Outer Continental Shelf (OCS) Central Gulf of Mexico (GOM) Oil and Gas Lease Sale 194, 7300-7303 [05-2770]
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Federal Register / Vol. 70, No. 28 / Friday, February 11, 2005 / Notices
advance notification, please direct faxed
protests to the attention of the BLM
protest coordinator at 202–452–5112
and emails to Brenda_HudgensWilliams@blm.gov. Please direct the
follow-up letter to the appropriate
address provided below. To be
considered complete, your protest must
contain (at minimum) the following
information:
(1) Name, mailing address, telephone
number and the affected interest of the
person filing the protest(s).
(2) A statement of the part or parts of
the proposed plan and issues being
protested. To the extent possible, this
should be done by reference specific
pages, paragraphs, and sections of the
FEIS.
(3) A copy of all documents
addressing the issue or issues which
were submitted during the planning
process or a reference to the date the
issue or issues were discussed by the
person participating for the record.
(4) A concise statement explaining
why the proposed decision is believed
to be incorrect. This is a critical part of
your protest. Document all relevant
facts, as much as possible. A protest
merely expressing disagreement with
the State Director’s proposed decision
without providing any supporting data
will not be considered a valid protest.
All protests must be in writing and
mailed to the following address:
Regular Mail: Director, WO–210/LS–
1075, Bureau of Land Management,
Attn: Brenda Hudgens-Williams,
Department of the Interior, P.O. Box
66538, Washington DC, 20240.
Overnight Mail: Director, WO–210/LS–
1075, Bureau of Land Management,
Attn: Brenda Hudgens-Williams,
Department of Interior, 1620 L Street
NW., Suite 1075, Washington, DC
20036.
To be considered timely, your protest
must be postmarked no later than the
last day of the protest period. Though
not a requirement, we suggest you send
your protest by certified mail, return
receipt requested. You are also
encouraged, but not required, to forward
a copy of your protest to the Project
Manager at the address listed below.
This may allow us to resolve the protest
through clarification of intent or
alternative dispute resolution methods.
Please note that comments and
protests, including names and street
addresses, are available for public
review and/or release under the
Freedom of Information Act (FOIA).
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Individual respondents may request
confidentiality. Respondents who wish
to withhold name and/or street address
from public review or from disclosure
under FOIA, must state this
prominently at the beginning of the
written comment. Such request will be
honored to the extent allowed by law.
All submissions from organizations or
businesses, and from individuals
identifying themselves as
representatives or official organizations
or business, will be made available for
public inspection in their entirety.
The Director will promptly render a
decision on the protest. This decision
will be in writing and will be sent to the
protesting party by certified mail, return
receipt requested. The decision of the
Director shall be the final decision of
the Department of the Interior.
Timothy B. Reuwsaat,
Medford District Manager, Bureau of Land
Management.
[FR Doc. 05–2634 Filed 2–10–05; 8:45 am]
BILLING CODE 4310–33–P
DEPARTMENT OF THE INTERIOR
Minerals Management Service
Outer Continental Shelf (OCS) Central
Gulf of Mexico (GOM) Oil and Gas
Lease Sale 194
AGENCY:
Minerals Management Service,
Interior.
Final Notice of Sale (FNOS) 194.
ACTION:
SUMMARY: On March 16, 2005, the MMS
will open and publicly announce bids
received for blocks offered in Central
GOM Oil and Gas Lease Sale 194,
pursuant to the OCS Lands Act (43
U.S.C. 1331–1356, as amended) and the
regulations issued thereunder (30 CFR
part 256).
The Final Notice of Sale 194 Package
(FNOS 194 Package) contains
information essential to bidders, and
bidders are charged with the knowledge
of the documents contained in the
Package.
DATES: Public bid reading will begin at
9 a.m., Wednesday, March 16, 2005, in
the Hyatt Regency Conference Center
(Cabildo Rooms), 500 Poydras Plaza,
New Orleans, Louisiana. All times
referred to in this document are local
New Orleans times, unless otherwise
specified.
ADDRESSES: Bidders can obtain an FNOS
194 Package containing this Notice of
Sale and several supporting and
essential documents referenced herein
from the MMS Gulf of Mexico Region
Public Information Unit, 1201 Elmwood
Park Boulevard, New Orleans, Louisiana
70123–2394, (504) 736–2519 or (800)
200–GULF, or via the MMS Internet
Web site at https://www.mms.gov.
Filing Of Bids: Bidders must submit
sealed bids to the Regional Director
(RD), MMS Gulf of Mexico Region, 1201
Elmwood Park Boulevard, New Orleans,
Louisiana 70123–2394, between 8 a.m.
and 4 p.m. on normal working days, and
from 8 a.m. to the Bid Submission
Deadline of 10 a.m. on Tuesday, March
15, 2005. If the bids are mailed, please
address the envelope containing all of
the sealed bids as follows:
Attention: Supervisor, Sales and
Support Unit (MS 5422), Leasing
Activities Section, MMS Gulf of Mexico
Region, 1201 Elmwood Park Boulevard,
New Orleans, Louisiana 70123–2394.
Contains Sealed Bids for Oil and Gas
Lease Sale 194.
Please Deliver to Ms. Jane Burrell
Johnson, Room 311, Immediately.
Please note: Bidders mailing their bid(s)
are advised to call Ms. Jane Burrell Johnson
(504) 736–2811 immediately after putting
their bid(s) in the mail.
If the Regional Director receives bids
later than the time and date specified
above, he will return those bids
unopened to bidders. Bidders may not
modify or withdraw their bids unless
the RD receives a written modification
or written withdrawal request prior to
10 a.m. on Tuesday, March 15, 2005.
Should an unexpected event such as
flooding or travel restrictions be
significantly disruptive to bid
submission, the MMS Gulf of Mexico
Region may extend the Bid Submission
Deadline. Bidders may call (504) 736–
0557 for information about the possible
extension of the Bid Submission
Deadline due to such an event.
