Department or agency of lbo United States stay f~se, fictitious or fr~udulem or representations us to ~ny matter within Its jurisdi~.~l~,7~ ~~A Duly executed this dayof .19 (Signature of Lessee or Attorney-in:fact) LEASE TERMS Sec. 1. Rentals--Rentals shall be paid to proper office of lessor in advance of each lease year. Ann~ rental rates per acre or fraction thereof are: (a) Noncompetitive lease. $1.50 for the first 5 ),ears; thereafter $2.00: (b) Competitive lease, $1.50; for the first 5 yea~; thereafter $2.00; (c) Other, see attachment, or as specified in regulations at the t/me this lease is issued. If this lease or a portion thereof is committed to an approved cooperative or unit plan which includes a well capable of producing leased resources, and the plan contains a provision for allocation of production, royalties shall be paid on the production allocated to this lease. However. annual rentals shall continue to he due at the rate specified in (a), CoL or (c) for those lands not within a participating area. Failure to pay annual rental, if due, on or before the anniversary date of this lease (or next official working day if office is closed) shall automatically terminate this lease by operation of law. Rentals may be waived, reduced, or suspended by the Secretary upon a sufficient showing by lessee. Sec. 2. Royalties--Royalties shall be paid to proper office of lessor. Royalties shall be computed in accordance with regulations on production removed or sold. Royalty rates are: .. (a) Nongompetitive lease, 12sA%; (b) Competitive lease, 12% %; (c) Other, see attachment; or as specified in regulations at the time this lease is issued. Lessor reserves the right to specify whether royalty is lo he paid in value or in kind, and the right to establish reasonable minimum values on products after giving lessee notice and an opportunity to he heard. When paid in value.' royalties shall he due and payable on the last day of the month following the month in which production occurred. When paid in kind, production shall be delivered, unless otherwise agreed to by lessor, in merchantable condition on the premises where produced without cost to lessor. Lessee shall not he required to hold such production in storage beyond the last day of the month following the month in which production occurred, nor shall lessee be held liable for loss or destruction of royalty oil or other products in storage from causes beyond the reasonable control of lessee. Minimum royalty in lieu of rental of not less than the rental which otherwise wOuld be required for that lease year shall be payable at the end of each lease year beginning on or after a discovery in paying quantities. This minimum royalty may he waived, suspended, or reduced, and the above royalty rates may he reduced, for all or portions of this lease if the Secretary determines that such action is necessary to encourage the greatest ultimate recovery of the leased resources, or is otherwise justified. An intei'i./~t charge shall he assessed on late royalty payments or underpayments in accordance with the Federal Oil and Gas Royalty Management Act of 1982 (FOGRMA) (30 U.S.C. 1701). Lessee shall he liable for royalty payments on oil and gas lost or wasted from a lease site when such loss or waste is due to negligence on the part of the operator, or due to the failure to comply with any rule, regulation, order, or citation issued under FOGRMA or the leasing authority. Sec. 3. Bonds--A bond shall be filed and maintained for lease operations as required under regulations. Sec. 4. Diligence, rate of development, unitization, and dminage--l~ssee shall exercise reasonable diligence in developing and producing, and shall prevent unnecessary damage to, Io~s of, or waste of leased resources. Lessor reserves right to specify rates of development and production in the public interest and to require lessee to subscribe to a~ cooperative or unit plan, within 30 days of notice, if deemed necessary for proper development and operation of area, field, or pool embracing these leased lands, Lessee shall drill and produce wells necessary to protect leased lands from drainage or pay compensatory royalty for drainage in amount determined by lessor, Sec. 5. Docum~ents, evidence, and inspection--Lessee shall .fde with proper office of lessor, not later than 30 days after effective date thereof, any contract or evidence of other arrangement for sale or disposal of production. At such times and