30 USC CHAPTER 23 - GEOTHERMAL STEAM AND ASSOCIATED GEOTHERMAL RESOURCES

TITLE 30 - MINERAL LANDS AND MINING

CHAPTER 23 - GEOTHERMAL STEAM AND ASSOCIATED GEOTHERMAL RESOURCES

Sec.

1001\. Definitions.

1002\. Lands subject to geothermal leasing.

1002a. Repealed.

1003\. Bids; competitive bidding; first application of qualified

person without competitive bidding.

\(a\) Conversion to geothermal lease.

\(b\) Consideration of first person in conflicting land

interests.

\(c\) Conversion to application for geothermal lease.

\(d\) Acreage limitation.

\(e\) Regulations; substantial expenditures for

exploration, development, or production of

geothermal steam requisite for conversion.

\(f\) Competitive geothermal lease; time for payment of

highest bid and first year rental.

1004\. Rents and royalties.

\(a\) Royalty provision for percentage of amount or

value of steam or other form of heat or energy.

\(b\) Royalty provision for percentage of value of

byproduct; rate for certain mineral byproducts.

\(c\) Annual rental; advance payment; amount;

termination of lease for nonpayment; deficiency

payments: notice and payment of deficiency;

reinstatement of lease: reasons and conditions.

\(d\) Royalties in lieu of rentals for producing

leases; amount; initial payment; value of

unsold geothermal steam and byproducts;

consideration of exploration and production

costs and use value.

1005\. Duration of leases.

\(a\) Primary and continuation terms.

\(b\) Renewal.

\(c\) Cooperative or unit plan for drilling operations;

extension of term; renewal.

\(d\) \'\'Produced or utilized in commercial quantities\'\'

defined.

\(e\) Extension of term for byproduct production;

conversion of geothermal lease to mineral

lease: application, time for completion of

location of mineral claims, and Federal agency

terms and conditions when conversion affects

lands withdrawn or acquired for Federal agency.

\(f\) Principles for location of minerals under mining

laws when minerals are not associated with

geothermal resources.

\(g\) Five-year extensions; conditions.

\(h\) Bona fide effort.

\(i\) Payments in lieu of commercial quantities

production.

\(j\) Significant expenditure.

1006\. Acreage of geothermal lease; irregular subdivisions; State

limitation; increase.

1007\. Readjustment of lease terms and conditions.

\(a\) Initial readjustment; periodic intervals; notice;

objections, relinquishment, and termination.

\(b\) Rentals and royalties; initial readjustment;

periodic intervals; limitation on increases and

on royalties; notice; objections,

relinquishment, and termination.

\(c\) Surface use, protection, or restoration of lands

withdrawn or acquired for Federal agency;

notice; approval of agency.

1008\. Byproducts: production or use; water for beneficial uses

under State water laws; substantial beneficial production or use;

modification or waiver; preexisting rights of lease, claim, or

permit holders.

1009\. Relinquishment of geothermal rights; effective date; release

of lessee or his surety or bond; exceptions.

1010\. Suspension of operations and production; extension of lease

term for period of suspension; waiver, suspension or reduction of

rental or royalty.

1011\. Termination of leases; grounds; notice; correction of

violations; hearing; correction period after administrative

decision.

1012\. Waiver, suspension, or reduction of rental or royalty.

1013\. Surface land use for production, utilization, and

conservation of geothermal resources.

1014\. Lands subject to geothermal leasing.

\(a\) Terms and conditions for lands withdrawn or

acquired for Department of the Interior.

\(b\) Consent and terms and conditions for lands

withdrawn or acquired for Department of

Agriculture or for lands for power and related

purposes.

\(c\) Exemption of certain Federal lands.

1015\. Citizenship requirement for lessees.

1016\. Administration; multiple use of lands and resources;

coexistence of other leases; reciprocal and reasonable

operational interference between geothermal and other leases.

1017\. Cooperative or unit plan of development or operation of

geothermal pool, field, or like area; public interest;

determination and certification; regulations; protection of

parties in interest; authority respecting rate of prospecting,

development, and production; five year review; leases excepted

from control for purposes of State acreage limitation.

1018\. Data from Federal agencies concerning conversion charges;

confidential information.

1019\. Disposal of moneys from sales, bonuses, royalties and

rentals.

1020\. Publication in Federal Register of known geothermal resource

area lands; necessity of geothermal leases for development or

production of geothermal resources in lands which the United

States transferred with reservation of mineral rights.

1021\. Federal exemption from State water laws.

1022\. Waste, prevention; exclusiveness of provisions for

acquisition of geothermal rights.

1023\. Rules and regulations; scope of provisions.

1024\. Disposal of land laws; reservation of geothermal resources

and restriction on disposal of lands with geothermal resources;

conveyances prior to December 24, 1970, unaffected.

1025\. Federal reservation of certain mineral rights; extraction of

minerals without substantial interference with geothermal

production.

1026\. Significant thermal features.

\(a\) Units of National Park System.

\(b\) Monitoring program.

\(c\) Lease application; adverse effect.

\(d\) Lease stipulations.

\(e\) Lands administered by Department of Agriculture.

\(f\) Prohibition.

1027\. Lands subject to prohibition on leasing.

1028\. Hot dry rock geothermal energy.

\(a\) USGS program.

\(b\) Authorization of appropriations.

CHAPTER REFERRED TO IN OTHER SECTIONS

This chapter is referred to in sections 191, 226-3, 530 of this

title; title 16 sections 410mm-1, 460yy-1, 539g, 543c; title 43

section 299.

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Sec. 1001. Definitions

As used in this chapter, the term -

\(a\) \'\'Secretary\'\' means the Secretary of the Interior;

\(b\) \'\'geothermal lease\'\' means a lease issued under authority

of this chapter;

\(c\) \'\'geothermal steam and associated geothermal resources\'\'

means (i) all products of geothermal processes, embracing

indigenous steam, hot water and hot brines; (ii) steam and other

gases, hot water and hot brines resulting from water, gas, or

other fluids artificially introduced into geothermal formations;

\(iii\) heat or other associated energy found in geothermal

formations; and (iv) any byproduct derived from them;

\(d\) \'\'byproduct\'\' means any mineral or minerals (exclusive of

oil, hydrocarbon gas, and helium) which are found in solution or

in association with geothermal steam and which have a value of

less than 75 per centum of the value of the geothermal steam or

are not, because of quantity, quality, or technical difficulties

in extraction and production, of sufficient value to warrant

extraction and production by themselves;

\(e\) \'\'known geothermal resources area\'\' means an area in which

the geology, nearby discoveries, competitive interests, or other

indicia would, in the opinion of the Secretary, engender a belief

in men who are experienced in the subject matter that the

prospects for extraction of geothermal steam or associated

geothermal resources are good enough to warrant expenditures of

money for that purpose.

\(f\) \'\'Significant (FOOTNOTE 1) thermal features within units of

the National Park System\'\' shall include, but not be limited to,

the following:

(FOOTNOTE 1) So in original. Probably should not be

capitalized.

\(1\) Thermal features within units of the National Park System

listed in Section (FOOTNOTE 1) 1026(a)(1) of this title and

designated as significant in the Federal Register notice of

August 3, 1987 (Vol. 52, No. 148 Fed. Reg. 28790).

\(2\) Crater Lake National Park.

\(3\) Thermal features within Big Bend National Park and Lake

Mead National Recreation Area proposed as significant in the

Federal Register notice of February 13, 1987 (Vol. 52, No. 30

Fed. Reg. 4700).

\(4\) Thermal features within units of the National Park System

added to the significant thermal features list pursuant to

section 1026(a)(2) of this title.

SOURCE

(Pub. L. 91-581, Sec. 2, Dec. 24, 1970, 84 Stat. 1566; Pub. L.

100-443, Sec. 2(a), Sept. 22, 1988, 102 Stat. 1766.)

AMENDMENTS

1988 - Par. (f). Pub. L. 100-443 added par. (f).

SHORT TITLE OF 1988 AMENDMENT

Section 1 of Pub. L. 100-443 provided that: \'\'This Act (enacting

sections 1026 and 1027 of this title, amending this section and

sections 191, 226-3, 1005, 1017, and 1019 of this title, and

enacting provisions set out as notes under sections 1005 and 1026

of this title) may be known as the \'Geothermal Steam Act Amendments

of 1988\'.\'\'

SHORT TITLE

Section 1 of Pub. L. 91-581 provided: \'\'That this Act (enacting

this chapter and amending section 530 of this title) may be cited

as the \'Geothermal Steam Act of 1970\'.\'\'

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1005, 1026 of this title.