Areas Offered for Leasing: The MMS
is offering for leasing all blocks and
partial blocks listed in the document
‘‘Blocks Available for Leasing in Central
GOM Oil and Gas Lease Sale 194’’
included in the FNOS 194 Package. All
of these blocks are shown on the
following Leasing Maps and Official
Protraction Diagrams (which may be
purchased from the MMS Gulf of
Mexico Region Public Information
Unit):
Outer Continental Shelf Leasing Maps—Louisiana Map Numbers 1 through 12 (These 30 maps sell for $2.00 each.)
West Cameron Area (Revised November 1, 2000).
West Cameron Area, West Addition (Revised November 1, 2000).
West Cameron Area, South Addition (Revised November 1, 2000).
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NG15–03
NG15–06
NG15–09
NG16–01
NG16–04
NG16–07
NH15–12
NH16–04
NH16–07
NH16–10
East Cameron Area (Revised November 1, 2000).
East Cameron Area, South Addition (Revised November 1, 2000).
Vermilion Area (Revised November 1, 2000).
South Marsh Island Area (Revised November 1, 2000).
Vermilion Area, South Addition (Revised November 1, 2000).
South Marsh Island Area, South Addition (Revised November 1, 2000).
South Marsh Island Area, North Addition (Revised November 1, 2000).
Eugene Island Area (Revised November 1, 2000).
Eugene Island Area, South Addition (Revised November 1, 2000).
Ship Shoal Area (Revised November 1, 2000).
Ship Shoal Area, South Addition (Revised November 1, 2000).
South Timbalier Area (Revised November 1, 2000).
South Timbalier Area, South Addition (Revised November 1, 2000).
South Pelto Area (Revised November 1, 2000).
Bay Marchand Area (Revised November 1, 2000).
Grand Isle Area (Revised November 1, 2000).
Grand Isle Area, South Addition (Revised February 17, 2004).
West Delta Area (Revised November 1, 2000).
West Delta Area, South Addition (Revised November 1, 2000).
South Pass Area (Revised November 1, 2000).
South Pass Area, South and East Addition (Revised November 1, 2000).
Main Pass Area (Revised November 1, 2000).
Main Pass Area, South and East Addition (Revised November 1, 2000).
Breton Sound Area (Revised November 1, 2000).
Chandeleur Area (Revised November 1, 2000).
Chandeleur Area, East Addition (Revised November 1, 2000).
Sabine Pass Area (Revised November 1, 2000).
Outer Continental Shelf Official Protraction Diagrams (These 10 diagrams sell for $2.00 each.)
Green Canyon (Revised November 1, 2000).
Walker Ridge (Revised November 1, 2000).
Amery Terrace (Revised October 25, 2000).
Atwater Valley (Revised November 1, 2000).
Lund (Revised November 1, 2000).
Lund South (Revised November 1, 2000).
Ewing Bank (Revised November 1, 2000).
Mobile (Revised November 1, 2000).
Viosca Knoll (Revised November 1, 2000).
Mississippi Canyon (Revised November 1, 2000).
Please Note: A CD–ROM (in ARC/INFO
and Acrobat (pdf) format) containing all of
the GOM Leasing Maps and Official
Protraction Diagrams, except for those not yet
converted to digital format, is available from
the MMS Gulf of Mexico Region Public
Information Unit for a price of $15. For the
current status of all Central GOM Leasing
Maps and Official Protraction Diagrams,
please refer to 66 FR 28002 (published May
21, 2001) and 69 FR 23211 (published April
28, 2004). In addition, Supplemental Official
OCS Block Diagrams (SOBDs) for these
blocks are available for blocks which contain
the ‘‘U.S. 200 Nautical Mile Limit’’ line and
the ‘‘U.S.-Mexico Maritime Boundary’’ line.
These SOBDs are also available from the
MMS Gulf of Mexico Region Public
Information Unit. For additional information,
please call Ms. Tara Montgomery (504) 736–
5722.
All blocks are shown on these Leasing
Maps and Official Protraction Diagrams.
The available Federal acreage of all
whole and partial blocks in this lease
sale is shown in the document ‘‘List of
Blocks Available for Leasing in Lease
Sale 194’’ included in the FNOS 194
Package. Some of these blocks may be
partially leased or transected by
administrative lines such as the Federal/
State jurisdictional line. A bid on a
block must include all of the available
Federal acreage of that block. Also,
information on the unleased portions of
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such blocks is found in the document
‘‘Central Gulf of Mexico Lease Sale
194—Unleased Split Blocks and
Available Unleased Acreage of Blocks
with Aliquots and Irregular Portions
Under Lease or Deferred’’ included in
the FNOS 194 Package.
Areas Not Available for Leasing: The
following whole and partial blocks are
not offered for lease in this lease sale:
• Blocks which are beyond the
United States Exclusive Economic Zone
in the area known as the Northern
portion of the Eastern Gap:
Lund South (Area NG16–07)
Blocks: 172 and 173; 213 through 217;
252 through 261; 296 through 305;
349
• Whole and partial blocks which lie
within the 1.4 nautical mile buffer zone
north of the continental shelf boundary
between the United States and Mexico:
Amery Terrace (Area NG15–09)
Whole Blocks: 280 and 281; 318 through
320; 355 through 359
Partial Blocks: 235 through 238; 273
through 279; 309 through 317
Statutes and Regulations: Each lease
issued in this lease sale is subject to the
OCS Lands Act of August 7, 1953, 67
Stat. 462; 43 U.S.C. 1331 et seq., as
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amended (92 Stat. 629), hereinafter
called ‘‘the Act’’; all regulations issued
pursuant to the Act and in existence
upon the Effective Date of the lease; all
regulations issued pursuant to the
statute in the future which provide for
the prevention of waste and
conservation of the natural resources of
the OCS and the protection of
correlative rights therein; and all other
applicable statutes and regulations.
