[Federal Register Volume 73, Number 127 (Tuesday, July 1, 2008)]
[Notices]
[Pages 37472-37475]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-14892]


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DEPARTMENT OF THE INTERIOR

Minerals Management Service

[Docket No. MMS-2007-OMM-0075]


MMS Information Collection Activity: 1010-0068--30 CFR Part 250, 
Subpart M, Unitization, Extension of a Collection; Submitted for Office 
of Management and Budget (OMB) Review; Comment Request

AGENCY: Minerals Management Service (MMS), Interior.

ACTION: Notice of extension of an information collection (1010-0068).

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SUMMARY: To comply with the Paperwork Reduction Act of 1995 (PRA), we 
are notifying the public that we have submitted to OMB an information 
collection request (ICR) to renew approval of the paperwork 
requirements in the regulations under 30 CFR 250, Subpart M, 
Unitization. This notice also provides the public a second opportunity 
to comment on the paperwork burden of these regulatory requirements.

DATE: Submit written comments by July 31, 2008.

ADDRESSES: You should submit comments directly to the Office of 
Information and Regulatory Affairs, OMB, Attention: Desk Officer for 
the Department of the Interior (1010-0141), either by fax (202) 395-
6566 or e-mail ([email protected]).
    Please also send a copy to MMS by either of the following methods:
     http://www.regulations.gov. Under the tab ``More Search 
Options,'' click Advanced Docket Search, then select ``Minerals 
Management Service'' from the agency drop-down menu, then click 
``submit.'' In the Docket ID column, select MMS-2007-OMM-0075 to submit 
public comments and to view supporting and related materials available 
for this rulemaking. Information on using Regulations.gov, including 
instructions for accessing documents, submitting comments, and viewing 
the docket after the close of the comment period, is available through 
the site's ``User Tips'' link. The MMS will post all comments.
     Mail or hand-carry comments to the Department of the 
Interior; Minerals Management Service; Attention: Cheryl Blundon; 381 
Elden Street, MS-4024; Herndon, Virginia 20170-4817. Please reference 
``Information Collection 1010-0068'' in your subject line and mark your 
message for return receipt. Include your name and return address in 
your message text.

FOR FURTHER INFORMATION CONTACT: Cheryl Blundon, Regulations and 
Standards Branch, (703) 787-1607. You may also contact Cheryl Blundon 
to obtain a copy, at no cost, of the regulations that require the 
subject collection of information.

SUPPLEMENTARY INFORMATION:
    Title: 30 CFR 250, Subpart M, Unitization.
    OMB Control Number: 1010-0068.
    Abstract: The Outer Continental Shelf (OCS) Lands Act, as amended 
(43 U.S.C. 1331 et seq. and 43 U.S.C. 1801 et seq.), authorizes the 
Secretary of the Interior (Secretary) to prescribe rules and 
regulations to administer leasing of the OCS. Such rules and 
regulations will apply to all operations conducted under a lease. 
Operations on the OCS must preserve, protect, and develop oil and 
natural gas resources in a manner that is consistent with the need to 
make such resources available to meet the Nation's energy needs as 
rapidly as possible; to balance orderly energy resource development 
with protection of human, marine, and coastal environments; to

[[Page 37473]]

ensure the public a fair and equitable return on the resources of the 
OCS; and to preserve and maintain free enterprise competition. Section 
1334(a) specifies that the Secretary ``provide for the prevention of 
waste and conservation of the natural resources of the [O]uter 
Continental Shelf, and the protection of correlative rights therein'' 
and include provisions for ``unitization, pooling, and drilling 
agreements.''
    Regulations implementing these responsibilities are under 30 CFR 
Part 250, Subpart M, Unitization. Responses are mandatory and generally 
on occasion or they are required to obtain or retain a benefit. No 
questions of a ``sensitive'' nature are asked. The MMS protects 
information considered proprietary according to the Freedom of 
Information Act (5 U.S.C. 552) and its implementing regulations (43 CFR 
2), and 30 CFR 250.197, ``Data and information to be made available to 
the public or for limited inspection,'' and 30 CFR Part 252, ``OCS Oil 
and Gas Information Program.''
    The MMS Regional Supervisor must approve any lessee's proposal to 
enter an agreement to unitize operations under two or more leases. We 
must also approve modification of a unit agreement when changes in 
circumstances warrant. We encourage unitization of operations on OCS 
leases where unitized operations will further exploration of 
prospective geological structures; increase the ultimate recovery of 
oil and gas or sulphur reserves; lead to more efficient operation of 
leases and reservoirs; and/or is necessary to protect correlative 
rights. Unitization can be particularly beneficial in high-cost, high-
risk OCS areas. Lessees submit consolidated Exploration Plans and 
Development and Production Plans for a unit area. We use the 
information to ensure that operations under the proposed unit agreement 
will result in preventing waste, conserving natural resources, and 
protecting correlative rights including the government's interests. We 
need to review all pertinent data before determining competitiveness of 
a reservoir or deciding that compelling unitization will achieve the 
desired results.
    Frequency: On occasion.
    Estimated Number and Description of Respondents: Approximately 130 
respondents (Federal oil and gas OCS lessees).
    Estimated Reporting and Recordkeeping ``Hour'' Burden: The 
estimated annual ``hour'' burden for this information collection is a 
total of 4,913 hours. The following chart details the individual 
components and estimated hour burdens. In calculating the burdens, we 
assumed that respondents perform certain requirements in the normal 
course of their activities. We consider these to be usual and customary 
and took that into account in estimating the burden.