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Sec. 1002. Lands subject to geothermal leasing

Subject to the provisions of section 1014 of this title, the

Secretary of the Interior may issue leases for the development and

utilization of geothermal steam and associated geothermal resources

\(1\) in lands administered by him, including public, withdrawn, and

acquired lands, (2) in any national forest or other lands

administered by the Department of Agriculture through the Forest

Service, including public, withdrawn, and acquired lands, and (3)

in lands which have been conveyed by the United States subject to a

reservation to the United States of the geothermal steam and

associated geothermal resources therein.

SOURCE

(Pub. L. 91-581, Sec. 3, Dec. 24, 1970, 84 Stat. 1566.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1024 of this title.

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Sec. 1002a. Repealed. Pub. L. 97-214, Sec. 7(16), July 12, 1982, 96

Stat. 174

Section, Pub. L. 95-356, title VIII, Sec. 803(a), (b), Sept. 8,

1978, 92 Stat. 585; Pub. L. 96-125, title VIII, Sec. 802(2), Nov.

26, 1979, 93 Stat. 948; Pub. L. 97-99, title IX, Sec. 908, Dec. 23,

1981, 95 Stat. 1385, related to development of geothermal energy

sources on military lands, contracts for provision and operation of

production facilities and energy purchases, and terms, conditions

and prerequisites of such contracts. See sections 2689 and 2394 of

Title 10, Armed Forces.

Section 803(c) of Pub. L. 95-356, which provided that this

section take effect Oct. 1, 1978, was repealed by Pub. L. 97-214,

Sec. 7(16), July 12, 1982, 96 Stat. 174.

EFFECTIVE DATE OF REPEAL

Repeal effective Oct. 1, 1982, and applicable to military

construction projects, and to construction and acquisition of

military family housing before, on, or after such date, see section

12(a) of Pub. L. 97-214, set out as an Effective Date note under

section 2801 of Title 10, Armed Forces.

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Sec. 1003. Bids; competitive bidding; first application of

qualified person without competitive bidding

If lands to be leased under this chapter are within any known

geothermal resources area, they shall be leased to the highest

responsible qualified bidder by competitive bidding under

regulations formulated by the Secretary. If the lands to be leased

are not within any known geothermal resources area, the qualified

person first making application for the lease shall be entitled to

a lease of such lands without competitive bidding. Notwithstanding

the foregoing, at any time within one hundred and eighty days

following December 24, 1970:

\(a\) Conversion to geothermal lease

with respect to all lands which were on September 7, 1965,

subject to valid leases or permits issued under the Mineral

Leasing Act of February 25, 1920, as amended (30 U.S.C. 181 et

seq.), or under the Mineral Leasing Act of Acquired Lands, as

amended (30 U.S.C. 351, 358), or to existing mining claims

located on or prior to September 7, 1965, the lessees or

permittees or claimants or their successors in interest who are

qualified to hold geothermal leases shall have the right to

convert such leases or permits or claims to geothermal leases

covering the same lands;

\(b\) Consideration of first person in conflicting land interests

where there are conflicting claims, leases, or permits therefor

embracing the same land, the person who first was issued a lease

or permit, or who first recorded the mining claim shall be

entitled to first consideration;

\(c\) Conversion to application for geothermal lease

with respect to all lands which were on September 7, 1965, the

subject of applications for leases or permits under the above

Acts, the applicants may convert their applications to

applications for geothermal leases having priorities dating from

the time of filing of such applications under such Acts;

\(d\) Acreage limitation

no person shall be permitted to convert mineral leases,

permits, applications therefor, or mining claims for more than

10,240 acres; and

\(e\) Regulations; substantial expenditures for exploration,

development, or production of geothermal steam requisite for

conversion

the conversion of leases, permits, and mining claims and

applications for leases and permits shall be accomplished in

accordance with regulations prescribed by the Secretary. No right

to conversion to a geothermal lease shall accrue to any person

under this section unless such person shows to the reasonable

satisfaction of the Secretary that substantial expenditures for

the exploration, development, or production of geothermal steam

have been made by the applicant who is seeking conversion, on the

lands for which a lease is sought or on adjoining, adjacent, or

nearby Federal or non-Federal lands.

\(f\) Competitive geothermal lease; time for payment of highest bid

and first year rental

with respect to lands within any known geothermal resources

area and which are subject to a right to conversion to a

geothermal lease, such lands shall be leased by competitive

bidding: Provided, That, the competitive geothermal lease shall

be issued to the person owning the right to conversion to a

geothermal lease if he makes payment of an amount equal to the

highest bona fide bid for the competitive geothermal lease, plus

the rental for the first year, within thirty days after he

receives written notice from the Secretary of the amount of the

highest bid.

SOURCE

(Pub. L. 91-581, Sec. 4, Dec. 24, 1970, 84 Stat. 1566.)

REFERENCES IN TEXT

The Mineral Leasing Act of February 25, 1920, referred to in

subsecs. (a) and (c), is act Feb. 25, 1920, ch. 85, 41 Stat. 437,

as amended, known as the Mineral Leasing Act, which is classified

generally to chapter 3A (Sec. 181 et seq.) of this title. For

complete classification of this Act to the Code, see Short Title

note set out under section 181 of this title and Tables.

The Mineral Leasing Act of Acquired Lands, referred to in

subsecs. (a) and (c), probably means the Mineral Leasing Act for

Acquired Lands, act Aug. 7, 1947, ch. 513, 61 Stat. 913, as

amended, which is classified generally to chapter 7 (Sec. 351 et

seq.) of this title. For complete classification of this Act to

the Code, see Short Title note set out under section 351 of this

title and Tables.

TRANSFER OF FUNCTIONS

Functions of Secretary of the Interior to promulgate regulations

under this chapter relating to fostering of competition for Federal

leases, implementation of alternative bidding systems authorized

for award of Federal leases, establishment of diligence

requirements for operations conducted on Federal leases, setting of

rates for production of Federal leases, and specifying of

procedures, terms, and conditions for acquisition and disposition

of Federal royalty interests taken in kind, transferred to

Secretary of Energy by section 7152(b) of Title 42, The Public

Health and Welfare. Section 7152(b) of Title 42 was repealed by

Pub. L. 97-100, title II, Sec. 201, Dec. 23, 1981, 95 Stat. 1407,

and functions of Secretary of Energy returned to Secretary of the

Interior. See House Report No. 97-315, pp. 25, 26, Nov. 5, 1981.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1006 of this title.

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Sec. 1004. Rents and royalties

Geothermal leases shall provide for -

\(a\) Royalty provision for percentage of amount or value of steam

or other form of heat or energy

a royalty of not less than 10 per centum or more than 15 per

centum of the amount or value of steam, or any other form of heat

or energy derived from production under the lease and sold or

utilized by the lessee or reasonably susceptible to sale or

utilization by the lessee;

\(b\) Royalty provision for percentage of value of byproduct; rate

for certain mineral byproducts

a royalty of not more than 5 per centum of the value of any

byproduct derived from production under the lease and sold or

utilized or reasonably susceptible of sale or utilization by the

lessee, except that as to any byproduct which is a mineral named

in section 1 of the Mineral Leasing Act of February 25, 1920, as

amended (30 U.S.C. 181), the rate of royalty for such mineral

shall be the same as that provided in that Act (30 U.S.C. 181 et

seq.) and the maximum rate of royalty for such mineral shall not

exceed the maximum royalty applicable under that Act;

\(c\) Annual rental; advance payment; amount; termination of lease

for nonpayment; deficiency payments: notice and payment of

deficiency; reinstatement of lease: reasons and conditions

payment in advance of an annual rental of not less than \$1 per

acre or fraction thereof for each year of the lease. If there is

no well on the leased lands capable of producing geothermal

resources in commercial quantities, the failure to pay rental on

or before the anniversary date shall terminate the lease by

operation of law: Provided, however, That whenever the Secretary

discovers that the rental payment due under a lease is paid

timely but the amount of the payment is deficient because of an

error or other reason and the deficiency is nominal, as

determined by the Secretary pursuant to regulations prescribed by

him, he shall notify the lessee of the deficiency and such lease

shall not automatically terminate unless the lessee fails to pay

the deficiency within the period prescribed in the notice:

Provided further, That, where any lease has been terminated

automatically by operation of law under this section for failure

to pay rental timely and it is shown to the satisfaction of the

Secretary of the Interior that the failure to pay timely the

lease rental was justifiable or not due to a lack of reasonable

diligence, he in his judgment may reinstate the lease if -

\(1\) a petition for reinstatement, together with the required

rental, is filed with the Secretary of the Interior; and

\(2\) no valid lease has been issued affecting any of the lands

in the terminated lease prior to the filing of the petition for

reinstatement; and

\(d\) Royalties in lieu of rentals for producing leases; amount;

initial payment; value of unsold geothermal steam and

byproducts; consideration of exploration and production costs

and use value

a minimum royalty of \$2 per acre or fraction thereof in lieu of

rental payable at the expiration of each lease year for each

producing lease, commencing with the lease year beginning on or

after the commencement of production in commercial quantities.