Lease Terms and Conditions: Initial
period, extensions of initial period,
minimum bonus bid amount, rental
rates, royalty rates, minimum royalty,
and royalty suspension areas are shown
on the map ‘‘Lease Terms and Economic
Conditions, Lease Sale 194, Final’’ for
leases resulting from this lease sale:
Initial Period: 5 years for blocks in
water depths of less than 400 meters; 8
years for blocks in water depths of 400
to less than 800 meters; and 10 years for
blocks in water depths of 800 meters or
deeper;
Extensions of Initial Period:
Extensions may be granted for eligible
leases on blocks in water depths less
than 400 meters as specified in NTL No.
2000–G22;
Minimum Bonus Bid Amount: A
bonus bid will not be considered for
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acceptance unless it provides for a cash
bonus in the amount of $25 or more per
acre or fraction thereof for blocks in
water depths of less than 400 meters or
$37.50 or more per acre or fraction
thereof for blocks in water depths of 400
meters or deeper; see ‘‘List of Blocks
Available for Leasing’’ contained in the
FNOS 194 Package to confirm the exact
calculation of the minimum bonus bid
amount for each block;
Rental Rates: $5 per acre or fraction
thereof for blocks in water depths of less
than 200 meters and $7.50 per acre or
fraction thereof for blocks in water
depths of 200 meters or deeper, to be
paid on or before the first day of each
lease year until a discovery in paying
quantities of oil or gas, then at the
expiration of each lease year until the
start of royalty-bearing production;
Royalty Rates: 16–2/3 percent royalty
rate for blocks in water depths of less
than 400 meters and a 12–1/2 percent
royalty rate for blocks in water depths
of 400 meters or deeper, except during
periods of royalty suspension, to be paid
monthly on the last day of the month
next following the month during which
the production is obtained;
Minimum Royalty: After the start of
royalty-bearing production: $5 per acre
or fraction thereof per year for blocks in
water depths of less than 200 meters
and $7.50 per acre or fraction thereof
per year for blocks in water depths of
200 meters or deeper, to be paid at the
expiration of each lease year with credit
applied for actual royalty paid during
the lease year. If actual royalty paid
exceeds the minimum royalty
requirement, then no minimum royalty
payment is due;
Royalty Suspension Areas: Royalty
suspension, subject to deep gas price
thresholds, will apply to blocks in water
depths less than 200 meters where deep
gas (typically 15,000 feet or greater
subsea) is drilled and commences
production before May 3, 2009. In
addition, subject to both oil and gas
price thresholds, royalty suspension
will apply in water depths of 400 meters
or deeper. See the map ‘‘Lease Terms
and Economic Conditions, Lease Sale
194, Final’’ for specific areas and the
‘‘Royalty Suspension Provisions, Lease
Sale 194, Final’’ document contained in
the FNOS 194 Package for specific
details regarding royalty suspension
eligibility, applicable price thresholds
and implementation.
Lease Stipulations: One or more of
eight lease stipulations apply: (1)
Topographic Features; (2) Live Bottoms;
(3) Military Areas; (4) Blocks South of
Baldwin County, Alabama; (5) Law of
the Sea Convention Royalty Payment;
(6) Protected Species; (7) Limitation on
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Use of Seabed and Water Column in the
Vicinity of an Approved Offshore
Liquefied Natural Gas (LNG) Deepwater
Port Receiving Terminal; and (8) Below
Seabed Operations on Mississippi
Canyon Block 920. Please see the
‘‘Stipulations and Deferred Blocks,
Lease Sale 194, Final’’ map. The texts of
the lease stipulations are contained in
the document ‘‘Lease Stipulations for
Oil and Gas Lease Sale 194, Final’’
included in the FNOS 194 Package.
Information to Lessees: The FNOS 194
Package contains an ‘‘Information To
Lessees’’ document which provides
detailed information on certain specific
issues pertaining to this oil and gas
lease sale.
Method of Bidding: For each block bid
upon, a bidder must submit a separate
signed bid in a sealed envelope labeled
‘‘Sealed Bid for Oil and Gas Lease Sale
194, not to be opened until 9 a.m.,
Wednesday, March 16, 2005.’’ The total
amount of the bid must be in a whole
dollar amount; any cent amount above
the whole dollar will be ignored by the
MMS. Details of the information
required on the bid(s) and the bid
envelope(s) are specified in the
document ‘‘Bid Form and Envelope’’
contained in the FNOS 194 Package.
The MMS published in the Federal
Register a list of restricted joint bidders,
which applies to this lease sale, at 69 FR
61402 on October 18, 2004. Bidders
must execute all documents in
conformance with signatory
authorizations on file in the MMS Gulf
of Mexico Region Adjudication Unit.
Partnerships also must submit or have
on file a list of signatories authorized to
bind the partnership. Bidders
submitting joint bids must include on
the bid form the proportionate interest
of each participating bidder, stated as a
percentage, using a maximum of five
decimal places, e.g., 33.33333 percent.
The MMS may require bidders to submit
other documents in accordance with 30
CFR 256.46. The MMS warns bidders
against violation of 18 U.S.C. 1860
prohibiting unlawful combination or
intimidation of bidders. Bidders are
advised that the MMS considers the
signed bid to be a legally binding
obligation on the part of the bidder(s) to
comply with all applicable regulations,
including payment of the one-fifth
bonus bid amount on all high bids. A
statement to this effect must be included
on each bid (see the document ‘‘Bid
Form and Envelope’’ contained in the
FNOS 194 Package).
Rounding: The following procedure
must be used to calculate the minimum
bonus bid, annual rental, and minimum
royalty: Round up to the next whole
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dollar amount if the calculation results
in a decimal figure (see next paragraph).
Please note: The minimum bonus bid
calculation, including all rounding, is shown
in the document ‘‘List of Blocks Available for
Leasing in Lease Sale 194’’ included in the
FNOS 194 Package.