----------------------------------------------------------------------------------------------------------------
                                                                                Average number     Annual burden
  Citation 30 CFR 250 Subpart M      Reporting requirement     Hour burden    annual  responses        hours
----------------------------------------------------------------------------------------------------------------
                                                                            Non-hour cost burdens
----------------------------------------------------------------------------------------------------------------
                                                    Requests
----------------------------------------------------------------------------------------------------------------
1301(d), (f)(3), (g)(1),           Request suspension of         Burden covered in 1010-0114.                  0
 (g)(2)(ii).                        production or
                                    operations.
                                                            ----------------------------------------------------
1302(b)..........................  Request preliminary                   39  1 request..........              39
                                    determination on
                                    competitive reservoir.
1304(b)..........................  Request compulsory                   161  1 request..........             161
                                    unitization, including
                                    submitting unit
                                    agreement, unit
                                    operating agreement,
                                    initial plan of
                                    operation, and
                                    supporting data;
                                    serving non-consenting
                                    lessees with documents.
1304(d)..........................  Request hearing on                     1  1 request..........               1
                                    required unitization.
                                                            ----------------------------------------------------
    Subtotal.....................  ........................  ..............  3 responses........             201
----------------------------------------------------------------------------------------------------------------
                                                   Submittals
----------------------------------------------------------------------------------------------------------------
1302(b)..........................  Submit concurrence or                 39  1 request..........              39
                                    objection on
                                    competitiveness with
                                    supporting evidence.
1302(c), (d).....................  Submit joint plan of                  39  1 plan.............              39
                                    operations,
                                    supplemental plans, or
                                    a separate plan if
                                    agreement cannot be
                                    reached.
1303; 1304.......................  *Submit revisions or                   8  54 revs/mods.......             432
                                    modifications to unit
                                    agreement, unit
                                    operating agreement,
                                    plan of operation,
                                    change of unit
                                    operator, etc.
                                                            ----------------------------------------------------
                                                              $760 fees x 54 revisions/modifications = $41,040.
                                                            ----------------------------------------------------
1303; 1304.......................  *Submit initial, and                  48  24 submissions.....           1,152
                                    revisions to,
                                    participating area.
1304(e)..........................  Submit statement at                    5  1 statement........               5
                                    hearing on compulsory
                                    unitization.
1304(e)..........................  Pay for and submit three               1  1 submission.......               1
                                    copies of verbatim
                                    transcript of hearing.
                                                            ----------------------------------------------------
                                                                 Court reporter and 3 transcript copies for 1
                                                                               hearing = $500.
                                                            ----------------------------------------------------
    Subtotal.....................  ........................  ..............  82 responses.......           1,668
                                                            ----------------------------------------------------
                                                                                 $41,540 non-hour cost burdens
----------------------------------------------------------------------------------------------------------------

[[Page 37474]]