in such form as lessor'may prescribe, lessee shall furnish detailed statements showing amounts and quality 6f all products removed and sold, proceeds therefrom, and amount used for production purposes or unavoidably lost. Lessee may he required to provide plats and schematic diagrams showing development work and improvements, and reports with respect to parties in interest, expenditures, and depreciation costs. In the form prescribed by lessor, lessee shall keep a daily drilling record, a log, information on well surveys and tests, and a record of subsurface investigations and furnish copies to lessor when required, lessee ~hall keep open at Ifil reasonable times for inspection by any authorized officer of lesso[, the leased premises and all wells, improvements, machinery, and fixtures thereon, and all books, accounts, maps, and records relative to operations, surveys~ or investigations on or in the. leased lands. ~ ~b~ll maintain copies of all contracts, sales ag, .,r.,eements, a~. ~ nting records, and documentanOn such as billings, in'~0ices, or similar documentation thai supports costs claimed as m/,nufacmring, preparation, and/or transportatioh e0sts. All such records shall be maintained in lessee's accounnng offices for future audit by lessor. Lessee shall maintain required rec0?ds for 6 y~ars after they are geoeraled.0r, if an audit Or investigation is underway, until released of the obligation to maintain such records by lessor. During existence of this lease, information obtained under this section shall:~e' closed to inspection by the public in accordance with the Freedom of Information Act (5 U.S.C. 552). Sec. 6. Conduct of operations--Lessee shall conduct operations in a manner ~at minimizes adverse impacts to the land, air, and water, to cultural, biological, visual, and other resources, and to other land uses or users. Lessee shall take reasonable measures deemed necessary by lessor to accomplish the intent of this section. To the extent consistent with lease rights granted, such measures may include, but are not limited to, modification to siting or design of facilities, timing of operations, and specification of interim and f'mal reclamation measures. Lessor reserves the right to continue existing uses and to authorize future uses upon or in the leased lands, including the approval of easements or rights-of-way. Such uses shall be conditioned so as to prevent urmecessaD' or unreasonable interference with rights of lessee. Prior to disturbing the surface of the leased lands, lessee shall contact lessor to be apprised of procednres to be followed and modificatigns or reclamation measures that may he necessary. Areas to he disturbed may require inventories or special studies to determine the extent of impacts to other resources. Lessee may he required to complete minor inventories or short term special studies under guidelines provided by lessor. If in the conduct of operations, threatened or endangered species, objects of historic or scientific interest, or substantial unanticipated environmental effects are observed, lessee shall immediately contact lessor. Lessee shall cease any operations that would result in the destruction of such species or objects. Sec. 7. Mining operations--To the extent that impacts from mining operations would he substantially different or greater than those associated with normal drilling operations, lessor reserves the 'right to deny approval of such operations. Sec. 8. Extraction of helinm--Lessor reserves the option of exWacting or having extracted helium from gas production in a manner specified and by means provided by lessor at no expense or loss to lessee or owner of the gas. Lessee shall include in any contract of sale of gas the provisions of this section. Sec. 9. Damages to property--Lessee shall pay lessor for damage to lessor's improvements, and shall save and hold lessor harmless from ail claims for'damage dr 'l~u'm to perso~ or'property as a result of lease operations. Sec. 10. Protection of diverse interests and equal opportunity Lessee shall: pay when due all taxes legally assessed and levied under laws of the State or the United States; accord all employees complete freedom of purchase; pay all wages at least twice each month in lawful money of tho United States; maintain a safe working environment in accordance with standard industry practices; and take measures necessary to protect the health and safety of the public. Lessor reserves the right to