For the purpose of determining royalties hereunder the value of

any geothermal steam and byproduct used by the lessee and not

sold and reasonably susceptible of sale shall be determined by

the Secretary, who shall take into consideration the cost of

exploration and production and the economic value of the resource

in terms of its ultimate utilization.

SOURCE

(Pub. L. 91-581, Sec. 5, Dec. 24, 1970, 84 Stat. 1567.)

REFERENCES IN TEXT

That Act, referred to in subsec. (b), is the Mineral Leasing Act

of February 25, 1920, act Feb. 25, 1920, ch. 85, 41 Stat. 437, as

amended, known as the Mineral Leasing Act, which is classified

generally to chapter 3A (Sec. 181 et seq.) of this title. For

complete classification of this Act to the Code, see Short Title

note set out under section 181 of this title and Tables.

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Sec. 1005. Duration of leases

\(a\) Primary and continuation terms

Geothermal leases shall be for a primary term of ten years. If

geothermal steam is produced or utilized in commercial quantities

within this term, such lease shall continue for so long thereafter

as geothermal steam is produced or utilized in commercial

quantities, but such continuation shall not exceed an additional

forty years.

\(b\) Renewal

If, at the end of such forty years, steam is produced or utilized

in commercial quantities and the lands are not needed for other

purposes, the lessee shall have a preferential right to a renewal

of such lease for a second forty-year term in accordance with such

terms and conditions as the Secretary deems appropriate.

\(c\) Cooperative or unit plan for drilling operations; extension of

term; renewal

Any lease for 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 five years and so long thereafter, but not more than

thirty-five years, as geothermal steam is produced or utilized in

commercial quantities. If, at the end of such extended term, steam

is being produced or utilized in commercial quantities and the

lands are not needed for other purposes, the lessee shall have a

preferential right to a renewal of such lease for a second term in

accordance with such terms and conditions as the Secretary deems

appropriate.

\(d\) \'\'Produced or utilized in commercial quantities\'\' defined

Except as otherwise provided for in this section, for purposes of

this section the term \'\'produced or utilized in commercial

quantities\'\' means the completion of a well producing geothermal

steam in commercial quantities. Such term shall also include the

completion of a well capable of producing geothermal steam in

commercial quantities so long as the Secretary determines that

diligent efforts are being made toward the utilization of the

geothermal steam.

\(e\) Extension of term for byproduct production; conversion of

geothermal lease to mineral lease: application, time for

completion of location of mineral claims, and Federal agency

terms and conditions when conversion affects lands withdrawn or

acquired for Federal agency

Leases which have extended by reasons of production, or which

have produced geothermal steam, and have been determined by the

Secretary to be incapable of further commercial production and

utilization of geothermal steam may be further extended for a

period of not more than five years from the date of such

determination but only for so long as one or more valuable

byproducts are produced in commercial quantities. If such

byproducts are leasable under the Mineral Leasing Act of February

25, 1920, as amended (30 U.S.C. 181, et seq.), or under the Mineral

Leasing Act for Acquired Lands (30 U.S.C. 351-358), and the

leasehold is primarily valuable for the production thereof, the

lessee shall be entitled to convert his geothermal lease to a

mineral lease under, and subject to all the terms and conditions

of, such appropriate Act upon application at any time before

expiration of the lease extension by reason of byproduct

production. The lessee shall be entitled to locate under the

mining laws all minerals which are not leasable and which would

constitute a byproduct if commercial production or utilization of

geothermal steam continued. The lessee in order to acquire the

rights herein granted him shall complete the location of mineral

claims within ninety days after the termination of the lease for

geothermal steam. Any such converted lease or the surface of any

mining claim located for geothermal byproducts mineral affecting

lands withdrawn or acquired in aid of a function of a Federal

department or agency, including the Department of the Interior,

shall be subject to such additional terms and conditions as may be

prescribed by such department or agency with respect to the

additional operations or effects resulting from such conversion

upon adequate utilization of the lands for the purpose for which

they are administered.

\(f\) Principles for location of minerals under mining laws when

minerals are not associated with geothermal resources

Minerals locatable under the mining laws of the United States in

lands subject to a geothermal lease issued under the provisions of

this chapter which are not associated with the geothermal steam and

associated geothermal resources of such lands as defined in section

1001(c) of this title shall be locatable under said mining laws in

accordance with the principles of the Multiple Mineral Development

Act (68 Stat. 708; found in 30 U.S.C. 521 et seq.).

\(g\) Five-year extensions; conditions

\(1\) Any geothermal lease issued pursuant to this chapter for land

on which, or for which under an approved cooperative or unit plan

of development or operation, geothermal steam has not been produced

or utilized in commercial quantities by the end of its primary

term, or by the end of any extension provided by subsection (c) of

this section, may be extended for successive 5-year periods, but

totaling not more than 10 years, if the Secretary determines that

the lessee has met the bona fide effort requirement of subsection

\(h\) of this section, and either of the following:

\(A\) the (FOOTNOTE 1) payment in lieu of commercial quantities

production requirement of subsection (i) of this section.

(FOOTNOTE 1) So in original. Probably should be capitalized.

\(B\) The significant expenditure requirement of subsection (j)

of this section.

\(2\) A lease extended pursuant to paragraph (1) shall continue so

long thereafter as geothermal steam is produced or utilized in

commercial quantities, but such continuation shall not exceed an

additional 25 years, for a total of 50 years, if such lease was

also the subject of an extension under subsection (c) of this

section or an additional 30 years, for a total of 50 years, if such

lease is only extended pursuant to paragraph (1).

\(3\) If, at the end of either 50-year term referred to in

paragraph (2), geothermal steam is being produced or utilized in

commercial quantities and the lands are not needed for other

purposes, the lessee shall have a preferential right to a renewal

of such lease for a second term in accordance with such terms and

conditions as the Secretary deems appropriate. For purposes of

this paragraph only, the term \'\'produced or utilized in commercial

quantities\'\' means a bona fide sale or the use of geothermal steam

by the lessee to generate electricity in marketable quantities.

\(h\) Bona fide effort

To meet the bona fide effort requirement referred to in

subsection (g)(1) of this section the lessee must submit a report

to the Secretary demonstrating bona fide efforts (as determined by

the Secretary) to produce or utilize geothermal steam in commercial

quantities for such lease, given the then current economic

conditions.

\(i\) Payments in lieu of commercial quantities production

\(1\) To meet the payments in lieu of commercial quantities

production requirement referred to in subsection (g)(1)(A) of this

section the lessee must agree to the modification of the terms and

conditions of the lease to require annual payments to the Secretary

in accordance with this subsection.

\(2\) Payments under this subsection shall commence with the first

year of the extension. Payments shall be equal to the following:

\(A\) In each of the first through the fifth payment years, at

least \$3.00 per acre or fraction thereof, of lands under lease.

\(B\) In each of the sixth through the tenth payment years, at

least \$6.00 per acre or fraction thereof, of lands under lease.

\(3\) Failure to make the payments required by this subsection

shall subject the lease to cancellation.

\(4\) No payments made pursuant to this subsection shall be

required after the earlier of the following:

\(A\) The date of termination of the lease.

\(B\) The date of relinquishment of the lease.

\(C\) The date geothermal steam is produced or utilized in

commercial quantities from the lease.

