[Federal Register Volume 66, Number 24 (Monday, February 5, 2001)]
[Notices]
[Pages 8979-8980]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-2979]


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DEPARTMENT OF THE INTERIOR

Minerals Management Service

RIN 1010-AB57


Major Portion Prices and Due Dates for Additional Royalty 
Payments on Indian Gas Production in Designated Areas Not Associated 
With an Index Zone

AGENCY: Minerals Management Service (MMS), Interior.

ACTION: Notice of major portion prices.

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SUMMARY: Final regulations for valuing gas produced from Indian leases, 
published on August 10, 1999, require MMS to determine major portion 
values and notify industry by publishing the values in the Federal 
Register. The regulations also require MMS to publish a due date for 
industry to pay additional royalty based on the major portion value. 
This notice provides the major portion values and due dates for July 
and August 2000 production months.

EFFECTIVE DATES: January 1, 2000.

ADDRESSES: See FOR FURTHER INFORMATION CONTACT section below.

FOR FURTHER INFROMATION CONTACT: John Barder, Indian Oil and Gas 
Compliance Asset Management, MMS; telephone, (303) 275-7234; FAX, (303) 
275-7470; E-mail, [email protected]; mailing address, Minerals 
Management Service, Minerals Revenue Management Indian Oil and Gas 
Compliance Asset Management, P.O. Box 25165, MS 396G3, Denver, Colorado 
80225-0165.

SUPPLEMENTARY INFORMATION: On August 10, 1999, MMS published a final 
rule titled ``Amendments to Gas Valuation Regulations for Indian 
Leases,'' (64 FR 43506) with an effective date of January 1, 2000. The 
gas regulations apply to all gas production from Indian (tribal or 
allotted) oil and gas leases (except leases on the Osage Indian 
Reservation).
    The rule requires that MMS publish major portion prices for each 
designated area not associated with an index zone for each production 
month beginning January 2000 along with a due date for additional 
royalty payments. See 30 CFR 206.174(a)(4)(ii)(64 FR 43520, August 10, 
1999). If additional royalties are due based on a published major 
portion price, the lessee must submit an amended Form MMS-2014, Report 
of Sales and Royalty Remittance, to MMS by the due date. If additional 
royalties are not paid by the due date, late payment interest under 30 
CFR 218.54 (1999) will accrue from the due date until payment is made 
and an amended Form MMS-2014 is received. The table below lists the 
major portion prices for all designated areas not associated with an 
Index Zone and the due date for payment of additional royalties.

          Gas Major Portion Prices and Due Dates for Designated Areas Not Associated With an Index Zone
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          MMS-designated areas                     July 2000                  August 2000            Due date
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Alabama--Coushatta......................  $4.51/MMBtu...............  $4.04/MMBtu...............      02/28/2001
Blackfeet Reservation...................  3.23/MMBtu................  2.82/MMBtu................      02/28/2001

[[Page 8980]]

 
Fort Belknap............................  4.27/MMBtu................  4.13/MMBtu................      02/28/2001
Fort Berthold...........................  2.15/MMBtu................  1.70/MMBtu................      02/28/2001
Fort Peck Reservation...................  2.69/MMBtu................  2.31/MMBtu................      02/28/2001
Navajo Allotted Leases in the Navajo      3.80/MMBtu................  3.42/MMBtu................      02/28/2001
 Reservation.
Rocky Boys Reservation..................  3.02/MMBtu................  2.56/MMBtu................      02/28/2001
Turtle Mountain Reservation.............  1.18/MMBtu................  1.18/MMBtu................      02/28/2001
Ute Allotted Leases in the Uintah and     3.86/MMBtu................  3.15/MMBtu................      02/28/2001
 Ouray Reservation.
Ute Tribal Leases in the Uintah and       3.86/MMBtu................  3.15/MMBtu................      02/28/2001
 Ouray Reservation.
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    For information on how to report additional royalties due to major 
portion prices, please refer to our Dear Payor letter dated December 1, 
1999.

    Dated: January 24, 2001.
Lucy Querques Denett,
Associate Director for Minerals Revenue Management.
[FR Doc. 01-2979 Filed 2-2-01; 8:45 am]
BILLING CODE 4310-MR-P