ensure that production is sold at reasonable prices and to prevent monopoly. If lessee operates a pipeline, or owns controlling interest in a pipeline or a company operating a pipeline, which may he operated accessible to oil derived from these leased lands, lessee shall comply with section 28 of the Mineral Leasing Act of 1920. Lessee shall comply with Executive Order No. 11246 of September 24, 1965, as amended, and regulations and relevant orders of the Secretory of Labor issued pursuant thereto. Neither lessee nor lessee's subcontractors shall maintain segregated facilities. Sec. 1 I. Transfm' of lease interests and relinquishment of lease--As required by regulations, lessee shall file with lessor any assignment or other transfer of an interest in this lease. Lessee may relinquish this lease or any legal subdivision by filing in the proper office a written relinquishment, which shall be effective as of the date of filing, subject to the continued obligation of the lessee and surety to pay'all accrued renta/s'andq'oyalties; Sec. 12. Delivery of premises--At such time~.as.all or pordons of this lease are returned m lessor, lessee shall place affected wells in condition for suspension or alia~nd0nment, reclaim the Iand as specified by lessor and, within a reasonable period of time, remove equipment and improvements not deemed.necessary by lessor for preservation of producibln wells Sec. 13. Proceedings in case of default--lf lessee fails to comply with any provisions of this lease, and the noncomPliance continues for 30 days after written notice thereof, this lease shall he subject to cancellation unless or until the leasehold contains a well capable of production of oil or gas in paying quantities, or the lease is committed to an approved COOperative or unit plan or communitization agreement which contains a well capable of production of unitized substances4n paying quant/ties. This provision shall not he construed to prevent the exercise by lessor of any other legal and equitable remedy, including waiver of the default. Any such re. reedy or waiver shall not prevent later cancellation for the same default occurring at any other ~e. Lessee shall he subject to applicable proVisions'and penalties of FOGRMA ~30 U.S.C. 1701), Sec. 14. Heirs and successors-in- nterest--Each obligafifn Of this lease ~hall extend tb and be binding.upon, and every henefi!..here0f, s~hall.).nure..tu the heirs,~executors~ administrators 'sm:cess0~s, beneficiaries, or assignees of the r~sPeCtive p~,r~ies h~re~ol 0'~: '~-'"~'~)'~ ~ UNITEDSTATES DEPARTMENT OF THE INTERIOR BUREAU OF LAND M,~NAGEMENT COMPEmiVE AUD OAS OR GEOTHER. MAL RESOURCES LEASE BID 30 U.S.C. 181 et seq.',t30 U.S.C. 351-359; 30' U.S.C..1001-1025:, 42 U.S.C, 6508 PARCEL NUMBER THE BID IS F~R (Cheek one): and Gas Parcel Number Geothermal Parcel Number Name of Known Geothermal Resource Area (KGRA) FORM APPROVED... OMB NO. 1004-0074 C 00665 Expires: May 31, 2000 .: State ' Date of sale AMOUNT OF BID (See Instructions below) TOTAL BID PAYMENT SUBMITTED WITH BID The appropriate regulations applicable to this bid are: (1) for oil and gas leases 43 CFR 3120; (2) for National Petroleum Reserve-Alask a (NPR-A) leases--43 CFR 3132; and (3) for Geothermal resources leases 43 CFR 3220. (See details concerning lease qualifications on reverse.j I CERTIFY THAT I have read and am in complianqe'with, and not in vio, tati-6h of, the lessee qualification requirements under the applicable regulations for this bid. ' J "i/'~ _ i I . I CERTIFY THATth~s b]dis not In violation of 18 ~.~ C [86~*}iich ,,Johfb~to ~,~,,.~[,~r_, ~=m~"/~2_~ i · . .............. ' ' ...... V~ [' "~ .... "~'m'~m"°t,nauctm°r~nummatlonotmaaers lxurthercert~tvthat this' bid' was arrived' at independently and is tendered without ~llusion wi'th ~r~bther bidder. IMPORTANT NOTICE: Execution of this form, where the offer is the high bid, constitutes a binding lease offer, including all applicable terms and conditions. Failure to comply with the applicable laws and regulations under which this bid is made shall result in rejection of the bid and forfeiture of all monies submitted. Print or Type Name iof Lessee Signafi{re of Lessee or Bidder A~tdress of Lessee City State Zip ,..Code INSTRUCTIONS FOR GEOTHERMAL OR INSTRUCTIONS FOR OIL AND GAS BID INSTRUCTIONS (Except NPR-A) 1. Separate bid for each parcel is required. Identify parcel by the parcel n~ber'hssigned in the Notice of Competitive Lease Sale. 2. Bid must be accompanied