[Federal Register Volume 62, Number 169 (Tuesday, September 2, 1997)]
[Notices]
[Pages 46370-46371]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-23125]


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DEPARTMENT OF THE INTERIOR

Minerals Management Service, Interior


Agency Information Collection Activities: Proposed Collection; 
Comment Request

AGENCY: Minerals Management Service, DOI.

ACTION: Notice of information collection solicitation.

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SUMMARY: Under the Paperwork Reduction Act of 1995, the Minerals 
Management Service (MMS) is soliciting comments on an information 
collection, Application for the Purchase of Royalty Oil (OMB Control 
Number 1010-0042, Form MMS-4070), which expires on January 31, 1998.

FORM: MMS-4070, Application for the Purchase of Royalty Oil.

DATES: Written comments should be received on or before November 3, 
1997.

ADDRESSES: Comments sent via the U.S. Postal Service should be sent to 
Minerals Management Service, Royalty Management Program, Rules and 
Publications Staff, P.O. Box 25165, MS 3021, Denver, Colorado 80225-
0165; courier address is Building 85, Room A-212, Denver Federal 
Center, Denver, Colorado 80225; e:mail address is David__G[email protected].

FOR FURTHER INFORMATION CONTACT: Dennis C. Jones, Rules and 
Publications Staff, phone (303) 231-3046, FAX (303) 231-3385, e-mail 
Dennis__C__J[email protected].

SUPPLEMENTARY INFORMATION: In compliance with the Paperwork Reduction 
Act of 1995, Section 3506 (c)(2)(A), we are notifying you, members of 
the public and affected agencies, of this collection of information, 
including Form MMS-4070, which expires January 31, 1998. We are 
requesting OMB approval for a three year extension of this existing 
collection authority. Is this information collection necessary for us 
to properly do our job? Have we accurately estimated the industry 
burden for responding to this collection? Can we enhance the quality, 
utility, and clarity of the information we collect? Can we lessen the 
burden of this information collection on the respondents by using 
automated collection techniques or other forms of information 
technology?
    Section 36 of the Mineral Lands Leasing Act of 1920, as amended (30 
U.S.C. 192), and Section 27 of the Outer Continental Shelf (OCS) Lands 
Act of 1953, as amended (43 U.S.C. 1353), authorize the Secretary of 
the Interior to sell royalty oil accruing to the United States from oil 
and gas leases issued pursuant to those acts. ``Royalty oil'' is crude 
oil produced from leased Federal lands, both onshore and offshore, in 
instances in which the Government exercises the option to accept a 
lessee's royalty payment in oil rather than in money. Title to the oil 
is transferred to the Government and then sold to an eligible refiner. 
When the Secretary determines that small refiners do not have access to 
adequate supplies of oil, the Secretary may dispose of any oil taken as 
royalty by conducting a sale of such oil, or by allocating it to 
eligible refiners. The Minerals Management Service (MMS) performs the 
royalty management functions on behalf of the Secretary.
    Regulations at 30 CFR 208 describe the information collections 
required by the RIK program. When the Secretary decides to offer 
royalty oil taken in kind for sale to eligible refiners, MMS will 
publish a Notice of Availability of Royalty Oil in the Federal 
Register, and other printed media, when appropriate. The Notice 
includes administrative details concerning the application, allocation, 
and contract award process

[[Page 46371]]

for the royalty oil. Form MMS-4070, Application for the Purchase of 
Royalty Oil, is submitted by refiners interested in purchasing royalty 
oil in accordance with instructions in the Notice, and with 
instructions issued by MMS for completion of the form. The information 
collected is used by MMS to determine if the applicant meets 
eligibility requirements to contract to purchase royalty oil. 
Information collected also provides a basis for the allocation of 
available royalty oil among qualified refiners. Applicants are required 
to submit a letter of intent from a qualified financial institution 
stating that the applicant will be granted surety coverage for the 
royalty oil. The letter of intent must accompany Form MMS-4070.
    The Government's administration of the royalty oil program is aided 
significantly by the collection of information requested on Form MMS-
4070. Form MMS-4070 is used to determine the eligibility of refiners 
wishing to enter into contracts to purchase royalty oil. The form 
requires:
    (1) The name and address of the applicant;
    (2) Number of persons employed by applicant's firm (offshore sale 
only);
    (3) A disclosure of any affiliation with other companies;
    (4) Capacity and location of the applicant's refineries;
    (5) Identification of contract numbers (if any) under which the 
applicant currently receives royalty oil;
    (6) Preference eligibility request;
    (7) Locations where the applicant proposes to purchase royalty oil, 
and the volume of oil requested;
    (8) Authorized signature attesting to the accuracy of information 
supplied; and
    (9) Name of the preparer.
    Activity in the RIK program depends on the number of refiners 
expressing a need for supplies of oil and the Secretary authorizing a 
sale of royalty oil. We estimate that the annual burden to the industry 
is 25 hours, assuming that an RIK sale will occur, that 20 applicants 
will submit Form MMS-4070, and that each application requires 
approximately 1 hour to prepare and \1/4\ hour for associated 
recordkeeping (20 applicants  x  1\1/4\ hours=25 burden hours).

    Dated: August 25, 1997.
Lucy Querques Denett,
Associate Director for Royalty Management.
[FR Doc. 97-23125 Filed 8-29-97; 8:45 am]
BILLING CODE 4310-MR-P