Bonus Bid Deposit: Each bidder
submitting an apparent high bid must
submit a bonus bid deposit to the MMS
equal to one-fifth of the bonus bid
amount for each such bid. Under the
authority granted by 30 CFR 256.46(b),
the MMS requires bidders to use
electronic funds transfer procedures for
payment of one-fifth bonus bid deposits
for Lease Sale 194, following the
detailed instructions contained in the
document ‘‘Instructions for Making EFT
Bonus Payments’’ included in the FNOS
194 Package. All payments must be
electronically deposited into an interestbearing account in the U.S. Treasury
(account specified in the EFT
instructions) by 1:00 p.m. Eastern Time
the day following bid reading. Such a
deposit does not constitute and shall not
be construed as acceptance of any bid
on behalf of the United States. If a lease
is awarded, however, MMS requests that
only one transaction be used for
payment of the four-fifths bonus bid
amount and the first year’s rental.
Please note: Certain bid submitters (i.e.,
those that are NOT currently an OCS mineral
lease record title holder or designated
operator OR those that have ever defaulted
on a one-fifth bonus bid payment (EFT or
otherwise)) are required to guarantee (secure)
their one-fifth bonus bid payment prior to the
submission of bids. For those who must
secure the EFT one-fifth bonus bid payment,
one of the following options may be used: (1)
Provide a third-party guarantee; (2) Amend
development bond coverage; (3) Provide a
letter of credit; or (4) Provide a lump sum
payment in advance via EFT. The EFT
instructions specify the requirements for
each option.
Withdrawal of Blocks: The United
States reserves the right to withdraw
any block from this lease sale prior to
issuance of a written acceptance of a bid
for the block.
Acceptance, Rejection, or Return of
Bids: The United States reserves the
right to reject any and all bids. In any
case, no bid will be accepted, and no
lease for any block will be awarded to
any bidder, unless the bidder has
complied with all requirements of this
Notice, including the documents
contained in the associated FNOS 194
Package and applicable regulations; the
bid is the highest valid bid; and the
amount of the bid has been determined
to be adequate by the authorized officer.
Any bid submitted which does not
conform to the requirements of this
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Notice, the Act, and other applicable
regulations may be returned to the
person submitting that bid by the RD
and not considered for acceptance. The
Attorney General may also review the
results of the lease sale prior to the
acceptance of bids and issuance of
leases. To ensure that the Government
receives a fair return for the conveyance
of lease rights for this lease sale, high
bids will be evaluated in accordance
with MMS bid adequacy procedures. A
copy of current procedures,
‘‘Modifications to the Bid Adequacy
Procedures’’ at 64 FR 37560 on July 12,
1999, can be obtained from the MMS
Gulf of Mexico Region Public
Information Unit.
Successful Bidders: As required by
the MMS, each company that has been
awarded a lease must execute all copies
of the lease (Form MMS–2005 (March
1986) as amended), pay by EFT the
balance of the bonus bid amount and
the first year’s rental for each lease
issued in accordance with the
requirements of 30 CFR 218.155, and
satisfy the bonding requirements of 30
CFR part 256, subpart I, as amended.
Also, in accordance with regulations
at 43 CFR, part 42, subpart C, the lessee
shall comply with the U.S. Department
of the Interior’s nonprocurement
debarment and suspension requirements
and agrees to communicate this
requirement to comply with these
regulations to persons with whom the
lessee does business as it relates to this
lease by including this term as a
condition to enter into their contracts
and other transactions.
Affirmative Action: The MMS
requests that, prior to bidding, Equal
Opportunity Affirmative Action
Representation Form MMS 2032 (June
1985) and Equal Opportunity
Compliance Report Certification Form
MMS 2033 (June 1985) be on file in the
MMS Gulf of Mexico Region
Adjudication Unit. This certification is
required by 41 CFR part 60 and
Executive Order No. 11246 of
September 24, 1965, as amended by
Executive Order No. 11375 of October
13, 1967. In any event, prior to the
execution of any lease contract, both
forms are required to be on file in the
MMS Gulf of Mexico Region
Adjudication Unit.
Geophysical Data and Information
Statement: Pursuant to 30 CFR 251.12,
the MMS has a right to access
geophysical data and information
collected under a permit in the OCS.
Every bidder submitting a bid on a block
in Sale 194, or participating as a joint
bidder in such a bid, must submit a
Geophysical Data and Information
Statement identifying any processed or
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reprocessed pre- and post-stack depth
migrated geophysical data and
information in its possession or control
and used in the evaluation of that block.
The existence, extent (i.e., number of
line miles for 2D or number of blocks for
3D) and type of such data and
information must be clearly identified.
The statement must include the name
and phone number of a contact person,
and an alternate, knowledgeable about
the depth data sets (that were processed
or reprocessed to correct for depth) used
in evaluating the block. In the event
such data and information includes data
sets from different timeframes, you
should identify only the most recent
data set used for block evaluations.
The statement must also identify each
block upon which a bidder participated
in a bid but for which it does not
possess or control such depth data and
information.
Every bidder must submit a separate
Geophysical Data and Information
Statement in a sealed envelope. The
envelope should be labeled
‘‘Geophysical Data and Information
Statement for Oil and Gas Lease Sale
194’’ and the bidder’s name and
qualification number must be clearly
identified on the outside of the
envelope. This statement must be
submitted to the MMS at the Gulf of
Mexico Regional Office, Attention:
Resource Evaluation (1201 Elmwood
Park Boulevard, New Orleans, Louisiana
70123–2394) by 10 a.m. on Tuesday,
March 15, 2005. The statement may be
submitted in conjunction with the bids
or separately. Do not include this
statement in the same envelope
containing a bid. These statements will
not be opened until after the public bid
reading at Lease Sale 194 and will be
kept confidential. An Example of
Preferred Format for the Geophysical
Data and Information Statement is
included in the FNOS 194 Package.
Please refer to NTL No. 2003–G05 for
more detail concerning submission of
the Geophysical Data and Information
Statement, making the data available to
the MMS following the lease sale,
preferred format, reimbursement for
costs, and confidentiality.