by the national minimum acceptable bid, the first year's rental and the administrative fee. The remittance must be in the form specified in 43 CFR 3103.1-1. The remainder of the bonus bid, if any~ must be submitted to the proper BLM office within 10 working days after the last day of the oral auction. Failure to submit the remainder of the bonus bid within 10 working days will result in rejection of the bid offer and forfeiture of all monies paid. 3. If bidder is not the sole party in interest in the lease for which the bid is submitted, all other parties in interest may' be required to furnish evidence of theirqualifications upon written request bythe authorized officer. This bid may be executed (signed) befOre the oral auction. 'If si~ned NPR-A OIL'AND GAS BID Separate bid for each parcel is required. Identify parcel by the number assigned to a tract. Bid must be accompanied by one-fifth of the total amount of bid. The remittance must be in the form specified in 43 CFR 3220.4 for a Geothermal Resources bid and 3132.2 for a NPR-A lease bid. Mark envelope Bid for Geothermal Resources Lease in (Name of KGRA) or Bid for NPR-A I~ase, as appropriate. Be sure correct parcel number of tract on which bid is submitted and date of bid opening are noted plainly on envelope. No bid may be modified or withdrawn unless such modification or withdrawal is received prior to time fix.ed for'opening of bids. -" / ; before the oral auction, this form cannot be modified without being. 4oxMai! or/dzej~er,pid to the prop~fB~M office 9 ,grP~_x..a~'d~ki;d in the executed again. ~01tc~'~b~'P~[itj~e/Le~ase'Sq'le/ 5. In view of the above requirege;t (4),t~iddar ~ay Wish;'to leaJ~jZ/L;_~ 5 , ' ' ' ' ~ ~ ' ~ Jf b~dder ~s not the sole party ~n ...... ~nterest ~n the lease for which bid is AMOUNT OF BID section blank so that final bid amount'may b~X~'~t · submitted, all other panics in interest may be required to furnish ateither compieted by the bidder or the Bureau of Land Manageme~j Jthe oral auction, officer.evidence of thei~ qualifications upon written request by the authorized Tire 18 U:S.C. Section 1~1 and Tide 43 U.S.C. Section 1212 m~e it a c~e for any pemon knowingly and wffifully to m~e to any dep~i &:'a~en[y of~e Uni~e~ States any false, fictitious, or fraudulent statements or representations as to any matter within its jurisdiction. ::'(Continued on reverse) n,,-r~$~a~ ,o~ ~,~,,~ QUALIFICATIONS · For leases that may be issued as a result of this sale under the Mineral Leasing Act (The Act) of 1920, as amended; the oral bidder must: (1) Be a citizen of the United States; an association (including partnerships and trusts) of such citizens; a municipality; or a corporation organized under the laws of the United States of Of any State or Territory thereof; (2) Be in compliance with acreage limitation requirements wherein the bidder's interests, direct and indirect, in oil and gas leases in' the State identified do not exceed 246,080 acres each4n public domain or acquired lands including acreage covered by this bid,' of which not more than 200,000 acres are under options. If this bid is submitted for lands in Alaska, the bidder's holdings in each Of the Alaska leasing districts do not exceed 300,000 acres, of which no more than 200,000 acres are under options in each district; (3) Be in compliance with Federal coal lease holdings as provided in sec'. 2(a)(2)(A) of the Act; (4) Be in compliance with reclamation requirements for all Federal oil and, gas holdings as required by sec. 17 of the Act; (5) Not be in violation of sec. 41 of the Act; and (6) Certify that all parties in interest in this bid are in compliance with 43 CFR Groups 3000 and 310~ and the leasing authorities cited herein. For leases that may be issued as a result of this sale under the Geothermal Steam Act of 1970, as amended, the bidder must: (1) Be a citizen of the United States; an association of such citiz:~ns; a municiPality; or a corporation organized under the laws of the United States or of any State or Territory thereof; and (2) Be in compliance with acreage limitation requirements wherein the bidder's interests, direct and indirect, do not exceed 51,200 acres; and (3) Certify that all parties in interest in this bid are incompliance with 43 CFR Group 3200 and the leas{ng authority cited herein. For leases that may be issued as a result of this sale under the Department of the Interior Appropriations Act of 1981, the bidder must: (1) Be a citizen or national