§ 226-1. — Extension of noncompetitive oil or gas lease issued before September 2, 1960.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 30USC226-1]
TITLE 30--MINERAL LANDS AND MINING
CHAPTER 3A--LEASES AND PROSPECTING PERMITS
SUBCHAPTER IV--OIL AND GAS
Sec. 226-1. Extension of noncompetitive oil or gas lease issued
before September 2, 1960
(a) Lands not withdrawn from leasing
Upon the expiration of the initial five-year term of any
noncompetitive oil or gas lease which was issued prior to September 2,
1960, and which has been maintained in accordance with applicable
statutory requirements and regulations, the record titleholder thereof
shall be entitled to a single extension of the lease, unless then
otherwise provided by law, for such lands covered by it as are not, on
the expiration date of the lease, withdrawn from leasing. A withdrawal,
however, shall not affect the right to an extension if actual drilling
operations on such lands were commenced prior to the effective date of
the withdrawal and were being diligently prosecuted on the expiration
date of the lease. No withdrawal shall be effective within the meaning
of this section until ninety days after notice thereof has been sent by
registered or certified mail to each lessee to be affected by such
withdrawal.
(b) Known and unknown geologic structures of producing fields
As to lands not within the known geologic structure of a producing
oil or gas field, a noncompetitive oil or gas lease to which this
section is applicable shall be extended for a period of five years and
so long thereafter as oil or gas is produced in paying quantities. As to
lands within the known geologic structure of a producing oil or gas
field, a noncompetitive lease to which this section is applicable shall
be extended for a period of two years and so long thereafter as oil or
gas is produced in paying quantities.
(c) Application requirement
Any noncompetitive oil or gas lease extended under this section
shall be subject to the rules and regulations in force at the expiration
of the initial five-year term of the lease. No extension shall be
granted, however, unless within a period of ninety days prior to the
expiration date of the lease an application therefor is filed by the
record titleholder or an assignee whose assignment has been filed for
approval or an operator whose operating agreement has been filed for
approval.
(d) Commencement of actual drilling operations
Any lease issued prior to September 2, 1960, which has been
maintained in accordance with applicable statutory requirements and
regulations and which pertains to land on which, or for which under an
approved cooperative or unit plan of development or operation, actual
drilling operations were commenced prior to the end of its primary term
and are being diligently prosecuted at that time shall be extended for
two years and so long thereafter as oil or gas is produced in paying
quantities.
(Pub. L. 86-705, Sec. 4, Sept. 2, 1960, 74 Stat. 789.)
Codification
Section was enacted as part of Mineral Leasing Act Revision of 1960,
and not as part of act Feb. 25, 1920, ch. 85, 41 Stat. 437, known as the
Mineral Leasing Act, which comprises this chapter.