Dated: February 3, 2005.
R.M. ‘‘Johnnie’’ Burton,
Director, Minerals Management Service.
[FR Doc. 05–2770 Filed 2–10–05; 8:45 am]
BILLING CODE 4310–MR–P
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DEPARTMENT OF THE INTERIOR
Minerals Management Service
Outer Continental Shelf (OCS) Eastern
Gulf of Mexico (GOM) Oil and Gas
Lease Sale 197
Minerals Management Service,
Interior.
ACTION: Final notice of sale (FNOS) 197.
AGENCY:
SUMMARY: On March 16, 2005, the MMS
will open and publicly announce bids
received for blocks offered in Eastern
GOM Oil and Gas Lease Sale 197,
pursuant to the OCS Lands Act (43
U.S.C. 1331–1356, as amended) and the
regulations issued thereunder (30 CFR
Part 256). The Final Notice of Sale 197
Package (FNOS 197 Package) contains
information essential to bidders, and
bidders are charged with the knowledge
of the documents contained in the
Package.
DATES: Public bid reading for Eastern
GOM Oil and Gas Lease Sale 197 will
begin after the public bid reading for
Central GOM Oil and Gas Lease Sale
194 which will begin at 9 a.m.,
Wednesday, March 16, 2005, in the
Hyatt Regency Conference Center
(Cabildo Rooms), 500 Poydras Plaza,
New Orleans, Louisiana. All times
referred to in this document are local
New Orleans times, unless otherwise
specified.
ADDRESSES: Bidders can obtain a FNOS
197 Package containing this Notice of
Sale and several supporting and
essential documents referenced herein
from the MMS Gulf of Mexico Region
Public Information Unit, 1201 Elmwood
Park Boulevard, New Orleans, Louisiana
70123–2394, (504) 736–2519 or (800)
200–GULF, or via the MMS Internet
Web site at https://www.mms.gov.
Filing of Bids: Bidders must submit
sealed bids to the Regional Director
(RD), MMS Gulf of Mexico Region, 1201
Elmwood Park Boulevard, New Orleans,
Louisiana 70123–2394, between 8 a.m.
and 4 p.m. on normal working days, and
from 8 a.m. to the Bid Submission
Deadline of 10 a.m. on Tuesday, March
15, 2005. If the bids are mailed, please
address the envelope containing all of
the sealed bids as follows:
Attention: Supervisor, Sales and
Support Unit (MS 5422), Leasing
Activities Section, MMS Gulf of Mexico
Region, 1201 Elmwood Park Boulevard,
New Orleans, Louisiana 70123–2394.
Contains Sealed Bids for Oil and Gas
Lease Sale 197, Please Deliver to Ms.
Jane Burrell Johnson, Room 311,
Immediately.
Please note: Bidders mailing their bid(s)
are advised to call Ms. Jane Burrell Johnson
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Agencies
[Federal Register Volume 70, Number 28 (Friday, February 11, 2005)]
[Notices]
[Pages 7300-7303]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-2770]
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DEPARTMENT OF THE INTERIOR
Minerals Management Service
Outer Continental Shelf (OCS) Central Gulf of Mexico (GOM) Oil
and Gas Lease Sale 194
AGENCY: Minerals Management Service, Interior.
ACTION: Final Notice of Sale (FNOS) 194.
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SUMMARY: On March 16, 2005, the MMS will open and publicly announce
bids received for blocks offered in Central GOM Oil and Gas Lease Sale
194, pursuant to the OCS Lands Act (43 U.S.C. 1331-1356, as amended)
and the regulations issued thereunder (30 CFR part 256).
The Final Notice of Sale 194 Package (FNOS 194 Package) contains
information essential to bidders, and bidders are charged with the
knowledge of the documents contained in the Package.
DATES: Public bid reading will begin at 9 a.m., Wednesday, March 16,
2005, in the Hyatt Regency Conference Center (Cabildo Rooms), 500
Poydras Plaza, New Orleans, Louisiana. All times referred to in this
document are local New Orleans times, unless otherwise specified.
ADDRESSES: Bidders can obtain an FNOS 194 Package containing this
Notice of Sale and several supporting and essential documents
referenced herein from the MMS Gulf of Mexico Region Public Information
Unit, 1201 Elmwood Park Boulevard, New Orleans, Louisiana 70123-2394,
(504) 736-2519 or (800) 200-GULF, or via the MMS Internet Web site at
https://www.mms.gov.
Filing Of Bids: Bidders must submit sealed bids to the Regional
Director (RD), MMS Gulf of Mexico Region, 1201 Elmwood Park Boulevard,
New Orleans, Louisiana 70123-2394, between 8 a.m. and 4 p.m. on normal
working days, and from 8 a.m. to the Bid Submission Deadline of 10 a.m.
on Tuesday, March 15, 2005. If the bids are mailed, please address the
envelope containing all of the sealed bids as follows:
Attention: Supervisor, Sales and Support Unit (MS 5422), Leasing
Activities Section, MMS Gulf of Mexico Region, 1201 Elmwood Park
Boulevard, New Orleans, Louisiana 70123-2394.
Contains Sealed Bids for Oil and Gas Lease Sale 194.
Please Deliver to Ms. Jane Burrell Johnson, Room 311, Immediately.
Please note: Bidders mailing their bid(s) are advised to call
Ms. Jane Burrell Johnson (504) 736-2811 immediately after putting
their bid(s) in the mail.
If the Regional Director receives bids later than the time and date
specified above, he will return those bids unopened to bidders. Bidders
may not modify or withdraw their bids unless the RD receives a written
modification or written withdrawal request prior to 10 a.m. on Tuesday,
March 15, 2005. Should an unexpected event such as flooding or travel
restrictions be significantly disruptive to bid submission, the MMS
Gulf of Mexico Region may extend the Bid Submission Deadline. Bidders
may call (504) 736-0557 for information about the possible extension of
the Bid Submission Deadline due to such an event.