\(5\) No payments made pursuant to this subsection shall be used to

reduce rentals or future production royalties.

\(j\) Significant expenditure

\(1\) To meet the significant expenditure requirement referred to

in subsection (g)(1)(B) of this section the lessee must demonstrate

to the Secretary on an annual basis during an extension that a

significant expenditure of funds is being made on the lease.

\(2\) The following expenditures made by the lessee shall qualify

as meeting the requirement of this subsection:

\(A\) Expenditures to conduct actual drilling operations on the

lease, such as for exploratory or development wells, or

geochemical or geophysical surveys for exploratory or development

wells.

\(B\) Expenditures for road or generating facilities construction

on the lease.

\(C\) Architectural or engineering services procured for the

design of generating facilities to be located on the lease.

\(D\) Environmental studies required by State or Federal law.

\(3\) Expenditures shall be equal to the following:

\(A\) In each of the first through the fifth years, at least

\$15.00 per acre or fraction thereof, of lands under lease.

\(B\) In each of the sixth through the tenth years, at least

\$18.00 per acre or fraction thereof, of lands under lease.

\(4\) Failure to make the expenditures required by this subsection

shall subject the lease to cancellation.

\(5\) No expenditures made pursuant to this subsection shall be

required after the date geothermal steam is produced or utilized in

commercial quantities from the lease.

\(6\) Expenditures made pursuant to this subsection shall be in

lieu of any minimum per acre diligent exploration expenditure

requirement in effect for the lease at the end of its primary term,

or at the end of any extension provided by subsection (c) of this

section, as the case may be.

SOURCE

(Pub. L. 91-581, Sec. 6, Dec. 24, 1970, 84 Stat. 1568; Pub. L.

100-443, Sec. 2(b), 3, Sept. 22, 1988, 102 Stat. 1766.)

REFERENCES IN TEXT

The Mineral Leasing Act of February 25, 1920, referred to in

subsec. (e), is act Feb. 25, 1920, ch. 85, 41 Stat. 437, as

amended, known as the Mineral Leasing Act, which is classified

generally to chapter 3A (Sec. 181 et seq.) of this title. For

complete classification of this Act to the Code, see Short Title

note set out under section 181 of this title and Tables.

The Mineral Leasing Act for Acquired Lands, referred to in

subsec. (e), is act Aug. 7, 1947, ch. 513, 61 Stat. 913, as

amended, which is classified generally to chapter 7 (Sec. 351 et

seq.) of this title. For complete classification of this Act to

the Code, see Short Title note set out under section 351 of this

title and Tables.

The mining laws of the United States, referred to in subsec. (f),

are classified generally to this title.

The Multiple Mineral Development Act, referred to in subsec. (f),

is act Aug. 13, 1954, ch. 730, 68 Stat. 708, as amended, which is

classified principally to chapter 12 (Sec. 521 et seq.) of this

title. For complete classification of this Act to the Code, see

Short Title note set out under section 521 of this title and

Tables.

AMENDMENTS

1988 - Subsec. (d). Pub. L. 100-443, Sec. 2(b), amended subsec.

\(d\) generally. Prior to amendment, subsec. (d) read as follows:

\'\'For purposes of subsection (a) of this section, production or

utilization of geothermal steam in commercial quantities shall be

deemed to include the completion of one or more wells producing or

capable of producing geothermal steam in commercial quantities and

a bona fide sale of such geothermal steam for delivery to or

utilization by a facility or facilities not yet installed but

scheduled for installation not later than fifteen years from the

date of commencement of the primary term of the lease.\'\'

Subsecs. (g) to (j). Pub. L. 100-443, Sec. 3, added subsecs. (g)

to (j).

CONSISTENCY PROVISION

Section 9 of Pub. L. 100-443 provided that: \'\'To the extent that

any provision in this Act (see Short Title of 1988 Amendment note

set out under section 1001 of this title) is inconsistent with the

provisions of section 115(2) of title I of section 101(h) of Public

Law 99-591 (100 Stat. 3341-264 through 100 Stat. 3341-266) (set out

below), this Act shall be deemed to supersede the provisions of

such section.\'\'

EXTENSION OF LEASE; LISTING, MONITORING AND PROTECTION OF

SIGNIFICANT THERMAL FEATURES IN NATIONAL PARK SYSTEM; FACTORS

CONSIDERED IN ISSUING OR DENYING LEASES; EFFECT ON OTHER PROVISIONS

Pub. L. 99-500, Sec. 101(h) (title I, Sec. 115), Oct. 18, 1986,

100 Stat. 1783-242, 1783-264, and Pub. L. 99-591, Sec. 101(h)

(title I, Sec. 115), Oct. 30, 1986, 100 Stat. 3341-242, 3341-264,

provided that:

\'\'(1) The primary term of any geothermal lease in effect as of

July 27, 1984, issued pursuant to the Geothermal (Steam) Act of

1970 (Public Law 91-581, 84 Stat. 1566, 30 U.S.C. 1001-1025) is

hereby extended to December 31, 1988, if the Secretary of the

Interior finds that -

\'\'(a) a bona fide sale of the geothermal resource, from a well

capable of production, for delivery to or utilization by a

facility or facilities, has not been completed (1) due to

administrative delays by government entities, beyond the control

of the lessee, or (2) such sale would be uneconomic;

\'\'(b) substantial investment in the development of or for the

benefit of the lease has been made; and

\'\'(c) the lease would otherwise expire prior to December 31,

1988\.

\'\'(2)(a) The Secretary of the Interior (hereinafter in this

section referred to as \'the Secretary\' shall publish for public

comment in the Federal Register within 120 days after the date of

enactment of this section (Oct. 18, 1986) a proposed list of

significant thermal features within the following units of the

National Park System:

\'\'Mount Rainier National Park;

\'\'Lassen Volcanic National Park;

\'\'Yellowstone National Park;

\'\'Bering Land Bridge National Preserve;

\'\'Gates of the Arctic National Park and Preserve;

\'\'Yukon-Charley Rivers National Preserve;

\'\'Katmai National Park;

\'\'Aniakchak National Monument and Preserve;

\'\'Wrangell-St. Elias National Park and Preserve;

\'\'Glacier Bay National Park and Preserve;

\'\'Denali National Park and Preserve;

\'\'Lake Clark National Park and Preserve;

\'\'Hot Springs National Park;

\'\'Sequoia National Park;

\'\'Hawaii Volcanoes National Park;

\'\'Lake Mead National Recreation Area;

\'\'Big Bend National Park;

\'\'Olympic National Park;

\'\'Grand Teton National Park;

\'\'John D. Rockefeller, Jr. Memorial Parkway;

\'\'Haleakala National Park; and

\'\'Crater Lake National Park.

The Secretary shall include with such list the basis for his

determination with respect to each thermal feature on the list.

Based on public comment on such list, the Secretary is authorized

to make additions to or deletions from the list. Not later than

the 60th day from the date on which the proposed list was published

in the Federal Register, the Secretary shall transmit the list to

the Committee on Energy and Natural Resources of the Senate and the

Committee on Interior and Insular Affairs of the House of

Representatives together with copies of all public comments which

he has received and indicating any additions to or deletions from

the list with a statement of the reasons therefor and the basis for

inclusion of each thermal feature on the list. The Secretary shall

consider the following criteria in determining the significance of

thermal features:

\'\'(1) size, extent, and uniqueness;

\'\'(2) scientific and geologic significance;

\'\'(3) the extent to which such features remain in a natural,

undisturbed condition; and

\'\'(4) significance of thermal features to the authorized

purposes for which the National Park System unit was created.

The Secretary shall not issue any geothermal lease pursuant to the

Geothermal Steam Act of 1970 (Public Law 91-581, 84 Stat. 1566), as

amended (30 U.S.C. 1001 et seq.), until such time as the Secretary

has transmitted the list to the Committees of Congress as provided

in this section.

\'\'(b) The Secretary shall maintain a monitoring program for those

significant thermal features listed pursuant to subsection (a) of

this section.

