[Federal Register Volume 68, Number 82 (Tuesday, April 29, 2003)]
[Notices]
[Pages 22734-22736]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-10534]


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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 for the twelve months of 
2001. The due date to pay is July 31, 2003.

EFFECTIVE DATE: January 1, 2000.

ADDRESSES: See FOR FURTHER INFORMATION CONTACT section below.

FOR FURTHER INFORMATION CONTACT: John Barder, Indian Oil and Gas 
Compliance Asset Management, MMS; telephone, (303) 231-3702; FAX, (303) 
231-3755; E-mail, [email protected]; or David Guzy, Indian Oil and 
Gas Compliance Asset Management, MMS; telephone, (303) 231-3432; FAX, 
(303) 231-3755; E-mail, [email protected]; mailing address, Minerals 
Management Service,

[[Page 22735]]

Minerals Revenue Management, Indian Oil and Gas Compliance Asset 
Management, P.O. Box 25165, MS 396B2, 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)(2002). 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 (2002) 
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. The due 
date is July 31, 2003.

          Gas Major Portion Prices and Due Dates for Designated Areas Not Associated With an Index Zone
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                                                        January 2001--      February 2001--      March 2001--
                MMS-Designated areas                        (MMBtu)             (MMBtu)             (MMBtu)
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Alabama-Coushatta...................................              $10.49               $6.62               $5.40
Blackfeet Reservation...............................                8.38                6.74                4.65
Fort Belknap........................................                5.57                5.31                4.72
Fort Berthold.......................................                4.48                3.07                2.81
Fort Peck Reservation...............................                8.30                4.98                3.89
Navajo Allotted Leases in the Navajo Reservation....                8.63                6.06                4.84
Rocky Boys Reservation..............................                8.25                5.66                4.27
Turtle Mountain Reservation.........................                3.24                1.94                1.52
Ute Allotted Leases in the Uintah and Ouray                         9.40                6.86                5.10
 Reservation........................................
Ute Tribal Leases in the Uintah and Ouray                           9.44                6.86                4.78
 Reservation........................................
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                                                         April 2001--
                MMS-Designated areas                        (MMBtu)        May 2001--(MMBtu)  June 2001--(MMBtu)
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Alabama-Coushatta...................................               $5.68               $5.19               $4.17
Blackfeet Reservation...............................                4.54                4.31                3.28
Fort Belknap........................................                4.71                4.66                4.49
Fort Berthold.......................................                2.61                1.94                1.70
Fort Peck Reservation...............................                3.98                3.30                2.48
Navajo Allotted Leases in the Navajo Reservation....                4.65                4.23                3.21
Rocky Boys Reservation..............................                4.38                3.74                2.94
Turtle Mountain Reservation.........................                1.56                1.47                1.47
Ute Allotted Leases in the Uintah and Ouray                         4.49                3.92                2.45
 Reservation........................................
Ute Tribal Leases in the Uintah and Ouray                           4.44                4.07                2.81
 Reservation........................................
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                                                                             August 2001--     September 2001--
                MMS-Designated areas                  July 2001--(MMBtu)        (MMBtu)             (MMBtu)
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Alabama-Coushatta...................................               $3.52               $3.39               $2.54
Blackfeet Reservation...............................                2.51                2.02                1.84
Fort Belknap........................................                4.36                4.34                4.32
Fort Berthold.......................................                1.17                1.27                0.79
Fort Peck Reservation...............................                1.81                2.02                1.62
Navajo Allotted Leases in the Navajo Reservation....                2.33                2.36                2.18
Rocky Boys Reservation..............................                2.35                2.18                1.48
Turtle Mountain Reservation.........................                1.48                1.48                1.47
Ute Allotted Leases in the Uintah and Ouray                         1.71                1.93                1.77
 Reservation........................................
Ute Tribal Leases in the Uintah and Ouray                           2.62                2.66                2.10
 Reservation........................................
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                                                        October 2001--      November 2001--     December 2001--
                MMS-Designated areas                        (MMBtu)             (MMBtu)             (MMBtu)
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Alabama-Coushatta...................................               $2.32               $3.26               $2.53
Blackfeet Reservation...............................                1.27                2.11                2.94
Fort Belknap........................................                4.34                4.34                4.34
Fort Berthold.......................................                0.98                1.17                0.88
Fort Peck Reservation...............................                1.10                2.47                1.94
Navajo Allotted Leases in the Navajo Reservation....                1.46                2.61                2.09
Rocky Boys Reservation..............................                 .98                2.32                1.60

[[Page 22736]]

 
Turtle Mountain Reservation.........................                1.47                1.47                1.47
Ute Allotted Leases in the Uintah and Ouray                         0.90                2.32
 Reservation........................................
Ute Tribal Leases in the Uintah and Ouray                           0.84                2.30                1.78
 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 on the MMS Web site address @http://www.mrm.mms.gov/TribServ/MonMajPP.htm.

    Dated: April 9, 2003.
Lucy Querques Denett,
Associate Director for Minerals Revenue Management.
[FR Doc. 03-10534 Filed 4-28-03; 8:45 am]
BILLING CODE 4310-MR-P