(17) Requiring the use of Fpv in standard vol-
ume measurement computations as described in the 
1992 American Gas Association Report No. 8 enti-
tled Compressibility Factor of Natural Gas and 
Other Related Hydrocarbon Gases. 
(18) Requiring that gathering lines must be 
constructed so as to have as few angles and turns 
as possible, with a maximum of three angles, before 
they connect with the natural gas meter. 
(19) Requiring that for purposes of reporting 
the royalty value of natural gas, condensate, oil, and 
associated natural gases, such royalty value must be 
based upon the natural gas’s, condensate’s, oil’s, and 
associated natural gases’ arm’s length, independent 
market value, as reported in independent, respected 
market reports such as Platts or Bloombergs, and 
not based upon industry-controlled posted prices. 
(20) Requiring that royalties be paid on all the 
condensate recovered through purging gathering 
lines and pipelines with a cone-shaped device to push 
out condensate (popularly referred to as a pig) and 
on condensate recovered from separators, dehydra-
tors, and processing plants. 
(21) Requiring that all royalty deductions for 
dehydration, treating, natural gas gathering, com-
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pression, transportation, marketing, removal of im-
purities such as carbon dioxide (CO2), nitrogen (N2), 
hydrogen sulphide (H2S), mercaptain (HS), helium 
(He), and other similar charges on natural gas, con-
densate, and oil produced under such leases that are 
now in existence be eliminated. 
(22) Requiring that at all times— 
(A) the quantity, quality, and value ob-
tained for natural gas liquids (condensate) be 
reported to the Secretary; and 
(B) such reported value be based on fair 
independent arm’s length market value. 
(23) Issuance by the Secretary of regulations 
that prohibit venting or flaring (or both) of natural 
gas in cases for which technology exists to reason-
ably prevent it, strict enforcement of such prohibi-
tions, and cancellation of leases for violations. 
(24) Requiring lessees to pay full royalties on 
any natural gas that is vented, flared, or otherwise 
avoidably lost. 
(25)(A) Requiring payment of royalties on car-
bon dioxide at the wellhead used for tertiary oil re-
covery from depleted oil fields on the basis of 5 per-
cent of the West Texas Intermediate crude oil fair 
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market price to be used for one MCF (1,000 cubic 
feet) of carbon dioxide gas. 
(B) Requiring that— 
(i) carbon dioxide used for edible purposes 
should be subjected to a royalty per thousand 
cubic feet (MCF) on the basis of the sales price 
at the downstream delivery point without de-
ducting for removal of impurities, processing, 
transportation, and marketing costs; 
(ii) such price to apply with respect to gas-
eous forms, liquid forms, and solid (dry ice) 
forms of carbon dioxide converted to equivalent 
MCF; and 
(iii) such royalty to apply with respect to 
both a direct producer of carbon dioxide and 
purchases of carbon dioxide from another per-
son that is either affiliated or not affiliated with 
the purchaser. 
(26) Requiring that— 
(A) all carbon dioxide produced from Fed-
eral and Indian leases be analyzed for carcino-
genic benzene; and 
(B) benzene produced with such carbon di-
oxide must be filtered out and removed safely 
as necessary to prevent harm to the environ-
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ment subjected to such benzene content, in 
order to create a maximum permissible level 
(MPL) of 5 parts per billion. 
(27) Requiring that— 
(A) royalties be paid on the fair market 
value of nitrogen extracted from such leases 
that is used industrially for well stimulation, 
helium recovery, or other uses; and 
(B) royalties be paid on the fair market 
value of ultimately processed helium recovered 
from such leases. 
(28) Allowing only 5 percent of the value of the 
elemental sulfur recovered during processing of hy-
drogen sulfide gas from such leases to be deducted 
for processing costs in determining royalty pay-
ments. 
(29) Requiring that all heating content analysis 
of natural gas be conducted to a minimum level of 
C15. 
(30) Eliminating artificial conversion from dry 
BTU to wet BTU, and requiring that natural gas be 
analyzed and royalties paid for at all times on the 
basis of dry BTU only. 
(31) Requiring that natural gas sampling be 
performed at all times with a floating piston cylinder 
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container at the same pressure intake as the pres-
sure of the natural gas gathering line. 
(32) Requiring use of natural gas filters with a 
minimum of 10 microns, and preferably 15 microns, 
both in the intake to natural gas sampling con-
tainers and in the exit from the natural gas sam-
pling containers into the chromatograph. 
(33) Mandate the use of a Quad Unit for both 
portable and stationary chromatographs in order to 
correct for the presence of nitrogen and oxygen, if 
any, in certain natural gas streams. 
(34) Require the calibration of all chro-
matograph equipment every three months and the 
use of only American Gas Association-approved 
standard comparison containers for such calibration. 
(35) Requiring that natural gas stored during 
the summer period and marketed during the winter 
period— 
(A) be sold on the basis of the purchase 
price minus a maximum of $0.50 per MMBTU 
storage charges; or 
(B) be subject to payment of royalties on 
the basis of winter sales price minus $0.50 per 
MMBTU. 
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