Areas Offered for Leasing: The MMS is offering for leasing all
blocks and partial blocks listed in the document ``Blocks Available for
Leasing in Central GOM Oil and Gas Lease Sale 194'' included in the
FNOS 194 Package. All of these blocks are shown on the following
Leasing Maps and Official Protraction Diagrams (which may be purchased
from the MMS Gulf of Mexico Region Public Information Unit):
Outer Continental Shelf Leasing Maps--Louisiana Map Numbers 1 through 12
(These 30 maps sell for $2.00 each.)
LA1 West Cameron Area (Revised November 1,
2000).
LA1A West Cameron Area, West Addition (Revised
November 1, 2000).
LA1B West Cameron Area, South Addition (Revised
November 1, 2000).
[[Page 7301]]
LA2 East Cameron Area (Revised November 1,
2000).
LA2A East Cameron Area, South Addition (Revised
November 1, 2000).
LA3 Vermilion Area (Revised November 1, 2000).
LA3A South Marsh Island Area (Revised November
1, 2000).
LA3B Vermilion Area, South Addition (Revised
November 1, 2000).
LA3C South Marsh Island Area, South Addition
(Revised November 1, 2000).
LA3D South Marsh Island Area, North Addition
(Revised November 1, 2000).
LA4 Eugene Island Area (Revised November 1,
2000).
LA4A Eugene Island Area, South Addition (Revised
November 1, 2000).
LA5 Ship Shoal Area (Revised November 1, 2000).
LA5A Ship Shoal Area, South Addition (Revised
November 1, 2000).
LA6 South Timbalier Area (Revised November 1,
2000).
LA6A South Timbalier Area, South Addition
(Revised November 1, 2000).
LA6B South Pelto Area (Revised November 1,
2000).
LA6C Bay Marchand Area (Revised November 1,
2000).
LA7 Grand Isle Area (Revised November 1, 2000).
LA7A Grand Isle Area, South Addition (Revised
February 17, 2004).
LA8 West Delta Area (Revised November 1, 2000).
LA8A West Delta Area, South Addition (Revised
November 1, 2000).
LA9 South Pass Area (Revised November 1, 2000).
LA9A South Pass Area, South and East Addition
(Revised November 1, 2000).
LA10 Main Pass Area (Revised November 1, 2000).
LA10A Main Pass Area, South and East Addition
(Revised November 1, 2000).
LA10B Breton Sound Area (Revised November 1,
2000).
LA11 Chandeleur Area (Revised November 1, 2000).
LA11A Chandeleur Area, East Addition (Revised
November 1, 2000).
LA12 Sabine Pass Area (Revised November 1,
2000).
Outer Continental Shelf Official Protraction Diagrams (These 10 diagrams
sell for $2.00 each.)
NG15-03 Green Canyon (Revised November 1, 2000).
NG15-06 Walker Ridge (Revised November 1, 2000).
NG15-09 Amery Terrace (Revised October 25, 2000).
NG16-01 Atwater Valley (Revised November 1, 2000).
NG16-04 Lund (Revised November 1, 2000).
NG16-07 Lund South (Revised November 1, 2000).
NH15-12 Ewing Bank (Revised November 1, 2000).
NH16-04 Mobile (Revised November 1, 2000).
NH16-07 Viosca Knoll (Revised November 1, 2000).
NH16-10 Mississippi Canyon (Revised November 1,
2000).
Please Note: A CD-ROM (in ARC/INFO and Acrobat (pdf) format)
containing all of the GOM Leasing Maps and Official Protraction
Diagrams, except for those not yet converted to digital format, is
available from the MMS Gulf of Mexico Region Public Information Unit
for a price of $15. For the current status of all Central GOM
Leasing Maps and Official Protraction Diagrams, please refer to 66
FR 28002 (published May 21, 2001) and 69 FR 23211 (published April
28, 2004). In addition, Supplemental Official OCS Block Diagrams
(SOBDs) for these blocks are available for blocks which contain the
``U.S. 200 Nautical Mile Limit'' line and the ``U.S.-Mexico Maritime
Boundary'' line. These SOBDs are also available from the MMS Gulf of
Mexico Region Public Information Unit. For additional information,
please call Ms. Tara Montgomery (504) 736-5722.
All blocks are shown on these Leasing Maps and Official Protraction
Diagrams. The available Federal acreage of all whole and partial blocks
in this lease sale is shown in the document ``List of Blocks Available
for Leasing in Lease Sale 194'' included in the FNOS 194 Package. Some
of these blocks may be partially leased or transected by administrative
lines such as the Federal/State jurisdictional line. A bid on a block
must include all of the available Federal acreage of that block. Also,
information on the unleased portions of such blocks is found in the
document ``Central Gulf of Mexico Lease Sale 194--Unleased Split Blocks
and Available Unleased Acreage of Blocks with Aliquots and Irregular
Portions Under Lease or Deferred'' included in the FNOS 194 Package.
Areas Not Available for Leasing: The following whole and partial
blocks are not offered for lease in this lease sale:
Blocks which are beyond the United States Exclusive
Economic Zone in the area known as the Northern portion of the Eastern
Gap:
Lund South (Area NG16-07)
Blocks: 172 and 173; 213 through 217; 252 through 261; 296 through 305;
349
Whole and partial blocks which lie within the 1.4 nautical
mile buffer zone north of the continental shelf boundary between the
United States and Mexico:
Amery Terrace (Area NG15-09)
Whole Blocks: 280 and 281; 318 through 320; 355 through 359
Partial Blocks: 235 through 238; 273 through 279; 309 through 317
Statutes and Regulations: Each lease issued in this lease sale is
subject to the OCS Lands Act of August 7, 1953, 67 Stat. 462; 43 U.S.C.
1331 et seq., as amended (92 Stat. 629), hereinafter called ``the
Act''; all regulations issued pursuant to the Act and in existence upon
the Effective Date of the lease; all regulations issued pursuant to the
statute in the future which provide for the prevention of waste and
conservation of the natural resources of the OCS and the protection of
correlative rights therein; and all other applicable statutes and
regulations.
