HAR 13-183 — RULES ON LEASING AND DRILLING OF GEOTHERMAL RESOURCES (Subchapter 1 to 13)

Geothermal exploration permits under this subchapter allow only non-exclusive access to state or reserved lands for geothermal exploration activity prescribed in § 13-183-7 and do not provide any preference rights to a mining lease of the lands explored by the permits. In the eve…

Exploration permits shall be valid for a period of one year from date of issuance, but may be renewed for an additional period of time at the discretion of the board. Notes Haw. Code R. § 13-183-13 [Eff. JUN 22 1981] (Auth: HRS § 182-14) (Imp: HRS § 182-6)

Within sixty days after the termination date of an exploration permit, the permittee shall submit the results of the exploration to the chairperson of the board, which result shall be kept confidential by the board. If the permittee makes an application for a geothermal mining le…

The department may conduct scheduled and unscheduled inspections and investigations of operations conducted under geothermal exploration permits. Notes Haw. Code R. § 13-183-15 [Eff. JUN 22 1981] (Auth: HRS § 182-14) (Imp: HRS §§ 177-5, 199-3)

The chairperson may issue an order immediately suspending operations conducted under a geothermal exploration permit if the permittee is in violation of any terms or conditions of the permit or, in the judgment of the chairperson, the operations jeopardize the health, safety, and…

The board may cancel an exploration permit if it finds, after notice to the permittee and allowance for an opportunity for hearing and compliance with the requirements of the permit, that permit requirements are not being observed. Notes Haw. Code R. § 13-183-17 [Eff. JUN 22 1981…

The permittee shall be required to comply with the requirements of all federal, state, and applicable county laws, rules, and regulations. Notes Haw. Code R. § 13-183-18 [Eff. JUN 22 1981] (Auth: HRS § 182-14) (Imp: HRS § 182-14)

The board may, in accordance with these rules grant mining leases conveying to the lessee the exclusive rights to drill, discover, develop, operate, utilize, and sell geothermal resources on state and reserved lands, subject, however, to the board's right to issue exploration per…

These rules are promulgated pursuant to the jurisdiction and authority of the board of land and natural resources as provided in chapters 177, 178 and 182, Hawaii Revised Statutes. Notes Haw. Code R. § 13-183-2 [Eff. JUN 22 1981] (Auth: HRS § 182-14) (Imp: HRS § 183-14)

All state and reserved lands shall, at the discretion of the board, be considered available for geothermal mining leases. Notes Haw. Code R. § 13-183-20 [Eff. JUN 22 1981] (Auth: HRS: § 182-14) (Imp: HRS 182-4)

Any person as defined in § 13-183-3 of these rules shall be eligible to lease geothermal resources in state or reserved lands or take or hold an interest therein, unless the person is in arrears in the payment of taxes, rents or other obligations owing the State or any of its pol…

Mining leases on state lands shall be granted only on a competitive bid basis at public auction as provided in subchapter 4. Notes Haw. Code R. § 13-183-22 [Eff. JUN 22 1981] (Auth: HRS § 182-14) (Imp: HRS § 182-4)

Mining leases on reserved lands may be granted on a competitive bid basis by public auction or without public auction to the occupier or to his assignee of the rights to obtain a mining lease, upon the vote of two-thirds of the board members, pursuant to § 182-5, Hawaii Revised S…

Unless otherwise approved by the board a geothermal mining lease shall not embrace an area of more than 5,000 acres of contiguous land. No lease shall grant and include an area of more than 2,560 acres of contiguous land if that area's longest dimension is six times greater than …

(a) Any transfer of a mining lease, which includes the assignment or sublease thereof, shall be subject to the approval of the board. No transfer of a mining lease to a minor shall be approved except to a permittee's heir or devisee. All applications for approval of transfers sha…

(a) A mining lease may be revoked by the board if the lessee fails to pay rentals or royalties when due or fails to comply with any of the other terms of the lease, law, or rules, or if the lessee wholly ceases all mining operations for a period of one year without the written co…

Any lessee of a mining lease, who has complied fully with all the terms, covenants, and conditions of an existing lease and provisions of these rules, may with the consent of and under the terms and conditions set by the board surrender at any time and from time to time all or an…

(a) There shall be no limit on the number of geothermal mining leases that may be granted to a person undertaking any geothermal mining operation or production, unless otherwise authorized by law. (b) No person shall, unless it is a charitable trust existing in the State of Hawai…

(a) The term of all mining leases shall consist of a primary ten-year period and continuation periods which shall be as provided herein, except that the sum of primary and all continuation periods of the leases shall not exceed sixty-five years from the effective date of the init…

As used herein unless otherwise provided: "Board" means the board of land and natural resources. "Chairperson" means the chairperson of the board of land and natural resources or the designated representative. "Commercial quantities" means quantities sufficient to provide a retur…

(a) The lessee of a mining lease shall pay to the State in advance each year the annual rental specified for each acre or fraction thereof under the lease. The annual rental for the first year of the lease shall be due and payable and shall be received in the office of the depart…

(a) The rate of the royalty to be paid to the State for the production of geothermal resources shall be determined by the board prior to the bidding for or granting of a mining lease, but the rate shall not be less than ten percent nor more than twenty percent of the gross amount…

Lessee shall have the right, at its election prior to sale, to commingle geothermal resources produced from the leased land with that produced from other leases held by lessee or by other lessees as specified in the lessee's approved plan of operation for the lease. Prior to comm…

