GENERAL47354

• Permit No: C1981044
• IBM Index Class Name: General Documents
• Doc Date: 7/24/1987
• Doc Name: SUSPENSION OF OPERATIONS & PRODUCTION US COAL LEASE D-056298
• From: CYPRUS EMPIRE CORP
• To: BLM
• Permit Index Doc Type: Other Permits
• Media Type: D
• Archive: No

~'
INTRODUCTION
~ These guidelines address the three types of suspensions for Federal coal and
solid mineral leases under the Mineral Leasing Act of 1920, as amended (MLA),
and under the authority of the "special leasing acts" as set out at 43 CFR
~ 3500.0-3(c) (1986). The three types of suspensions are: 1) suspension of
operations and production in the interest of conservation under Section 39 of
MIA (suapeneioa of operations and production); 2) suspension of operations
where a lease cannot be operated eacept at a loss (suspension of operations);
and 3) suspension due to strikes, the elements, or casualties not attributable
to the Lessee (force majeure suspension).
Section I of the guidelines sets out the specific purpose of each type of
suspension, the applicable statutory end regulatory authority, qualification
criteria, and the effects of each type of suspension on coal or solid mineral
lease terms and other requirements. For the purposes of these guidelines, the
term "suspended" applies to production or payment obligations; the term
"eztended" applies to timeframes related to the production or payment
obligations and/or timeframes related to lease terms and conditions.
Section II of the guidelines addresses administrative procedures, including
processing of applications, monitoring of approved suspensions, and subsequent
ezpiratioa or termination actions. Section III contains charts xhich summarise
statutory and regulatory authorities and compare the effects of each type of
suspension on coal and solid mineral lease terms and other requirements.
i Section III also includes a glossary of terms used throughout these guidelines.
1Le suspensions discussed here are limited to coal and solid minerals
(including hardrock and special leasing act solid mineral leases) on Federal
(public domain and acquired) lands administered by the Bureau of Land
Management (BLM) under [he regulations at 43 CFR Groups 3400 and 3500. These
guidelines are not applicable to combined hydrocarbon leases, oil and gas
leases (43 CFR 3100), or geothermal leases (43 CFR 3200). Further, these
guidelines are not applicable to coal lessee or solid mineral leases on Indian
lands (25 CFR Chapter I). These guidelines are also not applicable to oil
shale leases (30 O.S.C. 241) because there are currently no promulgated
regulations to govern oil shale leases issued pursuant to Section 21 of MLA.
Any suspension of an oil shale lease x111 be handled in accordance xith the
provisions contained is the terms of the lease.
Payment of advance royalty In lieu of continued operation, provided only for
those coal lessee subject to the Pederal Coal Leasing Amendments Act of 1976,
as amended (FCLAA), is not considered a suspension for the purposes of these
guidelines. See Cuidelinea for Implementation of Section 2(d) of the Act of
1983), and Dill eat Develo meat and Continued
7 of the Mineral LeaslnA Act Guidelines for Implementation
tuct
't
19, 1985), as appropriate.
Attachment 1-4
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