1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

7

definition shall include caving methods and leaching activities associated with open pit mining. For the purposes of this Act. the mining of surface coal deposits, except those relating to open pit anthracite coal operations is excluded from this definition;

(r) "reclamation" means the process of restoring a mined area affected by a mining operation to its original or other similarly appropriate condition, considering past and possible future uses of the area and the surrounding topography and taking into account environmental, economic, and social conditions; and

(s) "mined area" means surface and subsurface of leasable lands in which mining operations are being or have been conducted, including private ways and roads appurtenant to any such area, land excavations, workings, refuse banks, tailing, spoil banks, and areas in which structures, facilities, equipment, machines, tools,

or other materials or property which result from or are

used in, mining operations are situated.

20 TITLE I-GENERAL PROVISIONS APPLICABLE TO

2 2 2 2 2 2

21

22

23

ALL TITLES

ISSUANCE OF PROSPECTING LICENSES

SEC. 101. (a) (1) The Secretary shall, under such

24 regulations as he may prescribe, issue to any person a pros25 pecting license. No person may conduct mineral prospect

8

1 ing for commercial purposes for any mineral on leasable 2 lands without such a prospecting license. Each prospecting 3 license shall be for a term of two years and shall be subject 4 to a reasonable fee. A separate prospecting license will be 5 required for prospecting in each State. Each prospecting 6 license shall contain such reasonable conditions as the Sec7 retary may require, including conditions for the protection 8 of the environment, and shall be subject to all applicable 9 Federal, State, and local laws and regulations. Upon viola10 tion of any such conditions or laws the Secretary may revoke 11 the prospecting license. A prospecting license shall confer 12 no right to a lease under this Act.

13

(2) A licensee may not cause any significant surface dis14 turbance. He may not remove any mineral for sale but may 15 remove a reasonable amount of minerals from the leasable 16 lands subject to his license for analysis and study. A licensee 17 must comply with any rules and regulations of the Federal 18 agency having jurisdiction over the surface of the leasable 19 lands.

20 (3) Any person who conducts mineral prospecting for 21 commercial purposes on leasable lands without a prospecting 22 license issued hereunder shall be subject to a fine of not 23 more than $1,000 for each day of violation.

24 (b) (1) Where the Secretary determines that leasable 25 lands under his jurisdiction should be excluded from the appli

9

1 cation of this Act for purposes of providing for a higher use

2

or for protecting or enhancing the environmental quality, the

3 Secretary is authorized to remove such leasable lands from

4 the application of this Act, if they are not subject to a lease 5 issued hereunder.

6

(2) Where the head of any other Federal agency deter7 mines that leasable lands the surface of which is under his 8 jurisdiction should be excluded from the application of this 9 Act for purposes of providing for a higher use or for protect10 ing or enhancing the environmental quality, he shall so notify 11 the Secretary, who shall thereupon remove those leasable 12 lands from the application of this Act, if they are not subject 13 to a lease issued under this Act.

14

15

ISSUANCE OF LEASES

SEC. 102. (a) Except as provided in section 106, the 16 Secretary is authorized, under such regulations as he may 17 prescribe, to issue to any person (1) a lease for the explora18 tion, development, and extraction from leasable lands of (i) 19 oil and gas under the provisions of title II of this Act, or (ii) 20 coal (including leonardite and peat), oil shale, borates, car21 bonates, halides, nitrates, phosphates, silicates, and sulfates of 22 calcium, magnesium, sodium, and potassium, elemental sul23 fur, or other bedded minerals under the provisions of title III 24 of this Act; or (2) an exploration lease on leasable lands for 25 hardrock minerals under the provisions of title V of this Act.

10

1 (b) The head of any Federal agency is authorized,

2 under such regulations as he may prescribe, to sell, or to is

3

sue leases for the exploration, development, and extraction

4 of, construction minerals on leasable lands the surface of

5 which is under his jurisdiction to any person under the pro6 visions of title IV of this Act.

7

(c) The United States reserves ownership of and the 8 right to extract helium from all gas produced from leasable 9 lands leased for oil and gas purposes.

10

11

LEASE RENTALS

SEC. 103. All leases shall be conditioned upon payment 12 each year of an annual rental in advance. Rentals paid for 13 any one year shall be credited against royalties accruing 14 for that year.

15

16

INCORPORATED AREAS

SEC. 104. The provisions of this Act shall not apply 17 to leasable lands within incorporated cities, towns, and 18 villages, except where (1) with respect to licenses under 19 title I and leases under title II, there has been consultation 20 with the local government, and (2) with respect to leases 21 and sales under titles III, IV, and V, there has been con22 sent by the local government.

24

SEC. 105. (a) If the Secretary or any other head of a

25 Federal agency shall determine to issue a lease or contract

93-145 73-2

11

1 under section 102, he shall, except as provided in sections 2 105 (b), 402, and 403, issue that lease or contract through 3 competitive bidding after formal advertising and such other 4 public notice as the Secretary or other head of a Federal 5 agency may prescribe. The Secretary shall reserve the right 6 to reject all bids whenever in his judgment the best interest 7 of the United States will be served by so doing.

8 (b) If the Secretary shall determine to issue an explora9 tion lease for minerals subject to title V, he shall issue that 10 lease without competitive bidding only to the first qualified 11 applicant under such rules and regulations as the Secretary 12 may prescribe, except that the Secretary shall issue, only 13 by competitive bidding under section 105 (a), and explora14 tion lease for any lands as to which he determines there is 15 geological, geophysical, or geochemical evidence of the exist16 ence of such minerals in paying quantities. Where two or 17 more persons file applications for lease on the same day 18 covering the same lands under title V, they shall be deemed 19 to have filed their applications simultaneously. In such case 20 the Secretary shall require that the lease be issued to the 21 highest qualified bidder among those persons as determined 22 by competitive bidding.

23

(c) Leases and contracts may be offered for competitive 24 bidding on the initiative of the Secretary or on his approval 25 of an application therefor.