of the ?nited States; an Mien lawfully admitted for permanent residence; a private, pu. blic or municipal corporation organized under thc laws of the United States or of any State or Territory thereof; an association of such citizens, nationals, resident aliens or private, public or municipal corporations, and (2) Certify that all parties in interest in this bid are in compliance with 43 CFR Part 3130 and the leasing authorities cited herein. NOTICE The Privacy Act of 1974 anal the reghlation in 43 CFR 2.48(d) provide that you be furnished the following information in connection with information required by this bid for a Competitive Oil and Gas or Geothermal Resources Lease. AUTHORITY~ 30 U.S.C. 181 et seq.; 30 U.S.C. 351-359; 30 U,S.C. · 1001-1025; 4~2 U:S.C. 6508 PRINCIPAL PURPOSE: The information is to'fie used i0'p~ocess your bid. ROUTINE USES: (1)The adjudication of the bidder's right to the resources for which this bid is made. (2) Documentation for public information. (3) Transfer to appropriate Federal agencies when comment or concurrence is required prior to granting a right in public lands or resources. (4)(5) Information from the record and/or the record will be transferred to appropriate Federal, State, local or foreign agencies, when relevant to civil, criminal or regulatory investigations or prosecu- tions. EFFECT OF NOT PROVIDING INFORMATION: Disclosure of the information ~s voluntary If al! the in:fOrmation is not provided, your bid may be rejected.' The Paperwork Reduction Act 9f ij95.(44 Uis.c. 3501 et seq.) requires us to inform you that: This information is being collected in accordance with 43 CFR 3120, 43 CFR 3130, or 43 CFR 3220.. This information will be used to determine the bidder submitting the highest bid. Response to this request is required to obtain a benefit.. BLM would like you to know that you do not have to respond to this or any other Federal agency-sponsored information collection unless it displays a cun'enfly valid OMB conlrol number. ' · ~- BURDEN HOURS STATEMENT Public reporting burden for this form is estimated to average 2 hours per response including the time for reviewing instructions, gathering and maintaining data, and 'c0mpleti~g and reviewing the form. 'Direct comments regarding the burden estimate or any other aspect of this form to U.S. Department of the Interior, Bureau of Land 'Management, Bm-eau Clearance Officer (WO-630), 1620 L Street, Washington, D.C. 20036 and the Office of Management and Budget, Desk Officer for the Interior Deparlment, Office of Regulatoq, Affairs (1004-0074), Washington, D.C. 20503. WY W163336 i00667 MULTIPLE MINERAL DEVELOPMENT STIPULATION Operations will not be approved which, in the opinion of the authorized officer, would unreasonably interfere with the orderly development and/or production from a valid existing mineral lease issued prior to thi~ one for the same lands. TI-IlS STIPULATION APPI JF.S TO Al .1. PARCELS LEASE NOTICE NO. 1 ;00668 Under Regulation 43 CFR 3101.1-2 and terms of the lease (BLM Form 3100-11), the authorized officer may require reasonable measures to minimize adverse impacts to other resource values, land uses, and users not addressed in lease stipulations at the time operations are proposed. Such reasonable measures may include, but are not limited to, modification of siting or design of facilities, timing of operations, and specification of interim and final reclamation measures, which may require relocating proposed operations up to 200 meters, but not off the leasehold, and prohibiting surface disturbance activities for up to 60 days. The lands within this lease may include areas not specifically addressed by lease stipulations that may contain special values, may be needed for special purposes, or may require special attention to prevent damage to surface and/or other resources. Possible special areas are identified below. Any surface use or occupancy within such special areas will be strictly controlled or, if absolutely necessary, prohibited. Appropriate modifications to imposed restrictions will be made for the maintenance and operation of producing wells. 1. Slopes in excess of 25 percent. 2. Within 500 feet of surface water and/or riparian areas. 3. Construction with frozen material or during periods when the soil material is saturated or when watershed damage is likely to occur. 4. Within 500 feet of Interstate highways and 200 feet of other existing rights-of-way (i.e., U.S. and State highways, roads, railroads, pipelines, powerlines). 