\'\'(c) Upon receipt of an application for a geothermal lease the

Secretary shall determine on the basis of scientific evidence if

exploration, development, or utilization of the lands subject to

the geothermal lease application is reasonably likely to result in

a significant adverse effect on a significant thermal feature

listed pursuant to subsection (a) of this section. Such

determination shall be subject to notice and public comment. If

the Secretary determines on the basis of scientific evidence that

the exploration, development, or utilization of the land subject to

the geothermal lease application is reasonably likely to result in

a significant adverse effect on a significant thermal feature

listed pursuant to subsection (a) of this section, the Secretary

shall not issue such geothermal lease. In addition, the Secretary

shall withdraw from leasing under the Geothermal Steam Act of 1970,

as amended, those lands, or portion thereof, subject to the

application for geothermal lease, the exploration, development, or

utilization of which is reasonably likely to result, based on the

Secretary\'s determination, in a significant adverse effect on a

significant thermal feature listed pursuant to subsection (a) of

this section.

\'\'(d) With respect to all geothermal leases issued after the date

of enactment of this section (Oct. 18, 1986) the Secretary shall

include stipulations in leases necessary to protect significant

thermal features listed pursuant to subsection (a) of this section

where a determination is made based on scientific evidence that the

exploration, development, or utilization of the lands subject to

the lease is reasonably likely to adversely affect such significant

features. Such stipulations shall include, but are not limited to:

\'\'(1) requiring the lessee to reinject geothermal fluids into

the rock formations from which they originate;

\'\'(2) requiring the lessee to report annually to the Secretary

on its activities;

\'\'(3) requiring the lessee to continuously monitor geothermal

production and injection wells; and

\'\'(4) requiring the lessee to suspend activity, temporarily or

permanently, on the lease if the Secretary determines that

ongoing exploration, development, or utilization activities are

having a significant adverse effect on significant thermal

features listed pursuant to subsection (a) of this section until

such time as the significant adverse effect is eliminated.

\'\'(e) The Secretary of Agriculture shall consider the effects on

significant thermal features of those units of the National Park

System identified in subsection (a) of this section in determining

whether to consent to leasing under the Geothermal Steam Act of

1970, as amended, on national forest or other lands administered by

the Department of Agriculture available for leasing under the

Geothermal Steam Act of 1970, as amended, including public,

withdrawn, and acquired lands.

\'\'(f) Nothing contained in this section shall affect the ban on

leasing under the Geothermal Steam Act of 1970, as amended, with

respect to the Island Park Known Geothermal Resources Area, as

provided for in Public Law 98-473 (98 Stat. 1837) (see Tables for

classification) and Public Law 99-190 (99 Stat. 1267) (see Tables

for classification).

\'\'(g) Except as provided herein, nothing contained in this

section shall affect or modify the authorities or responsibilities

of the Secretary under the Geothermal Steam Act of 1970, as

amended, or any other provision of law.

\'\'(h) The provisions of this section shall remain in effect until

Congress determines otherwise.\'\'

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1017, 1019 of this title.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1006. Acreage of geothermal lease; irregular subdivisions;

State limitation; increase

A geothermal lease shall embrace a reasonably compact area of not

more than two thousand five hundred and sixty acres, except where a

departure therefrom is occasioned by an irregular subdivision or

subdivisions. No person, association, or corporation, except as

otherwise provided in this chapter, shall take, hold, own, or

control at one time, whether acquired directly from the Secretary

under this chapter or otherwise, any direct or indirect interest in

Federal geothermal leases in any one State exceeding twenty

thousand four hundred and eighty acres, including leases acquired

under the provisions of section 1003 of this title.

At any time after fifteen years from December 24, 1970, the

Secretary, after public hearings, may increase this maximum holding

in any one State by regulation, not to exceed fifty-one thousand

two hundred acres.

SOURCE

(Pub. L. 91-581, Sec. 7, Dec. 24, 1970, 84 Stat. 1569.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1017 of this title.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1007. Readjustment of lease terms and conditions

\(a\) Initial readjustment; periodic intervals; notice; objections,

relinquishment, and termination

The Secretary may readjust the terms and conditions, except as

otherwise provided herein, of any geothermal lease issued under

this chapter at not less than ten-year intervals beginning ten

years after the date the geothermal steam is produced, as

determined by the Secretary. Each geothermal lease issued under

this chapter shall provide for such readjustment. The Secretary

shall give notice of any proposed readjustment of terms and

conditions, and, unless the lessee files with the Secretary

objection to the proposed terms or relinquishes the lease within

thirty days after receipt of such notice, the lessee shall

conclusively be deemed to have agreed with such terms and

conditions. If the lessee files objections, and no agreement can

be reached between the Secretary and the lessee within a period of

not less than sixty days, the lease may be terminated by either

party.

\(b\) Rentals and royalties; initial readjustment; periodic

intervals; limitation on increases and on royalties; notice;

objections, relinquishment, and termination

The Secretary may readjust the rentals and royalties of any

geothermal lease issued under this chapter at not less than

twenty-year intervals beginning thirty-five years after the date

geothermal steam is produced, as determined by the Secretary. In

the event of any such readjustment neither the rental nor royalty

may be increased by more than 50 per centum over the rental or

royalty paid during the preceding period, and in no event shall the

royalty payable exceed 22 1/2 per centum. Each geothermal lease

issued under this chapter shall provide for such readjustment. The

Secretary shall give notice of any proposed readjustment of rentals

and royalties, and, unless the lessee files with the Secretary

objections to the proposed rentals and royalties or relinquishes

the lease within thirty days after receipt of such notice, the

lessee shall conclusively be deemed to have agreed with such terms

and conditions. If the lessee files objections, and no agreement

can be reached between the Secretary and the lessee within a period

of not less than sixty days, the lease may be terminated by either

party.

\(c\) Surface use, protection, or restoration of lands withdrawn or

acquired for Federal agency; notice; approval of agency

Any readjustment of the terms and conditions as to use,

protection, or restoration of the surface of any lease of lands

withdrawn or acquired in aid of a function of a Federal department

or agency other than the Department of the Interior may be made

only upon notice to, and with the approval of, such department or

agency.

SOURCE

(Pub. L. 91-581, Sec. 8, Dec. 24, 1970, 84 Stat. 1569.)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1008. Byproducts: production or use; water for beneficial uses

under State water laws; substantial beneficial production or

use; modification or waiver; preexisting rights of lease,

claim, or permit holders

If the production, use, or conversion of geothermal steam is

susceptible of producing a valuable byproduct or byproducts,

including commercially demineralized water for beneficial uses in

accordance with applicable State water laws, the Secretary shall

require substantial beneficial production or use thereof unless, in

individual circumstances he modifies or waives this requirement in

the interest of conservation of natural resources or for other

reasons satisfactory to him. However, the production or use of

such byproducts shall be subject to the rights of the holders of

preexisting leases, claims, or permits covering the same land or

the same minerals, if any.

SOURCE

(Pub. L. 91-581, Sec. 9, Dec. 24, 1970, 84 Stat. 1570.)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1009. Relinquishment of geothermal rights; effective date;

release of lessee or his surety or bond; exceptions

The holder of any geothermal lease at any time may make and file

in the appropriate land office a written relinquishment of all

rights under such lease or of any legal subdivision of the area

covered by such lease. Such relinquishment shall be effective as

of the date of its filing. Thereupon the lessee shall be released

of all obligations thereafter accruing under said lease with

respect to the lands relinquished, but no such relinquishment shall

release such lessee, or his surety or bond, from any liability for

breach of any obligation of the lease, other than an obligation to

drill, accrued at the date of the relinquishment, or from the

continued obligation, in accordance with the applicable lease terms

and regulations, (1) to make payment of all accrued rentals and

royalties, (2) to place all wells on the relinquished lands in

condition for suspension or abandonment, and (3) to protect or

restore substantially the surface and surface resources.

SOURCE

(Pub. L. 91-581, Sec. 10, Dec. 24, 1970, 84 Stat. 1570.)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1010. Suspension of operations and production; extension of

lease term for period of suspension; waiver, suspension or

reduction of rental or royalty

The Secretary, upon application by the lessee, may authorize the

lessee to suspend operations and production on a producing lease

and he may, on his own motion, in the interest of conservation

suspend operations on any lease but in either case he may extend

the lease term for the period of any suspension, and he may waive,

suspend, or reduce the rental or royalty required in such lease.

