Page 51 TITLE 30—MINERAL LANDS AND MINING § 187b

CROSS REFERENCES

Laws applicable, see sections 275 and 285 of this title.

Surrender of leases, see section 188a of this title.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 187a, 187b, 275,

285 of this title; title 10 sections 7421, 7435.

§ 187a. Oil or gas leases; partial assignments

Notwithstanding anything to the contrary in

section 187 of this title, any oil or gas lease issued under the authority of this chapter may be

assigned or subleased, as to all or part of the

acreage included therein, subject to final approval by the Secretary and as to either a divided or undivided interest therein, to any person or persons qualified to own a lease under

this chapter, and any assignment or sublease

shall take effect as of the first day of the lease

month following the date of filing in the proper

land office of three original executed counterparts thereof, together with any required bond

and proof of the qualification under this chapter

of the assignee or sublessee to take or hold such

lease or interest therein. Until such approval,

however, the assignor or sublessor and his surety shall continue to be responsible for the performance of any and all obligations as if no assignment or sublease had been executed. The

Secretary shall disapprove the assignment or

sublease only for lack of qualification of the assignee or sublessee or for lack of sufficient bond:

Provided, however, That the Secretary may, in

his discretion, disapprove an assignment of any

of the following, unless the assignment constitutes the entire lease or is demonstrated to

further the development of oil and gas:

(1) A separate zone or deposit under any

lease.

(2) A part of a legal subdivision.

(3) Less than 640 acres outside Alaska or of

less than 2,560 acres within Alaska.

Requests for approval of assignment or sublease

shall be processed promptly by the Secretary.

Except where the assignment or sublease is not

in accordance with applicable law, the approval

shall be given within 60 days of the date of receipt by the Secretary of a request for such approval. Upon approval of any assignment or sublease, the assignee or sublessee shall be bound

by the terms of the lease to the same extent as

if such assignee or sublessee were the original

lessee, any conditions in the assignment or sublease to the contrary notwithstanding. Any partial assignment of any lease shall segregate the

assigned and retained portions thereof, and as

above provided, release and discharge the assignor from all obligations thereafter accruing

with respect to the assigned lands; and such segregated leases shall continue in full force and effect for the primary term of the original lease,

but for not less than two years after the date of

discovery of oil or gas in paying quantities upon

any other segregated portion of the lands originally subject to such lease. Assignments under

this section may also be made of parts of leases

which are in their extended term because of any

provision of this chapter. Upon the segregation

by an assignment of a lease issued after September 2, 1960 and held beyond its primary term by

production, actual or suspended, or the payment

of compensatory royalty, the segregated lease of

an undeveloped, assigned, or retained part shall

continue for two years, and so long thereafter as

oil or gas is produced in paying quantities.

(Feb. 25, 1920, ch. 85, §30A, formerly §30a, as

added Aug. 8, 1946, ch. 916, §7, 60 Stat. 955;

amended July 29, 1954, ch. 644, §1(6), 68 Stat. 585;

Pub. L. 86–705, §6, Sept. 2, 1960, 74 Stat. 790; renumbered §30A and amended Pub. L. 100–203,

title V, §5103, Dec. 22, 1987, 101 Stat. 1330–258.)

AMENDMENTS

1987—Pub. L. 100–203 substituted third to fifth sentences for former third sentence which read as follows:

‘‘The Secretary shall disapprove the assignment or sublease only for lack of qualification of the assignee or

sublessee or for lack of sufficient bond: Provided, however, That the Secretary may, in his discretion, disapprove an assignment of a separate zone or deposit

under any lease, or of a part of a legal subdivision.’’

1960—Pub. L. 86–705 amended last sentence to restrict

automatic extensions after Sept. 2, 1960.

1954—Act July 29, 1954, authorized partial assignment

of a lease in its extended term regardless of reason for

extension.

SAVINGS PROVISION

See note set out under section 181 of this title.

LEASES ISSUED PRIOR TO SEPTEMBER 2, 1960

Section 6 of Pub. L. 86–705 provided in part that: ‘‘The

provisions of this section 6 [amending this section]

shall not be applicable to any lease issued prior to the

effective date of this Act [Sept. 2, 1960].’’

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in title 10 sections 7421,

7435.

§ 187b. Oil or gas leases; written relinquishment

of rights; release of obligations

Notwithstanding any provision to the contrary in section 187 of this title, a lessee may at

any time make and file in the appropriate land

office a written relinquishment of all rights

under any oil or gas lease issued under the authority of this chapter or of any legal subdivision of the area included within any such lease.

Such relinquishment shall be effective as of the

date of its filing, subject to the continued obligation of the lessee and his surety to make payment of all accrued rentals and royalties and to

place all wells on the lands to be relinquished in

condition for suspension or abandonment in accordance with the applicable lease terms and

regulations; 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 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.

(Feb. 25, 1920, ch. 85, §30B, formerly §30b, as

added Aug. 8, 1946, ch. 916, §8, 60 Stat. 956; renumbered §30B, Pub. L. 100–203, title V, §5103,

Dec. 22, 1987, 101 Stat. 1330–258.)

SAVINGS PROVISION

See note set out under section 181 of this title.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in title 10 sections 7421,

7435.