Louisiana Administrative Code › Title 43 - NATURAL RESOURCES › Part I - Office of the Secretary › Subpart 1 - General › Chapter 9 - Mineral Resources › Subchapter A - Mineral Leasing Policy › Section I-902 - Bidding

Current through Register Vol. 50, No. 6, June 20, 2024
A. Bids for state
					 mineral leases shall only be accepted from those parties who are registered
					 prospective leaseholders (having a registration form containing current
					 information regarding the bidder and a current certificate of good standing
					 from the Secretary of State's office indicating prospective bidder is
					 authorized to do business in the state of Louisiana) with the Office of Mineral
					 Resources. Prospective leaseholders must maintain current their registration by
					 notifying the Office of Mineral Resources of any change of information provided
					 on the registration form and prior to January 31 of each year, if applicable,
					 furnishing the Office of Mineral Resources with a copy of a certificate from
					 the Secretary of State's Office indicating the party is in good standing and
					 remains authorized to do business in the state of Louisiana.
B. Bids for state mineral leases shall be
					 accepted at the place named in the advertisement no later than 12 noon on the
					 Tuesday immediately preceding the Wednesday State Mineral Board meeting (unless
					 specially noticed due to holidays).
C. Bids must be in a sealed envelope with the
					 tract number for which the bid is being submitted legibly typed or written on
					 the outside of the envelope. The bid packet shall contain the official state of
					 Louisiana bid form as secured from the website form file, completely and
					 accurately filled out and signed by an authorized agent of the bidder, a
					 cashier's or certified check, or money order made out to the Office of Mineral
					 Resources for the total amount of the cash bonus being bid (which must match
					 exactly the cash bonus written in on the bid form submitted), a check made out
					 to the Office of Mineral Resources for the sum equaling 10 percent of the total
					 cash bonus bid, a check made out to the Office of Mineral Resources for a sum
					 equaling $20 multiplied times the total number of acres being bid on (if bid is
					 on entire tract, then multiply $20 times total tract acreage), a "hard" paper
					 copy of the plat and legal description of a portion bid and a diskette or
					 CD-ROM containing a .dxf file and a word.doc file describing the portion bid
					 (which must match each other and the "hard" copies) and an electronic .pdf file
					 of the plat. Failure to sign the bid form, or a discrepancy between the amount
					 of the cash bonus set forth on the check presented and, if less than, the
					 amount written in on the accompanying bid form, shall invalidate the bid,
					 rendering it unacceptable to the State Mineral Board . Bids once submitted
					 shall not be returned prior to the State Mineral Board meeting for which they
					 were submitted, and then only by permission of the State Mineral Board or if
					 the bid is rejected.
D. Bids shall
					 be opened on the date, and at the time and place specified in the
					 advertisement. If a nominated tract is withdrawn from a particular mineral
					 lease sale by the State Mineral Board for any reason, any bids received on the
					 withdrawn tract shall be returned unopened at the end of the State Mineral
					 Board meeting from which the tract was withdrawn.
E. All bids opened shall be evaluated by the
					 staff of the State Mineral Board and recommendations made as to whether each
					 bid should, or should not, be accepted. The State Mineral Board may then award
					 leases on those bids it deems acceptable-usually at the meeting when the
					 corresponding bids are opened. All bids not accepted shall be returned to the
					 unsuccessful bidder at the end of the meeting at which the bids were
					 opened.
F. Awarded leases are
					 prepared by the staff of the Office of Mineral Resources and sent to the new
					 lessee for signature and recordation in the parish records of the parish(s) in
					 which the lease acreage is located. A fully signed and executed copy of the
					 lease, with recording information, shall then be returned to the Office of
					 Mineral Resources within 20 days of receipt therefrom (failure to so return may
					 result in forfeiture of lease) and shall be filed in the lease records of that
					 office.
G. More particular
					 information with regards to the bidding procedure may be obtained from the
					 Leasing Manual located on the DNR website as set forth hereinabove.
AUTHORITY NOTE:
						Promulgated in accordance with
						R.S.
						36:354(A).