Valuing federal oil and gas royalties

Journal Article · · Natural Resources and Environment; (United States)

OSTI ID:6417710

Day, J M

The primary difference between an oil and gas lease with a private landowner and a lease with the federal government is the power and discretion of the lessor. Whenever the Interior Secretary decides to receive payment for the federal royalty rather than take it in kind, the value of the oil and gas must be determined. The Minerals Management Services (MMS) regulations and rules are the basis for calculating the valuation. The author gives an overview of the legal authority for making this valuation, court decisions on challenges to royalty calculations, and appeal mechanisms. He questions the ability of MMS to provide a bona fide higher offered price for natural gas in today's market.

• Research Organization: Cotten, Day and Doyle, Washington, DC
• OSTI ID: 6417710
• Journal Information: Natural Resources and Environment; (United States), Journal Name: Natural Resources and Environment; (United States) Vol. 1:2
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020700* -- Petroleum-- Economics
Industrial
& Business Aspects
03 NATURAL GAS
030600 -- Natural Gas-- Economic
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
294000 -- Energy Planning & Policy-- Fossil Fuels
APPRAISAL
CASE LAW
GEOLOGIC DEPOSITS
INCOME
LAWS
LEASES
LEGAL ASPECTS
MINERAL RESOURCES
NATURAL GAS DEPOSITS
PETROLEUM DEPOSITS
PRICES
PUBLIC LANDS
RESOURCES
ROYALTIES
VALUES