Lease Terms and Conditions: Initial period, extensions of initial
period, minimum bonus bid amount, rental rates, royalty rates, minimum
royalty, and royalty suspension areas are shown on the map ``Lease
Terms and Economic Conditions, Lease Sale 194, Final'' for leases
resulting from this lease sale:
Initial Period: 5 years for blocks in water depths of less than 400
meters; 8 years for blocks in water depths of 400 to less than 800
meters; and 10 years for blocks in water depths of 800 meters or
deeper;
Extensions of Initial Period: Extensions may be granted for
eligible leases on blocks in water depths less than 400 meters as
specified in NTL No. 2000-G22;
Minimum Bonus Bid Amount: A bonus bid will not be considered for
[[Page 7302]]
acceptance unless it provides for a cash bonus in the amount of $25 or
more per acre or fraction thereof for blocks in water depths of less
than 400 meters or $37.50 or more per acre or fraction thereof for
blocks in water depths of 400 meters or deeper; see ``List of Blocks
Available for Leasing'' contained in the FNOS 194 Package to confirm
the exact calculation of the minimum bonus bid amount for each block;
Rental Rates: $5 per acre or fraction thereof for blocks in water
depths of less than 200 meters and $7.50 per acre or fraction thereof
for blocks in water depths of 200 meters or deeper, to be paid on or
before the first day of each lease year until a discovery in paying
quantities of oil or gas, then at the expiration of each lease year
until the start of royalty-bearing production;
Royalty Rates: 16-2/3 percent royalty rate for blocks in water
depths of less than 400 meters and a 12-1/2 percent royalty rate for
blocks in water depths of 400 meters or deeper, except during periods
of royalty suspension, to be paid monthly on the last day of the month
next following the month during which the production is obtained;
Minimum Royalty: After the start of royalty-bearing production: $5
per acre or fraction thereof per year for blocks in water depths of
less than 200 meters and $7.50 per acre or fraction thereof per year
for blocks in water depths of 200 meters or deeper, to be paid at the
expiration of each lease year with credit applied for actual royalty
paid during the lease year. If actual royalty paid exceeds the minimum
royalty requirement, then no minimum royalty payment is due;
Royalty Suspension Areas: Royalty suspension, subject to deep gas
price thresholds, will apply to blocks in water depths less than 200
meters where deep gas (typically 15,000 feet or greater subsea) is
drilled and commences production before May 3, 2009. In addition,
subject to both oil and gas price thresholds, royalty suspension will
apply in water depths of 400 meters or deeper. See the map ``Lease
Terms and Economic Conditions, Lease Sale 194, Final'' for specific
areas and the ``Royalty Suspension Provisions, Lease Sale 194, Final''
document contained in the FNOS 194 Package for specific details
regarding royalty suspension eligibility, applicable price thresholds
and implementation.
Lease Stipulations: One or more of eight lease stipulations apply:
(1) Topographic Features; (2) Live Bottoms; (3) Military Areas; (4)
Blocks South of Baldwin County, Alabama; (5) Law of the Sea Convention
Royalty Payment; (6) Protected Species; (7) Limitation on Use of Seabed
and Water Column in the Vicinity of an Approved Offshore Liquefied
Natural Gas (LNG) Deepwater Port Receiving Terminal; and (8) Below
Seabed Operations on Mississippi Canyon Block 920. Please see the
``Stipulations and Deferred Blocks, Lease Sale 194, Final'' map. The
texts of the lease stipulations are contained in the document ``Lease
Stipulations for Oil and Gas Lease Sale 194, Final'' included in the
FNOS 194 Package.
Information to Lessees: The FNOS 194 Package contains an
``Information To Lessees'' document which provides detailed information
on certain specific issues pertaining to this oil and gas lease sale.
Method of Bidding: For each block bid upon, a bidder must submit a
separate signed bid in a sealed envelope labeled ``Sealed Bid for Oil
and Gas Lease Sale 194, not to be opened until 9 a.m., Wednesday, March
16, 2005.'' The total amount of the bid must be in a whole dollar
amount; any cent amount above the whole dollar will be ignored by the
MMS. Details of the information required on the bid(s) and the bid
envelope(s) are specified in the document ``Bid Form and Envelope''
contained in the FNOS 194 Package.
The MMS published in the Federal Register a list of restricted
joint bidders, which applies to this lease sale, at 69 FR 61402 on
October 18, 2004. Bidders must execute all documents in conformance
with signatory authorizations on file in the MMS Gulf of Mexico Region
Adjudication Unit. Partnerships also must submit or have on file a list
of signatories authorized to bind the partnership. Bidders submitting
joint bids must include on the bid form the proportionate interest of
each participating bidder, stated as a percentage, using a maximum of
five decimal places, e.g., 33.33333 percent. The MMS may require
bidders to submit other documents in accordance with 30 CFR 256.46. The
MMS warns bidders against violation of 18 U.S.C. 1860 prohibiting
unlawful combination or intimidation of bidders. Bidders are advised
that the MMS considers the signed bid to be a legally binding
obligation on the part of the bidder(s) to comply with all applicable
regulations, including payment of the one-fifth bonus bid amount on all
high bids. A statement to this effect must be included on each bid (see
the document ``Bid Form and Envelope'' contained in the FNOS 194
Package).
Rounding: The following procedure must be used to calculate the
minimum bonus bid, annual rental, and minimum royalty: Round up to the
next whole dollar amount if the calculation results in a decimal figure
(see next paragraph).
Please note: The minimum bonus bid calculation, including all
rounding, is shown in the document ``List of Blocks Available for
Leasing in Lease Sale 194'' included in the FNOS 194 Package.