SOURCE

(Pub. L. 91-581, Sec. 11, Dec. 24, 1970, 84 Stat. 1570.)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1011. Termination of leases; grounds; notice; correction of

violations; hearing; correction period after administrative

decision

Leases may be terminated by the Secretary for any violation of

the regulations or lease terms after thirty days notice provided

that such violation is not corrected within the notice period, or

in the event the violation is such that it cannot be corrected

within the notice period then provided that lessee has not

commenced in good faith within said notice period to correct such

violation and thereafter to proceed diligently to correct such

violation. Lessee shall be entitled to a hearing on the matter of

such claimed violation or proposed termination of lease if request

for a hearing is made to the Secretary within the thirty-day period

after notice. The period for correction of violation or

commencement to correct such violation of regulations or of lease

terms, as aforesaid, shall be extended to thirty days after the

Secretary\'s decision after such hearing if the Secretary shall find

that a violation exists.

SOURCE

(Pub. L. 91-581, Sec. 12, Dec. 24, 1970, 84 Stat. 1570.)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1012. Waiver, suspension, or reduction of rental or royalty

The Secretary may waive, suspend, or reduce the rental or royalty

for any lease or portion thereof in the interests of conservation

and to encourage the greatest ultimate recovery of geothermal

resources, if he determines that this is necessary to promote

development or that the lease cannot be successfully operated under

the lease terms.

SOURCE

(Pub. L. 91-581, Sec. 13, Dec. 24, 1970, 84 Stat. 1570.)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1013. Surface land use for production, utilization, and

conservation of geothermal resources

Subject to the other provisions of this chapter, a lessee shall

be entitled to use so much of the surface of the land covered by

his geothermal lease as may be found by the Secretary to be

necessary for the production, utilization, and conservation of

geothermal resources.

SOURCE

(Pub. L. 91-581, Sec. 14, Dec. 24, 1970, 84 Stat. 1571.)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1014. Lands subject to geothermal leasing

\(a\) Terms and conditions for lands withdrawn or acquired for

Department of the Interior

Geothermal leases for lands withdrawn or acquired in aid of

functions of the Department of the Interior may be issued only

under such terms and conditions as the Secretary may prescribe to

insure adequate utilization of the lands for the purposes for which

they were withdrawn or acquired.

\(b\) Consent and terms and conditions for lands withdrawn or

acquired for Department of Agriculture or for lands for power

and related purposes

Geothermal leases for lands withdrawn or acquired in aid of

functions of the Department of Agriculture may be issued only with

the consent of, and subject to such terms and conditions as may be

prescribed by, the head of that Department to insure adequate

utilization of the lands for the purposes for which they were

withdrawn or acquired. Geothermal leases for lands to which

section 818 of title 16 is applicable, may be issued only with the

consent of, and subject to, such terms and conditions as the

Secretary of Energy may prescribe to insure adequate utilization of

such lands for power and related purposes.

\(c\) Exemption of certain Federal lands

Geothermal leases under this chapter shall not be issued for

lands administered in accordance with (1) sections 1, 2, 3, and 4

of title 16, as amended or supplemented, (2) for lands within a

national recreation area, (3) for lands in a fish hatchery

administered by the Secretary, wildlife refuge, wildlife range,

game range, wildlife management area, waterfowl production area, or

for lands acquired or reserved for the protection and conservation

of fish and wildlife that are threatened with extinction, (4) for

tribally or individually owned Indian trust or restricted lands,

within or without the boundaries of Indian reservations.

SOURCE

(Pub. L. 91-581, Sec. 15, Dec. 24, 1970, 84 Stat. 1571; Pub. L.

95-91, title III, Sec. 301(b), title VII, Sec. 703, 707, Aug. 4,

1977, 91 Stat. 578, 606, 607.)

TRANSFER OF FUNCTIONS

\'\'Secretary of Energy\'\' substituted for \'\'Federal Power

Commission\'\' in subsec. (b) pursuant to sections 301(b), 703, and

707 of Pub. L. 95-91, which are classified to sections 7151(b),

7293, and 7297 of Title 42, The Public Health and Welfare, and

which terminated Federal Power Commission and transferred its

functions (with certain exceptions) to Secretary of Energy.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1002 of this title.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1015. Citizenship requirement for lessees

Leases under this chapter may be issued only to citizens of the

United States, associations of such citizens, corporations

organized under the laws of the United States or of any State or

the District of Columbia, or governmental units, including, without

limitation, municipalities.

SOURCE

(Pub. L. 91-581, Sec. 16, Dec. 24, 1970, 84 Stat. 1571.)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1016. Administration; multiple use of lands and resources;

coexistence of other leases; reciprocal and reasonable

operational interference between geothermal and other leases

Administration of this chapter shall be under the principles of

multiple use of lands and resources, and geothermal leases shall,

insofar as feasible, allow for coexistence of other leases of the

same lands for deposits of minerals under the laws applicable to

them, for the location and production of claims under the mining

laws, and for other uses of the areas covered by them. Operations

under such other leases or for such other uses, however, shall not

unreasonably interfere with or endanger operations under any lease

issued pursuant to this chapter, nor shall operations under leases

so issued unreasonably interfere with or endanger operations under

any lease, license, claim, or permit issued pursuant to the

provisions of any other Act.

SOURCE

(Pub. L. 91-581, Sec. 17, Dec. 24, 1970, 84 Stat. 1571.)

REFERENCES IN TEXT

The mining laws, referred to in text, are classified generally to

this title.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1017. Cooperative or unit plan of development or operation of

geothermal pool, field, or like area; public interest;

determination and certification; regulations; protection of

parties in interest; authority respecting rate of prospecting,

development, and production; five year review; leases excepted

from control for purposes of State acreage limitation

For the purpose of properly conserving the natural resources of

any geothermal pool, field, or like area, or any part thereof,

lessees thereof and their representatives may unite with each

other, or jointly or separately with others, in collectively

adopting and operating under a cooperative or unit plan of

development or operation of such pool, field, or like area, or any

part thereof, whenever this is determined and certified by the

Secretary to be necessary or advisable in the public interest. The

Secretary may in his discretion and with the consent of the holders

of leases involved, establish, alter, change, revoke, and make such

regulations with reference to such leases in connection with the

institution and operation of any such cooperative or unit plan as

he may deem necessary or proper to secure reasonable protection of

the public interest. He may include in geothermal leases a

provision requiring the lessee to operate under such a reasonable

cooperative or unit plan, and he may prescribe such a plan under

which such lessee shall operate, which shall adequately protect the

rights of all parties in interest, including the United States. Any

such plan may, in the discretion of the Secretary, provide for

vesting in the Secretary or any other person, committee, or Federal

or State agency designated therein, authority to alter or modify

from time to time the rate of prospecting and development and the

quantity and rate of production under such plan. All leases

operated under any such plan approved or prescribed by the

Secretary shall be excepted in determining holdings or control for

the purposes of section 1006 of this title.

No more than five years after approval of any cooperative or unit

plan of development or operation, and at least every five years

thereafter, the Secretary shall review each such plan and, after

notice and opportunity for comment, eliminate from inclusion in

such plan any lease or part of a lease not regarded as reasonably

necessary to cooperative or unit operations under the plan. In the

case of a cooperative or unit plan approved before September 22,

1988, the Secretary shall complete such review and elimination

within 5 years after September 22, 1988. Such elimination shall be

based on scientific evidence, and shall occur only when it is

determined by the Secretary to be for the purpose of conserving and

properly managing the geothermal resource. Any lease or part of a

lease so eliminated shall be eligible for an extension under

subsection (c) or (g) of section 1005 of this title if it

separately meets the requirements for such an extension.

When separate tracts cannot be independently developed and

operated in conformity with an established well-spacing or

development program, any lease, or a portion thereof, may be pooled

with other lands, whether or not owned by the United States, under

a communitization or drilling agreement providing for an

apportionment of production or royalties among the separate tracts

of land comprising the drilling or spacing unit when determined by

the Secretary to be in the public interest, and operations or

production pursuant to such an agreement shall be deemed to be

operations or production as to each lease committed thereto.

The Secretary is hereby authorized, on such conditions as he may

prescribe, to approve operating, drilling, or development contracts

made by one or more lessees of geothermal leases, with one or more

persons, associations, or corporations whenever, in his discretion,

the conservation of natural products or the public convenience or

necessity may require or the interests of the United States may be

best served thereby. All leases operated under such approved

operating, drilling, or development contracts, and interests

thereunder, shall be excepted in determining holdings or control

under section 1006 of this title.