 
                                                     General
----------------------------------------------------------------------------------------------------------------
1301.............................  General description of      Burden included in the following                0
                                    requirements.                         sections.
                                                            ----------------------------------------------------
1303.............................  Apply for voluntary                  169  18 apps/plans......           3,042
                                    unitization, including
                                    submitting unit
                                    agreement, unit
                                    operating agreement,
                                    initial plan of
                                    operation, and
                                    supporting data;
                                    request for variance
                                    from model agreement
                                    and other related
                                    requirements.
                                                            ----------------------------------------------------
                                                                $10,700 fee x 18 applications/plans = $192,600.
                                                            ----------------------------------------------------
                                                               Due to ongoing litigation in the Pacific Region,
                                                                   respondents did not submit burden data.
                                                            ----------------------------------------------------
1304(f)..........................  Appeal final order of          Exempt as defined in 5 CFR                   0
                                    compulsory unitization.           1320.4(a)(2), (c).
                                                            ----------------------------------------------------
1300-1304........................  General departure and                  1  2 requests.........               2
                                    alternative compliance
                                    requests not
                                    specifically covered
                                    elsewhere in subpart M
                                    regulations.
----------------------------------------------------------------------------------------------------------------
    Subtotal.....................  ........................  ..............  20 responses.......           3,044
                                                            ----------------------------------------------------
                                                                                 $192,600 non-hour cost burden
                                                            ----------------------------------------------------
    Total Burden.................  ........................  ..............  105 responses......           4,913
                                                            ----------------------------------------------------
                                                                                $234,140 Non-Hour Cost Burdens
----------------------------------------------------------------------------------------------------------------

    Estimated Reporting and Recordkeeping ``Non-Hour Cost'' Burden: 
There are three non-hour costs associated with this information 
collection. The estimated non-hour cost burden is $234,140. Section 
250.1303 has two fees requiring respondents to pay a filing fee when 
applying for a voluntary unitization proposal or unit expansion, and a 
fee for unitization revision. The filing fees are required to recover 
the Federal Government's processing costs. Section 250.1304(d) provides 
an opportunity for parties notified of compulsory unitization to 
request a hearing; therefore, section 250.1304(e) requires the party 
seeking the compulsory unitization to pay for the court reporter and 
copies of the verbatim transcript of the hearing. It should be noted 
there have been no such hearings in the recent past, and none are 
expected in the near future. We estimate that the burden would be less 
than $500 to reproduce the copies and hire the reporter. We have not 
identified any other ``non-hour cost'' burdens associated with this 
collection of information.
    Public Disclosure Statement: The PRA (44 U.S.C. 3501, et seq.) 
provides that an agency may not conduct or sponsor a collection of 
information unless it displays a currently valid OMB control number. 
Until OMB approves a collection of information, you are not obligated 
to respond.
    Comments: Section 3506(c)(2)(A) of the PRA (44 U.S.C. 3501, et 
seq.) requires each agency `` * * * to provide notice * * * and 
otherwise consult with members of the public and affected agencies 
concerning each proposed collection of information * * *'' Agencies 
must specifically solicit comments to: (a) Evaluate whether the 
proposed collection of information is necessary for the agency to 
perform its duties, including whether the information is useful; (b) 
evaluate the accuracy of the agency's estimate of the burden of the 
proposed collection of information; (c) enhance the quality, 
usefulness, and clarity of the information to be collected; and (d) 
minimize the burden on the respondents, including the use of automated 
collection techniques or other forms of information technology.
    To comply with the public consultation process, on December 26, 
2007, we published a Federal Register notice (72 FR 73041) announcing 
that we would submit this ICR to OMB for approval. The notice provided 
the required 60-day comment period. In addition, Sec.  250.199 provides 
the OMB control number for the information collection requirements 
imposed by the 30 CFR 250 regulations. The regulation also informs the 
public that they may comment at any time on the collections of 
information and provides the address to which they should send 
comments. We received one comment in response to these efforts from a 
private citizen, B. Sachau, and the comment was not germane to the 
paperwork burden of this collection.
    If you wish to comment in response to this notice, you may send 
your comments to the offices listed under the ADDRESSES section of this 
notice. The OMB has up to 60 days to approve or disapprove the 
information collection but may respond after 30 days. Therefore, to 
ensure maximum consideration, OMB should receive public comments by 
July 31, 2008.
    Public Availability of Comments: Before including your address, 
phone number, e-mail address, or other personal identifying information 
in your comment, you should be aware that your entire comment--
including your personal identifying information--may be made publicly 
available at any time. While you can ask us in your comment to withhold 
your personal identifying information from public review, we cannot 
guarantee that we will be able to do so.
    MMS Information Collection Clearance Officer: Arlene Bajusz (202) 
208-7744.


[[Page 37475]]


    April 23, 2008.
E.P. Danenberger,
Chief, Office of Offshore Regulatory Programs.
[FR Doc. E8-14892 Filed 6-30-08; 8:45 am]
BILLING CODE 4310-MR-P