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Current as of January 02, 2025 | Updated by Findlaw Staff
If you have production from a marginal property, ONRR and the State may allow you the following options:
(a) Prepay royalty. ONRR and the State may allow you to make a lump-sum advance payment of royalties instead of monthly royalty payments for the remainder of the lease term. See subpart B for prepayment of royalty requirements.
(b) Take accounting and auditing relief. ONRR and the State may allow various accounting and auditing relief options to encourage you to continue to produce and develop your marginal property. See subpart C for accounting and auditing relief requirements.
Cite this article: FindLaw.com - Code of Federal Regulations Title 30. Mineral Resources § 30.1204.3 What alternatives are available for marginal properties? - last updated January 02, 2025 | https://codes.findlaw.com/cfr/title-30-mineral-resources/cfr-sect-30-1204-3/
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature before relying on it for your legal needs.
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