§228 — Title 30 Mineral Lands and Mining | U.S. Code

Summary

Gives people who on October 1, 1919 really occupied or claimed oil or gas land the right to get prospecting permits or leases if their claim began when the land was open for claims and they had done all required steps except finding oil or gas. If they had not found oil or gas before February 25, 1920, they must have done work or spent $250 for each location and apply within six months from February 25, 1920 to get a prospecting permit on the same terms and acreage limits as other permits. If they did find oil or gas before February 25, 1920, they can get a lease under terms set by the Secretary of the Interior, unless another rule applies. If the permit is on land inside a known producing oil or gas structure, any later lease must charge at least 12½ percent royalty on produced oil or gas, except what is used for production or unavoidably lost. The rule does not cover lands kept for Navy use. Anyone who committed fraud, knew of fraud, or did not act honestly and in good faith cannot get these benefits. Permits or leases go to the claimant and to people who claim through that claimant, according to their shares.

Title 30, §228

Mineral Lands and Mining — Source: USLM XML via OLRC

Any person who on October 1, 1919, was a bona fide occupant or claimant of oil or gas lands under a claim initiated while such lands were not withdrawn from oil or gas location and entry, and who had previously performed all acts under then existing laws necessary to valid locations thereof except to make discovery, and upon which discovery had not been made prior to February 25, 1920, and who has performed work or expended on or for the benefit of such locations an amount equal in the aggregate of $250 for each location if application therefor shall be made within six months from February 25, 1920, shall be entitled to prospecting permits thereon upon the same terms and conditions, and limitations as to acreage, as other permits provided for in this chapter, or where any such person has made such discovery, prior to said February 25, 1920, he shall be entitled to a lease thereon under such terms as the Secretary of the Interior may prescribe unless otherwise provided for in section 227 11 See References in Text note below. of this title: Provided, That where such prospecting permit is granted upon land within any known geologic structure of a producing oil or gas field, the royalty to be fixed in any lease thereafter granted thereon or any portion thereof shall be not less than 12½ per-centum of all the oil or gas produced except oil or gas used for production purposes on the claim, or unavoidably lost: Provided, however, That the provisions of this section shall not apply to lands reserved for the use of the Navy. No claimant for a permit or lease who has been guilty of any fraud or who had knowledge or reasonable grounds to know of any fraud, or who has not acted honestly and in good faith shall be entitled to any of the benefits of this section. All permits or leases hereunder shall inure to the benefit of the claimant and all persons claiming through or under him by lease, contract, or otherwise, as their interests may appear.

Editorial Notes

References in Text

section 227 of this title, referred to in text, was omitted from the Code.

§228 Prospecting Permits and Leases to Persons of Lands Not Withdrawn; Terms and Conditions Of; Fraud of Claimants

Summary

Title 30, §228

Notes & Related Subsidiaries

Editorial Notes

References in Text

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