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in which production from the specified lease is
not possible.’’.
(b) APPLICATION.—The amendment made by this
section shall apply with respect to an analysis, documenta-
tion, or a related study conducted on or after the date
of enactment of this Act for any lease entered into before,
on, or after the date of enactment of this Act.
(c) DEADLINE FOR REGULATIONS.—The Secretary
shall issue regulations implementing the amendment made
by this section by not later than 1 year after the date
of enactment of this Act.
SEC. 1809. ASSESSMENT OF GEOTHERMAL ENERGY POTEN-
TIAL.
The Secretary of Interior, acting through the Direc-
tor of the United States Geological Survey and in coopera-
tion with the States, shall update the 1978 Assessment
of Geothermal Resources, and submit that updated assess-
ment to Congress—
(1) not later than 3 years after the date of en-
actment of this Act; and
(2) thereafter as the availability of data and de-
velopments in technology warrant.
SEC. 1810. COOPERATIVE OR UNIT PLANS.
Section 18 of the Geothermal Steam Act of 1970 (30
U.S.C. 1017) is amended to read as follows:
838
‘‘SEC. 18. UNIT AND COMMUNITIZATION AGREEMENTS.
‘‘(a) ADOPTION OF UNITS BY LESSEES.—
‘‘(1) IN GENERAL.—For the purpose of more
properly conserving the natural resources of any
geothermal reservoir, field, or like area, or any part
thereof (whether or not any part of the geothermal
field, or like area, is then subject to any Unit Agree-
ment (cooperative plan of development or oper-
ation)), lessees thereof and their representatives may
unite with each other, or jointly or separately with
others, in collectively adopting and operating under
a Unit Agreement for such field, or like area, or any
part thereof including direct use resources, if deter-
mined and certified by the Secretary to be necessary
or advisable in the public interest. A majority inter-
est of lessees under any single lease shall have the
authority to commit that lease to a Unit Agreement.
The Secretary of the Interior may also initiate the
formation of a Unit Agreement, if such action is in
the public interest.
‘‘(2) MODIFICATION OF LEASE REQUIREMENTS
BY SECRETARY.—The Secretary may, in the discre-
tion of the Secretary, and with the consent of the
holders of leases involved, establish, alter, change, or
revoke rates of operations (including drilling, oper-
ations, production, and other requirements) of such
839
leases and make conditions with reference to such
leases, with the consent of the lessees, in connection
with the creation and operation of any such Unit
Agreement as the Secretary may deem necessary or
proper to secure the proper protection of the public
interest. Leases with unlike lease terms or royalty
rates do not need to be modified to be in the same
unit.
‘‘(b) REQUIREMENT
OF
PLANS
UNDER
NEW
LEASES.—The Secretary—
‘‘(1) may provide that geothermal leases issued
under this Act shall contain a provision requiring
the lessee to operate under such a reasonable Unit
Agreement; and
‘‘(2) may prescribe such an Agreement under
which such lessee shall operate, which shall ade-
quately protect the rights of all parties in interest,
including the United States.
‘‘(c) MODIFICATION OF RATE OF PROSPECTING, DE-
VELOPMENT, AND PRODUCTION.—The Secretary may re-
quire that any Agreement authorized by this section that
applies to lands owned by the United States contain a pro-
vision under which authority is vested in the Secretary,
or any person, committee, or State or Federal officer or
agency as may be designated in the Agreement to alter
840
or modify from time to time the rate of prospecting and
development and the quantity and rate of production
under such an Agreement.
‘‘(d) EXCLUSION FROM DETERMINATION OF HOLD-
ING OR CONTROL.—Any lands that are subject to any
Agreement approved or prescribed by the Secretary under
this section shall not be considered in determining hold-
ings or control under any provision of this Act.
‘‘(e) POOLING
OF CERTAIN LANDS.—If separate
tracts of lands cannot be independently developed and op-
erated to use geothermal resources pursuant to any sec-
tion of this Act—
‘‘(1) such lands, or a portion thereof, may be
pooled with other lands, whether or not owned by
the United States, for purposes of development and
operation under a Communitization Agreement pro-
viding for an apportionment of production or royal-
ties among the separate tracts of land comprising
the production unit, if such pooling is determined by
the Secretary to be in the public interest; and
‘‘(2) operation or production pursuant to such
an Agreement shall be treated as operation or pro-
duction with respect to each tract of land that is
subject to the agreement.
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‘‘(f) UNIT AGREEMENT REVIEW.—No more than 5
years after approval of any cooperative or Unit Agreement
and at least every 5 years thereafter, the Secretary shall
review each such Agreement and, after notice and oppor-
tunity for comment, eliminate from inclusion in such
Agreement any lands that the Secretary determines are
not reasonably necessary for Unit operations under the
Agreement. Such elimination shall be based on scientific
evidence, and shall occur only if it is determined by the
Secretary to be for the purpose of conserving and properly
managing the geothermal resource. Any land so eliminated
shall be eligible for an extension under subsection (g) of
section 6 if it meets the requirements for such an exten-
sion.
‘‘(g) DRILLING
OR DEVELOPMENT CONTRACTS.—
The Secretary may, on such conditions as the Secretary
may prescribe, approve drilling or development contracts
made by 1 or more lessees of geothermal leases, with 1
or more persons, associations, or corporations if, in the
discretion of the Secretary, the conservation of natural re-
sources 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 drilling
or development contracts, and interests thereunder, shall