SOURCE

(Pub. L. 91-581, Sec. 18, Dec. 24, 1970, 84 Stat. 1571; Pub. L.

100-443, Sec. 4, Sept. 22, 1988, 102 Stat. 1768.)

AMENDMENTS

1988 - Pub. L. 100-443, Sec. 4, inserted provisions relating to

five year review of plans and elimination of leases from plans.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1018. Data from Federal agencies concerning conversion

charges; confidential information

Upon request of the Secretary, other Federal departments and

agencies shall furnish him with any relevant data then in their

possession or knowledge concerning or having bearing upon fair and

adequate charges to be made for geothermal steam produced or to be

produced for conversion to electric power or other purposes. Data

given to any department or agency as confidential under law shall

not be furnished in any fashion which identifies or tends to

identify the business entity whose activities are the subject of

such data or the person or persons who furnished such information.

SOURCE

(Pub. L. 91-581, Sec. 19, Dec. 24, 1970, 84 Stat. 1572.)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1019. Disposal of moneys from sales, bonuses, royalties and

rentals

Subject to the provisions of section 191(b) of this title, all

moneys received from the sales, bonuses, royalties and rentals

under the provisions of this chapter, including the payments

referred to in section 1005(i) of this title, shall be disposed of

in the same manner as such moneys received pursuant to section 191

of this title or pursuant to section 355 of this title, as the case

may be.

SOURCE

(Pub. L. 91-581, Sec. 20, Dec. 24, 1970, 84 Stat. 1572; Pub. L.

100-443, Sec. 5(a), Sept. 22, 1988, 102 Stat. 1768; Pub. L. 103-66,

title X, Sec. 10202(b), Aug. 10, 1993, 107 Stat. 408.)

AMENDMENTS

1993 - Pub. L. 103-66 substituted \'\'Subject to the provisions of

section 191(b) of this title, all moneys\'\' for \'\'All moneys\'\'.

1988 - Pub. L. 100-443 amended section generally. Prior to

amendment, section read as follows: \'\'All moneys received under

this chapter from public lands under the jurisdiction of the

Secretary shall be disposed of in the same manner as moneys

received from the sale of public lands. Moneys received under this

chapter from other lands shall be disposed of in the same manner as

other receipts from such lands.\'\'

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Sec. 1020. Publication in Federal Register of known geothermal

resource area lands; necessity of geothermal leases for

development or production of geothermal resources in lands

which the United States transferred with reservation of mineral

rights

\(a\) Within one hundred and twenty days after December 24, 1970,

the Secretary shall cause to be published in the Federal Register a

determination of all lands which were included within any known

geothermal resources area on December 24, 1970. He shall likewise

publish in the Federal Register from time to time his determination

of other known geothermal resources areas specifying in each case

the date the lands were included in such area; and

\(b\) Geothermal resources in lands the surface of which has passed

from Federal ownership but in which the minerals have been reserved

to the United States shall not be developed or produced except

under geothermal leases made pursuant to this chapter. If the

Secretary of the Interior finds that such development is imminent,

or that production from a well heretofore drilled on such lands is

imminent, he shall so report to the Attorney General, and the

Attorney General is authorized and directed to institute an

appropriate proceeding in the United States district court of the

district in which such lands are located, to quiet the title of the

United States in such resources, and if the court determines that

the reservation of minerals to the United States in the lands

involved included the geothermal resources, to enjoin their

production otherwise than under the terms of this chapter:

Provided, That upon an authoritative judicial determination that

Federal mineral reservation does not include geothermal steam and

associated geothermal resources the duties of the Secretary of the

Interior to report and of the Attorney General to institute

proceedings, as hereinbefore set forth, shall cease.

SOURCE

(Pub. L. 91-581, Sec. 21, Dec. 24, 1970, 84 Stat. 1572.)

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Sec. 1021. Federal exemption from State water laws

Nothing in this chapter shall constitute an express or implied

claim or denial on the part of the Federal Government as to its

exemption from State water laws.

SOURCE

(Pub. L. 91-581, Sec. 22, Dec. 24, 1970, 84 Stat. 1573.)

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Sec. 1022. Waste, prevention; exclusiveness of provisions for

acquisition of geothermal rights

\(a\) All leases under this chapter shall be subject to the

condition that the lessee will, in conducting his exploration,

development, and producing operations, use all reasonable

precautions to prevent waste of geothermal steam and associated

geothermal resources development in the lands leased.

\(b\) Rights to develop and utilize geothermal steam and associated

geothermal resources underlying lands owned by the United States

may be acquired solely in accordance with the provisions of this

chapter.

SOURCE

(Pub. L. 91-581, Sec. 23, Dec. 24, 1970, 84 Stat. 1573.)

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Sec. 1023. Rules and regulations; scope of provisions

The Secretary shall prescribe such rules and regulations as he

may deem appropriate to carry out the provisions of this chapter.

Such regulations may include, without limitation, provisions for

\(a\) the prevention of waste, (b) development and conservation of

geothermal and other natural resources, (c) the protection of the

public interest, (d) assignment, segregation, extension of terms,

relinquishment of leases, development contracts, unitization,

pooling, and drilling agreements, (e) compensatory royalty

agreements, suspension of operations or production, and suspension

or reduction of rentals or royalties, (f) the filing of surety

bonds to assure compliance with the terms of the lease and to

protect surface use and resources, (g) use of the surface by a

lessee of the lands embraced in his lease, (h) the maintenance by

the lessee of an active development program, and (i) protection of

water quality and other environmental qualities.

SOURCE

(Pub. L. 91-581, Sec. 24, Dec. 24, 1970, 84 Stat. 1573.)

TRANSFER OF FUNCTIONS

Functions of Secretary of the Interior to promulgate regulations

under this chapter relating to fostering of competition for Federal

leases, implementation of alternative bidding systems authorized

for award of Federal leases, establishment of diligence

requirements for operations conducted on Federal leases, setting of

rates for production of Federal leases, and specifying of

procedures, terms, and conditions for acquisition and disposition

of Federal royalty interests taken in kind, transferred to

Secretary of Energy by section 7152(b) of Title 42, The Public

Health and Welfare. Section 7152(b) of Title 42 was repealed by

Pub. L. 97-100, title II, Sec. 201, Dec. 23, 1981, 95 Stat. 1407,

and functions of Secretary of Energy returned to Secretary of the

Interior. See House Report No. 97-315, pp. 25, 26, Nov. 5, 1981.

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Sec. 1024. Disposal of land laws; reservation of geothermal

resources and restriction on disposal of lands with geothermal

resources; conveyances prior to December 24, 1970, unaffected

As to any land subject to geothermal leasing under section 1002

of this title, all laws which either (a) provide for the disposal

of land by patent or other form of conveyance or by grant or by

operation of law subject to a reservation of any mineral or (b)

prevent or restrict the disposal of such land because of the

mineral character of the land, shall hereafter be deemed to embrace

geothermal steam and associated geothermal resources as a substance

which either must be reserved or must prevent or restrict the

disposal of such land, as the case may be. This section shall not

be construed to affect grants, patents, or other forms of

conveyances made prior to December 24, 1970.

SOURCE

(Pub. L. 91-581, Sec. 25, Dec. 24, 1970, 84 Stat. 1573.)

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Sec. 1025. Federal reservation of certain mineral rights;

extraction of minerals without substantial interference with

geothermal production

The United States reserves the ownership of and the right to

extract under such rules and regulations as the Secretary may

prescribe oil, hydrocarbon gas, and helium from all geothermal

steam and associated geothermal resources produced from lands

leased under this chapter in accordance with presently applicable

laws: Provided, That whenever the right to extract oil, hydrocarbon

gas, and helium from geothermal steam and associated geothermal

resources produced from such lands is exercised pursuant to this

section, it shall be exercised so as to cause no substantial

interference with the production of geothermal steam and associated

geothermal resources from such lands.

SOURCE

(Pub. L. 91-581, Sec. 27, Dec. 24, 1970, 84 Stat. 1574.)

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Sec. 1026. Significant thermal features

\(a\) Units of National Park System

\(1\) The Secretary shall maintain a list of significant thermal

features, as defined in section 1001(f) of this title, within units

of the National Park System, including but not limited to the

following units:

\(A\) Mount Rainier National Park.

\(B\) Crater Lake National Park.

\(C\) Yellowstone National Park.