5. Within 1/4 mile of occupied dwellings. .i 6. Material sites. GUIDANCE: The intent of this notice is to inform interested parties (potential lessees, permittees, operators) that when one or more of the above conditions exist, surface disturbing activities will be prohibited unless or until the permittee or the designated representative and the surface management agency (SMA) arrive at an acceptable plan for mitigation of anticipated impacts. This negotiation will occur prior to development and become a condition for approval when authorizing the action. SpecifiC threshold criteria ( .~., 500 feet from water) have been established based upon the best information available. However, geographical areas and time periods of concern must be delineated at the field level (i.e., "surface water and/or riparian areas" may include both intermittent and ephemeral water sources or may be limited to perennial surface water). The referenced oil and gas leases on these lands are hereby made subject to the stipulation that the exploration or drilling activities will not interfere materially with the u~e of the area as a materials site/free use permit. At the time operations on the above lands are commenced, notification will be made to the appropriate agency. The name of the appropriate agency may be obtained from the proper BLM Field Office. Tills NOTICE APPi~I2ES TO AIL PARCELS LEASE NOTICE NO. 2 BACKGROUND: Y 163336 :00669 The Bureau of Land Management (BLM), by including National Historic Trails within its National Landscape Conservation System, has recognized these trails as national treasures. Our responsibility is to review our strategy for management, protection, and preservation of these trails. The National Historic Trails in Wyoming, which include the Oregon, California, Mormon Pioneer, and Pony Express Trails, as well as the Nez Perce Trail, were designated by Congress through the National Trails System Act (P.L. 90-543; ] 6 U.S.C. 1241-1251) as amended through P.L. 106-509 dated November 13, 2000. Protection of the National Historic Trails is normally considered under the National Historic Preservation Act (P.L. 89-665; 16 U.S.C. 470 et seq:) as amended through 1992 and the National Trails System Act. Additionally, Executive Order 13195, "Trails for America in the 2 ] ~' Century," signed January 18, 2001, states in Section 1: "Federal agencies wilL.protect, connect, promote, and assist trails of all types throughout the United States. This will be accomplished by: (b) Protecting the trail corridors associated with national scenic trails and the high priority potential sites and segments of national historic trails t0 the degrees necessary to ensure that the values for which each trail was established remain intact." Therefore, the BLM will be considering all impacts and intrusions to the National Historic Trails, their associated historic landscapes, and all associated features, such as trail traces, grave sites, historic encampments, inscriptions, natural features frequently commented on by emigrants in journals, letters and diaries, or any other feature contributing to the historic significance of the trails. Additional National Historic Trails will likely be designated amending the National Trails System Act. When these amendments occur, this notice will apply to those newly designated National Historic Trails as well. STRATEGY: The BLM will proceed in this objective by conducting a viewshed analysis on either side of the designated centerline of the National Historic Trails in Wyoming, except, at this time, for the Nez Perce Trail, for the purpose of identifying and evaluating potential impacts to the trails, their associated historic landscapes, and their associated historic features. Subject to the viewshed analysis and archaeological inventor),, reasonable mitigation measures may be applied. These may include, but are not limited to, modification of siting or design of facilities to camouflage or otherwise hide the proposed operations within the viewshed. Additionally, specification of interim and final reclamation measures may require relocating the proposed operations within the leasehold. Surface disturbing activities will be analyzed in accordance with the National Environmental Policy Act of 1969 (P.L. 91- 190; 42 U.S.C. 4321-4347) as amended through P.L. 94-52, July 3, 1975 and P.L. 94-83, August 9, 1975, and the National Historic Preservation