(a) For the purpose of more properly conserving the natural resources of any geothermal pool, field, or like area, lessees under leases issued by the board, may, with the written consent of the board, utilize the state lands under a unit, cooperative, or other plan of development…

Every lessee of a mining lease or transferee thereof shall file with the board, a bond in the amount of $10,000 in a form approved by the board and made payable to the State, conditioned upon faithful performance of all requirements of chapter 182, Hawaii Revised Statutes, of the…

(a) Prior to entry upon the leased lands, lessee or lessee's assignee, sublessee, or transferee shall cause to be secured and to be thereafter maintained in force during the term of the lease, public liability and property damage insurance from an insurance company licensed to do…

In addition to the insurance requirements of § 13-183-35 the mining lessee shall expressly agree to hold harmless and indemnify the State and its divisions, departments, agencies, officers, agents and employees, together with the owner or lessee of the surface rights of the lease…

The State does not warrant title to the leased lands or the geothermal resources and associated byproducts which may be discovered thereon; the lease is issued only under the title as the State may have as of the effective date of the lease or may thereafter acquire. If the inter…

(a) Any person as defined in these rules may apply to the board for a mining lease on state lands. The board at its discretion may offer the lands for lease. The applicant shall submit three copies of a written application on forms provided by the department and all application f…

(a) Each application for a geothermal mining lease shall be accompanied by the following exhibits: (1) An accurate description and map of the land desired to be leased. (2) A description of the known or potential geothermal resource desired to be leased for exploration and develo…

Any person violating the provisions of this chapter shall be punished as provided in §§ 178-7 and 182-17, Hawaii Revised Statutes. Notes Haw. Code R. § 13-183-4 [Eff. JUN 22 1981] (Auth: HRS § 182-14) (Imp: HRS §§ 178-7, 182-17)

Public notice of lease applications shall be as provided in § 182-4, Hawaii Revised Statutes. Notes Haw. Code R. § 13-183-40 [Eff. JUN 22 1981] (Auth: HRS § 182-14) (Imp: HRS § 182-4)

Within twelve weeks from the date of the first publication of notice of a lease application for state land or as soon as practicable thereafter, the board may hold a public hearing to decide whether or not to lease the land and if deemed appropriate may modify the area sought to …

If the board determines that the existing or reasonably foreseeable future use of the land being sought for lease would be of greater benefit to the State than the proposed mining use of the land, it may disapprove the application for a mining lease of the land. Notes Haw. Code R…

If the board determines that the proposed mining use of the land would be of greater benefit to the State than the existing or reasonably foreseeable future use of the land, the board shall determine the area to be offered for lease and determine any special terms and conditions …

When the board has approved a mining lease to be offered for sale by competitive bidding at public auction, it shall cause a notice to be published in a newspaper of general circulation in the State and in the county where the land is located at least once in each of three succes…

At least thirty days before the announced date of any public auction, all bidders shall have submitted to the board evidence of their experience and financial ability to conduct geothermal explorations, drill geothermal wells, and develop geothermal resources. Notes Haw. Code R. …

On or before the announced date of the public auction, each prospective bidder shall deposit with the board a certified or cashier's check payable to the State in the amount of $500 and submit a statement that the person is eligible to hold a mining lease as prescribed in § 13-18…

(a) The lease offered for bid shall be awarded to the highest responsible qualified bidder. The board reserves the right to reject any and all bids or waive any defects which will be in the best interest of the State. If the board fails to award the lease within sixty days after …

Applications for mining lease on reserved lands shall be made to the board in accordance with § 13-183-38, 13-183-39, 13-183-42 and 13-183-43. Notes Haw. Code R. § 13-183-48 [Eff. ] (Auth: HRS § 182-14) (Imp: HRS § 182-5)

If the occupier or the assignee of the right to obtain a mining lease fails to apply for a mining lease within six months from the date of notice from the board of its finding of public interest that the reserved lands be mined, a mining lease shall be granted by public auction u…

Unless provided otherwise, any person adversely affected thereby may appeal to the circuit court from any ruling of the board pursuant to chapter 91, Hawaii Revised Statutes. Notes Haw. Code R. § 13-183-5 [Eff. JUN 22 1981] (Auth: HRS § 182-14) (Imp: HRS § 178-10)

The board may, by the vote of two-thirds of its voting members, grant a mining lease on reserved lands to the occupier thereof or the occupier's assignee of the right to apply for a lease thereof without public auction pursuant to § 182-5, Hawaii Revised Statutes. The board shall…

The mining lessee shall negotiate in good faith with the occupier of state or reserved lands for the settlement of all claims for damages to occupier's crops, improvements, or surface of the land caused by the mining lessee's operations. The lessee shall hold the board exempt and…

The lessee shall be entitled to use and occupy only so much of the surface of leased lands as may be required for all purposes reasonably incidental to exploration for, drilling for, production and marketing of geothermal resources and associated by-products produced from the lea…

(a) Use of state lands under the jurisdiction and control of the board are subject to the supervision of the board. Use of state lands under the control of the other state agencies are subject to the supervision of the appropriate state agency consistent with these rules. (b) The…

(a) The operator under a lease shall conduct all operations in a manner that conforms to the most prudent practices and engineering principles in use in the industry. Operations shall be conducted in a manner that protects the natural resources including without limitation, geoth…