Miesiąc: październik 2020

(d) Consolidation of leases will not exceed acreage limits of 2,560 acres for competitive leases and 10,240 acres for noncompetitive leases. (b) The final gas storage agreement signed by all the parties in interest must be submitted to the BLM. (a) Applications for subsurface storage or designations of successor operator must be filed in the proper BLM office. A contract submitted for approval under this section must be filed with the proper BLM office.

Payments received from operating leases are usually recognised as income on a straight-line basis. Lessors are required to classify each of their leases as either an operating lease or a finance lease. This classification is fundamental in lessor accounting, accounting for lease termination lessor given that the accounting requirements considerably differ between these two lease types. The accounting for terminations and partial terminations is the most complex area when calculating the values of the lease liability and right of use asset.

H. Consultation and Coordination With Indian Tribal Governments (E.O. 13175 and Departmental Policy)

The BLM disagrees and declines to adopt one-size-fits-all stipulations for all leases. The BLM historically has identified the appropriate stipulations through RMPs, ensuring that the BLM ties the appropriate stipulations to the lease under consideration. That approach allows the BLM to develop and set forth lease stipulations in the land-use planning documents/RMPs so that the public is aware of the balance that will exist between environmental protection and opportunities for development of oil and gas resources in advance of offering the lands for lease. Additionally, as stated above, if the BLM’s review process for any application changes, and thus there is the potential that the BLM’s reasonable costs may change outside of the cost of inflation, the BLM would review the FLPMA factors to update the fixed filing fees and provide the opportunity for notice and comment.

For the asset to be identified, the supplier of the asset must not have the right to substitute the asset for an alternative asset throughout its period of use. The fact that the supplier of the asset has the right or the obligation to substitute the asset when a repair is necessary does not preclude the asset from being an ‘identified asset’. When a lease is classified as an operating lease, the underlying asset remains in the lessor’s statement of financial position and is presented according to its nature (IFRS 16.88). The net investment in the lease is subject to derecognition and impairment requirements set out in IFRS 9 (IFRS 16.77). The underlying asset is derecognised and any resulting difference is immediately recognised in P/L as a gain or loss on the disposal of an asset.

Lease Termination Accounting under FASB, IFRS, and GASB: Options to Terminate, Costs, and More

When required, the operating rights holder must also maintain an adequate bond to ensure performance of these responsibilities. An assignment of record title to 100 percent of a portion of the lease segregates the transferred portion and the retained portion into separate leases. Each resulting lease retains the anniversary date and the terms and conditions of the original lease. An assignment of record title to less than 100 percent of a portion of the lease or a transfer of operating rights (sublease) will not segregate the transferred and retained portions into separate leases.

If the authorized officer determines that the acquisition or tract number, together with identification of the State and county, constitutes an adequate description, the authorized officer may allow the description in this manner in lieu of other descriptions required by this section. (c) The BLM may issue a lease only to the highest responsible and qualified bidder. If a person does not pay the minimum monies owed the day of the sale, the BLM may refer that person to the Department of the Interior’s Office of the Inspector General, Administrative Remedies Division, for appropriate action, including potential suspension and debarment. (a) Each BLM state office will hold sales at least quarterly if eligible lands are available for competitive leasing. Undeveloped parts of leases retained or assigned out of leases which are in their extended term will continue in effect for 2 years after the effective date of assignment, provided the parent lease was issued prior to September 2, 1960. (b)(1) The segregated lease covering the non-unitized portion of the lands will continue in force and effect for the term of the lease or for 2 years from the date of segregation, whichever is longer.

CFR Part 3150

(e) If the royalty paid during any year aggregates to less than the minimum royalty, then the lessee must pay the difference at the end of the lease year. The authorized officer may request at any time further evidence of compliance and qualification from any party holding or seeking to hold an interest in a lease. Failure to comply with the request of the authorized officer will result in adjudication of the action based on the incomplete submission.

The BLM further clarifies final paragraph (a) by adding, “for that lease” after the words “total acreage” to clarify the basis for calculating the first-year rental. The unit agreement submitted by the unit proponent for approval by the authorized officer will provide for payment to the Federal Government of the current royalty percentage for leases offered on onshore oil and gas lease sales on production that would be attributable to unleased Federal lands in a PA of the unit if said lands were leased and committed to the unit agreement. The value of production subject to compensatory royalty payment will be determined pursuant to 30 CFR part 206, provided that no additional royalty will be due on any production subject to compensatory royalty under this provision. Multiple commenters expressed concern that the BLM proposes to no longer grant extensions to an APD’s term.