Act, supra, to determine if any design, siting, timing, or reclamation requirements are necessary. This strategy is necessary until the BLM determines that, based on the results of the completed viewshed analysis and archaeological inventory, the existing land use plans (Resource Management Plans) have to be amended. The use of this lease notice is a predecisional action, necessary until final decisions regarding surface disturbing restrictions are made. Final decisions regarding surface disturbing restrictions will take place with full public disclosure and public involvement over the next several years if BLM determines that it is necessary to amend existing land use plans. GUIDANCE: The intent of this notice is to inform interested parties (potential lessees, permittees, operators) that when any oil and gas lease contains remnants of National Historic Trails, or is located within the viewshed of a National Historic Trails' designated centerline, surface disturbing activities will require the lessee, permittee, operator or, their designated representative, and the surface management agency (SMA) to arrive at an acceptable plan for mitigation of anticipated impacts. This negotiation will occur prior to development and become a condition for approval when authorizing the action. THIS NOTICE APPLIJES TO ALL PARCELS W'163 335 , 00670 SPECIAL LEASE STIPULATION' This lease may be found to contain historic properties an~or resources protected under the National Historic preservation Act (NHPA), American Indian Religious Freedom Act, Native American Graves Protection and Repatriation Act, E.O. 13007, or other statutes and executive orders. The BLM will not approve any ground disturbing activities that may affect any such properties or resources until it completes its obligations under applicable requirements of the NHPA and other authorities. The BLM may require modification to exploration or development proposals to protect such properties, .or disapProve any activity that is likely, to result in adverse effects that cannot be successfully avoided, minimized or mitigated. THIS STIPULATION APPLIES TO ALL PARCELS 0067i WYW163336 TIMING LIMITATION STIPULATIONS - TLS No surface use is allowed during the following time period(s). This stipulation does not apply to operations and maintenance of production facilities. (1) Mar 1 to Jun 30; On the lands described below: (2) as mapped on the Kemmerer Field Office GIS database; For the purpose of (reasons): (3) protecting Sage Grouse nesting habitat. Any changes to this stipulation will be made in accordance with the land use plan and/or the regulatory provisions for such changes. (For guidanc,e on the use of the stipulation, see BLM Manual 1624 and 3101 or FS Manual 1950 and 2820.) WY 163336 00672 NOTICE TO LESSEE Provisions of the Mineral Leasing Act (MLA) of 1920, as amended by the Federal Coal Leasing Amendments Act of 1976, affect an entity's qualifications to obtain an oil and ~as lease. Section 2(a)(2)(A) of the MI.A, 30 U.S.C. 201 (a)(2)(A), requires that any entity that holds and ~as held a Federal coal lease for 10 years beginning on or after Au_mm 4, 1976, and who is not producing c6al in commercial quantifies from each such lease, cannot qualify for the issuance of any other lease granted under the MLA. Compliance by coal lessees with Section 2(a)(2)(A) is explained in 43 CFR 3472. In accordance xvith the terms of this oil and gas lease, with respect to compliance by the in/rial lessee with qualifications concerning Federal coal lease holdings, all assignees and transferees are hereby notified that this oil and gas lease is subject to cancellation fi: (1) the in/rial lessee as assignor or as transfeJor has falsely certified compliance with Section 2(a)(2)(A), or (2) because of a den/al or disapproval by a State Office ora pending coal action, i.e., arms-len~ assignment,, relinquishment,, or logical mining unit. the initial lessee as assignor or as transferor is no longer in compliance with Section 2(a)(2)(A). The assignee, sublessee or transferee does not qualify as a bona fide purchaser and, thus, has no fights to bona fide purchaser protection in the event of cancellation of this lease due to noncompliance with Section 2(a)(2)(A). Information regarding assignor, sublessor or transferor compliance with Section 2(a)(2)(A) is contained in the lease case file as well as in other Bureau of Land Management records available through the State Office issuing this lease.