\(D\) John D. Rockefeller, Jr. Memorial Parkway.

\(E\) Bering Land Bridge National Preserve.

\(F\) Gates of the Arctic National Park and Preserve.

\(G\) Katmai National Park.

\(H\) Aniakchak National Monument and Preserve.

\(I\) Wrangell-St. Elias National Park and Preserve.

\(J\) Lake Clark National Park and Preserve.

\(K\) Hot Springs National Park.

\(L\) Big Bend National Park (including that portion of the Rio

Grande National Wild Scenic River within the boundaries of Big

Bend National Park).

\(M\) Lassen Volcanic National Park.

\(N\) Hawaii Volcanoes National Park.

\(O\) Haleakala National Park.

\(P\) Lake Mead National Recreation Area.

\(2\) The Secretary may, after notice and public comment, add

significant thermal features within units of the National Park

System to the significant thermal features list.

\(3\) The Secretary shall consider the following criteria in

determining the significance of thermal features:

\(A\) Size, extent and uniqueness.

\(B\) Scientific and geologic significance.

\(C\) The extent to which such features remain in a natural,

undisturbed condition.

\(D\) Significance of thermal features to the authorized purposes

for which the National Park System unit was established.

\(b\) Monitoring program

\(1\) The Secretary shall maintain a monitoring program for

significant thermal features within units of the National Park

System.

\(2\) As part of the monitoring program required by paragraph (1),

the Secretary shall establish a research program to collect and

assess data on the geothermal resources within units of the

National Park System with significant thermal features. Such

program shall be carried out by the National Park Service in

cooperation with the U.S. Geological Survey and shall begin with

the collection and assessment of data for significant thermal

features near current or proposed geothermal development and shall

also include such features near areas of potential geothermal

development.

\(c\) Lease application; adverse effect

\(1\) Upon receipt of an application for a lease under this

chapter, the Secretary shall determine on the basis of scientific

evidence if exploration, development or utilization of the lands

subject to the lease application is reasonably likely to result in

a significant adverse effect on a significant thermal feature

within a unit of the National Park System. Such determination shall

be subject to notice and public comment.

\(2\) If the Secretary determines that the exploration, development

or utilization of the land subject to the lease application is

reasonably likely to result in a significant adverse effect on a

significant thermal feature within a unit of the National Park

System, the Secretary shall not issue such lease.

\(3\) The Secretary shall not issue any lease under this chapter

for those lands, or portions thereof, which are the subject of a

determination made pursuant to subparagraph (2).

\(d\) Lease stipulations

With respect to all leases or drilling permits issued, extended,

renewed or modified under this chapter, the Secretary shall include

stipulations in such leases and permits necessary to protect

significant thermal features within units of the National Park

System where the Secretary determines that, based on scientific

evidence, the exploration, development or utilization of the land

subject to the lease or drilling permit is reasonably likely to

adversely affect any such significant thermal feature.

Stipulations shall include, but not be limited to -

\(1\) requiring the lessee to reinject geothermal fluids into the

rock formations from which they originate;

\(2\) requiring the lessee to report annually to the Secretary on

activities taken on the lease;

\(3\) requiring the lessee to continuously monitor geothermal

steam and associated geothermal resources production and

injection wells; and

\(4\) requiring the lessee to suspend activity on the lease if

the Secretary determines that ongoing exploration, development or

utilization activities are having a significant adverse effect on

a significant thermal feature within a unit of the National Park

System until such time as the significant adverse effect is

eliminated. The stipulation shall provide for the termination of

the lease by the Secretary if the significant adverse effect

cannot be eliminated within a reasonable period of time.

\(e\) Lands administered by Department of Agriculture

The Secretary of Agriculture shall consider the effects on

significant thermal features within units of the National Park

System in determining whether to consent to leasing under this

chapter on national forest lands or other lands administered by the

Department of Agriculture available for leasing under this chapter,

including public, withdrawn, and acquired lands.

\(f\) Prohibition

Nothing in this chapter shall affect the ban on leasing under

this chapter with respect to the Island Park Geothermal Area, as

designated by the map in the \'\'Final Environmental Impact Statement

of the Island Park Geothermal Area\'\' (January 15, 1980, p. XI),

and provided for in Public Law 98-473.

SOURCE

(Pub. L. 91-581, Sec. 28, as added Pub. L. 100-443, Sec. 6, Sept.

22, 1988, 102 Stat. 1769.)

REFERENCES IN TEXT

Public Law 98-473, referred to in subsec. (f), is Pub. L. 98-473,

Oct. 12, 1984, 98 Stat. 1837, as amended. For complete

classification of this Act to the Code, see Tables.

CORWIN SPRINGS KNOWN GEOTHERMAL RESOURCE AREA STUDY

Section 8 of Pub. L. 100-443 provided that:

\'\'(a) The United States Geological Survey, in consultation with

the National Park Service, shall conduct a study on the impact of

present and potential geothermal development in the vicinity of

Yellowstone National Park on the thermal features within the park.

The area to be studied shall be the lands within the Corwin Springs

Known Geothermal Resource Area as designated in the July 22, 1975,

Federal Register (Fed. Reg. Vol. 40, No. 141). The study shall be

transmitted to Congress no later than December 1, 1990.

\'\'(b) Any production from existing geothermal wells or any

development of new geothermal wells or other facilities related to

geothermal production is prohibited in the Corwin Springs Known

Geothermal Resource Area until 180 days after the receipt by

Congress of the study provided for in subsection (a) of this

section.

\'\'(c) The Secretary may not issue, extend, renew or modify any

geothermal lease or drilling permit pursuant to the Geothermal

Steam Act of 1970 (30 U.S.C. 1001-1025) in the Corwin Springs Known

Geothermal Resource Area until 180 days after the receipt by

Congress of the study provided for in section 8(a) of this Act.

This section shall not be construed as requiring such leasing

activities subsequent to the 180 days after study submittal.

\'\'(d) If the Secretary determines that geothermal drilling and

related activities within the area studied pursuant to subsection

\(a\) of this section may adversely affect the thermal features of

Yellowstone National Park, the Secretary shall include in the study

required under subsection (a) of this section recommendations

regarding the acquisition of the geothermal rights necessary to

protect such thermal resources and features.\'\'

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1001 of this title.

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Sec. 1027. Lands subject to prohibition on leasing

The Secretary shall not issue any lease under this chapter on

those lands subject to the prohibition provided under section 226-3

of this title.

SOURCE

(Pub. L. 91-581, Sec. 29, as added Pub. L. 100-443, Sec. 5(d),

Sept. 22, 1988, 102 Stat. 1769.)

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Sec. 1028. Hot dry rock geothermal energy

\(a\) USGS program

The Secretary of the Interior, acting through the United States

Geological Survey, and in consultation with the Secretary of

Energy, shall establish a cooperative Government-private sector

program with respect to hot dry rock geothermal energy resources on

public lands (as such term is defined in section 1702(e) of title

43\) and lands managed by the Department of Agriculture, other than

any such public or other lands that are withdrawn from geothermal

leasing. Such program shall include, but shall not be limited to,

activities to identify, select, and classify those areas throughout

the United States that have a high potential for hot dry rock

geothermal energy production and activities to develop and

disseminate information regarding the utilization of such areas for

hot dry rock energy production. Such information may include

information regarding field test processes and techniques for

assuring that hot dry rock geothermal energy development projects

are developed in an economically feasible manner without adverse

environmental consequences. Utilizing the information developed by

the Secretary, together with information developed in connection

with other related programs carried out by other Federal agencies,

the Secretary, acting through the United States Geological Survey,

may also enter into contracts and cooperative agreements with any

public or private entity to provide assistance to any such entity

to enable such entity to carry out additional projects with respect

to the utilization of hot dry rock geothermal energy resources

which will further the purposes of this section.

\(b\) Authorization of appropriations

There are authorized to be appropriated such sums as may be

necesary (FOOTNOTE 1) to carry out this section.

(FOOTNOTE 1) So in original. Probably should be \'\'necessary\'\'.

SOURCE

(Pub. L. 102-486, title XXV, Sec. 2501, Oct. 24, 1992, 106 Stat.

3101.)

CODIFICATION

Section was enacted as part of the Energy Policy Act of 1992, and

not as part of the Geothermal Steam Act of 1970 which comprises

this chapter.