Louisiana Administrative Code › Title 43 - NATURAL RESOURCES › Part V - Office of Mineral Resources › Chapter 1 - Geophysical and Geological Surveys › Section V-103 - Exclusive Geophysical Agreements

Current through Register Vol. 50, No. 6, June 20, 2024
A. Exclusive geophysical agreements
				authorized under Title 30, Chapter 3, Sections 208 of the Louisiana Revised
				Statutes of 1950 may be obtained from the State Mineral Board (SMB), through
				the Office of Mineral Resources (OMR).
B. There are three types of Exclusive
				Geophysical Agreements (EGA) which may be secured from the OMR, namely: EGA
				Type I, EGA Type II, and EGA Type III. The following shall apply to all EGA's
				secured hereunder.
1. A party desiring to
				apply for an EGA must first meet with the OMR staff to review the applicant's
				objectives. The purpose of this meeting with the OMR staff is so that the
				applicant can present the area of interest and the type of EGA being requested
				to the staff for review. The staff will determine if an EGA should be granted
				in the area of interest and will also decide under what special conditions, if
				any, the EGA should be considered. The applicant should present at this meeting
				an acceptable base map, such as a Tobin or USGS quadrangle with the proposed
				survey area outlined, with the description set forth in X/Y Lambert coordinates
				using State Plane Coordinate System/ North American Datum 27, Louisiana North
				or South (SPCS/NAD 27, La. N. or S.). Active state leases boundaries should be
				clearly depicted with state lease numbers and acreage within the survey
				indicated. State lands and water bottoms should be clearly outlined, with
				acreage depicted as well. Property under the jurisdiction of the Wildlife and
				Fisheries Commission/Department of Wildlife and Fisheries (WFC/DWF) should also
				be depicted.
2. After the area of
				interest and the type of EGA has been presented to the OMR staff for review,
				the area will be evaluated in order to set the minimum terms. The interested
				party will then be provided with this information. If accepted by the party,
				then these minimums will be recommended to the SMB for its approval.
3. Upon SMB approval, the area to be covered
				by the exclusive geophysical agreement shall be nominated just as a lease. The
				applicant should then apply to the OMR Leasing Section to nominate the area for
				the designated monthly mineral lease sale. A nomination letter, including plat
				and legal description of the area, with an application fee of $400 must be
				submitted according to the date schedule set by the OMR Leasing
				Section.
4. The nominated acreage
				will then be advertised on the same delay basis and in the same manner as lease
				nominations; which advertisement will state a property description of the
				geographical area over which the EGA is to be awarded, the type of EGA sought
				and the minimum per acre seismic fee acceptable to the SMB as a bid, and the
				day, date, time, place of the next State Mineral Lease Sale at which bids will
				be accepted.
5. The term of the EGA
				shall be 18 months with an option for an additional six months, which option
				period shall be granted only upon written request by the bid winner made prior
				to the end of the original 18 month term and upon payment to the Office of
				Mineral Resources in the manner set forth as acceptable herein above of a sum
				of money equal to one-half of the original total fee bid and paid for the
				seismic agreement.
6. EGA
				agreements are awarded by public bid.
7. The EGA awarded shall be subject to, and
				shall not supersede, any existing seismic permits, leases, or other agreements
				of any kind with the state of Louisiana in the nominated area at the time
				awarded, of which all parties are hereby deemed to have notice.
8. The staff of the OMR will be provided
				access to any and all geophysical or geological data including, but not limited
				to, 2-D, 3D seismic, gravity (air or surface), and magnetic (air or surface)
				acquired under the EGA, in a format acceptable to the OMR at the facilities of
				the entity conducting the seismic operations under the EGA or at facilities
				designated by the OMR, during all phases of the seismic operations.
9. The EGA shall be available for the purpose
				of conducting geophysical or geological surveys of any kind for the term and
				area specified in the permit. In the case of 3D seismic, all EGA's require full
				fold 3D coverage over the entirety of the nominated state acreage to the
				fullest extent possible.
10. It
				shall be the responsibility of the grantee to keep OMR informed, in a timely
				manner, of all phases of ongoing operations, including the commencement and
				completion of data acquisition, processing, reprocessing, and other schedules
				of activity affecting the final processed seismic data.
11. Should any said prior agreement terminate
				as to all depths, either fully or partially, before the end of the primary
				term, or the option term, grantee shall have the right to conduct 3D
				geophysical operations on said acreage of the terminated prior agreement
				subject to the following:
a. if grantee has
				already entered into an agreement with the prior agreement party before
				termination and paid for the right to conduct geophysical surveying across the
				acreage subject to the prior agreement, grantee shall not be required to pay
				grantor any further fee to conduct geophysical surveying on said acreage once
				prior agreement has terminated, either totally or in part; but
b. if grantee has not entered into an
				agreement with the prior agreement party, then grantee shall pay grantor an
				additional fee stipulated as the per acre seismic fee at the rate bid for in
				the EGA.