Energy

BLM proposes to reinstate terminated oil and gas lease NMNM105294482 in New Mexico

🇺🇸United States··Notice·Low Impact·View source ↗

AI-generated summary for informational purposes only. Not legal advice. See the original source for the authoritative text.

🇬🇧 English

This notice says the Bureau of Land Management plans to reinstate a terminated oil and gas lease in Lea County, New Mexico after the lessee asked for reinstatement on time, paid the back rent, and met the required fee and notice conditions. The lease would return under the original terms plus higher payments: $20 per acre in annual rent and a 22.75% royalty rate. The practical impact is limited to the leaseholder and anyone tracking oil and gas rights on this tract. BLM also says no other leases currently affect the land, so companies with nearby operations should note that this lease may become active again if the reinstatement is finalized.

AI-generated summary. May contain errors. Refer to official sources for legal decisions.

Key Changes

  • BLM proposes to reinstate terminated lease NMNM105294482.
  • The lessee would pay higher terms: $20 per acre annual rent and a 22.75% royalty.
  • The lease would restart effective September 1, 2023, for the rest of the primary term if finalized.

Obligations

What this law requires

high

FAE II LLC may have the terminated competitive oil and gas lease NMNM105294482 reinstated only if it has timely petitioned for reinstatement, paid the rental accruing from the date of termination, paid the required administration fee, reimbursed the Bureau of Land Management for the cost of publishing the notice, and accepted the amended lease notices and revised lease terms.

Leaseholder (FAE II LLC)
Timely filing of the petition for reinstatement; payment conditions before reinstatement becomes effective
licensing
medium

If reinstated, the leaseholder must pay annual rental at the rate of $20 per acre, or fraction thereof, per year for lease NMNM105294482.

Leaseholder (FAE II LLC)
Annually during the lease term
operational
medium

If reinstated, the leaseholder must pay a royalty rate of 22.75 percent under the revised lease terms.

Leaseholder (FAE II LLC)
When production is subject to royalty payments under the lease
operational
high

The reinstated lease is subject to the original terms and conditions of lease NMNM105294482, as well as amended lease notices and the higher rental and royalty terms stated in the notice.

Leaseholder (FAE II LLC)
Upon reinstatement of the lease
licensing

Affected Parties

FAE II LLCOil and gas operators and rights holders tracking acreage in Lea County, New Mexico

Tags

oil and gas,lease reinstatement,BLM