Successful bidders for oil and gas leases on Indian lands will be required to deposit 25 percent of the bonus bid and will be given 30 days to complete the lease under new regulations announced today by Commissioner of Indian Affairs Glenn L. Emmons.
The amended rules also require the successful bidder to remit, within the 30-day period, the balance due on the bonus bid, the first year’s rental, and his share of the costs of advertising. In the event of failure to meet these requirements, the deposit will be forfeited."
The chief significance of the amendments, Commissioner Emmons said, is that they will bring uniformity into a field where there has been considerable diversity of practice. Under the former regulations the general but not uniform practice was to require 20 percent of the bonus bid as an initial deposit and to allow 20 days for completion of the lease.
The new regulations also call for a uniform 30-day period of advertising for Indian oil and gas leases unless a shorter period is authorized by the Commissioner of Indian Affairs. Most advertising in the past has been for 30 days but there have been many local variations in practice.