Bonus Bid Deposit: Each bidder submitting an apparent high bid must
submit a bonus bid deposit to the MMS equal to one-fifth of the bonus
bid amount for each such bid. Under the authority granted by 30 CFR
256.46(b), the MMS requires bidders to use electronic funds transfer
procedures for payment of one-fifth bonus bid deposits for Lease Sale
194, following the detailed instructions contained in the document
``Instructions for Making EFT Bonus Payments'' included in the FNOS 194
Package. All payments must be electronically deposited into an
interest-bearing account in the U.S. Treasury (account specified in the
EFT instructions) by 1:00 p.m. Eastern Time the day following bid
reading. Such a deposit does not constitute and shall not be construed
as acceptance of any bid on behalf of the United States. If a lease is
awarded, however, MMS requests that only one transaction be used for
payment of the four-fifths bonus bid amount and the first year's
rental.
Please note: Certain bid submitters (i.e., those that are NOT
currently an OCS mineral lease record title holder or designated
operator OR those that have ever defaulted on a one-fifth bonus bid
payment (EFT or otherwise)) are required to guarantee (secure) their
one-fifth bonus bid payment prior to the submission of bids. For
those who must secure the EFT one-fifth bonus bid payment, one of
the following options may be used: (1) Provide a third-party
guarantee; (2) Amend development bond coverage; (3) Provide a letter
of credit; or (4) Provide a lump sum payment in advance via EFT. The
EFT instructions specify the requirements for each option.
Withdrawal of Blocks: The United States reserves the right to
withdraw any block from this lease sale prior to issuance of a written
acceptance of a bid for the block.
Acceptance, Rejection, or Return of Bids: The United States
reserves the right to reject any and all bids. In any case, no bid will
be accepted, and no lease for any block will be awarded to any bidder,
unless the bidder has complied with all requirements of this Notice,
including the documents contained in the associated FNOS 194 Package
and applicable regulations; the bid is the highest valid bid; and the
amount of the bid has been determined to be adequate by the authorized
officer. Any bid submitted which does not conform to the requirements
of this
[[Page 7303]]
Notice, the Act, and other applicable regulations may be returned to
the person submitting that bid by the RD and not considered for
acceptance. The Attorney General may also review the results of the
lease sale prior to the acceptance of bids and issuance of leases. To
ensure that the Government receives a fair return for the conveyance of
lease rights for this lease sale, high bids will be evaluated in
accordance with MMS bid adequacy procedures. A copy of current
procedures, ``Modifications to the Bid Adequacy Procedures'' at 64 FR
37560 on July 12, 1999, can be obtained from the MMS Gulf of Mexico
Region Public Information Unit.
Successful Bidders: As required by the MMS, each company that has
been awarded a lease must execute all copies of the lease (Form MMS-
2005 (March 1986) as amended), pay by EFT the balance of the bonus bid
amount and the first year's rental for each lease issued in accordance
with the requirements of 30 CFR 218.155, and satisfy the bonding
requirements of 30 CFR part 256, subpart I, as amended.
Also, in accordance with regulations at 43 CFR, part 42, subpart C,
the lessee shall comply with the U.S. Department of the Interior's
nonprocurement debarment and suspension requirements and agrees to
communicate this requirement to comply with these regulations to
persons with whom the lessee does business as it relates to this lease
by including this term as a condition to enter into their contracts and
other transactions.
Affirmative Action: The MMS requests that, prior to bidding, Equal
Opportunity Affirmative Action Representation Form MMS 2032 (June 1985)
and Equal Opportunity Compliance Report Certification Form MMS 2033
(June 1985) be on file in the MMS Gulf of Mexico Region Adjudication
Unit. This certification is required by 41 CFR part 60 and Executive
Order No. 11246 of September 24, 1965, as amended by Executive Order
No. 11375 of October 13, 1967. In any event, prior to the execution of
any lease contract, both forms are required to be on file in the MMS
Gulf of Mexico Region Adjudication Unit.
Geophysical Data and Information Statement: Pursuant to 30 CFR
251.12, the MMS has a right to access geophysical data and information
collected under a permit in the OCS. Every bidder submitting a bid on a
block in Sale 194, or participating as a joint bidder in such a bid,
must submit a Geophysical Data and Information Statement identifying
any processed or reprocessed pre- and post-stack depth migrated
geophysical data and information in its possession or control and used
in the evaluation of that block. The existence, extent (i.e., number of
line miles for 2D or number of blocks for 3D) and type of such data and
information must be clearly identified. The statement must include the
name and phone number of a contact person, and an alternate,
knowledgeable about the depth data sets (that were processed or
reprocessed to correct for depth) used in evaluating the block. In the
event such data and information includes data sets from different
timeframes, you should identify only the most recent data set used for
block evaluations.
The statement must also identify each block upon which a bidder
participated in a bid but for which it does not possess or control such
depth data and information.
Every bidder must submit a separate Geophysical Data and
Information Statement in a sealed envelope. The envelope should be
labeled ``Geophysical Data and Information Statement for Oil and Gas
Lease Sale 194'' and the bidder's name and qualification number must be
clearly identified on the outside of the envelope. This statement must
be submitted to the MMS at the Gulf of Mexico Regional Office,
Attention: Resource Evaluation (1201 Elmwood Park Boulevard, New
Orleans, Louisiana 70123-2394) by 10 a.m. on Tuesday, March 15, 2005.
The statement may be submitted in conjunction with the bids or
separately. Do not include this statement in the same envelope
containing a bid. These statements will not be opened until after the
public bid reading at Lease Sale 194 and will be kept confidential. An
Example of Preferred Format for the Geophysical Data and Information
Statement is included in the FNOS 194 Package.
Please refer to NTL No. 2003-G05 for more detail concerning
submission of the Geophysical Data and Information Statement, making
the data available to the MMS following the lease sale, preferred
format, reimbursement for costs, and confidentiality.
Dated: February 3, 2005.
R.M. ``Johnnie'' Burton,
Director, Minerals Management Service.
[FR Doc. 05-2770 Filed 2-10-05; 8:45 am]
BILLING CODE 4310-MR-P