Minerals Management Service, Interior.
Notice of IFB on Federal and State of Wyoming crude oil in the State of Wyoming.
The Minerals Management Service (MMS), in cooperation with the State of Wyoming, will post on MMS's Internet Home Page and make available in hard copy a public competitive offering of approximately 6,600 barrels per day (bpd) of crude oil, to be taken as royalty in kind (RIK) from a combination of Federal and State properties in Wyoming's Bighorn and Powder River Basins through an Invitation For Bids (IFB), Number 1435-02-00-RP-40329.
The IFB will be posted on MMS's Internet Home Page on or about July 25, 2000. Bids will be due for both, MMS and the State, at the posted receipt location on or about August 21, 2000. MMS and the State will notify successful bidders on or about August 25, 2000. The Federal Government and the State will begin actual taking of awarded royalty oil volumes for delivery to successful bidders for a 6-month period beginning October 1, 2000.
The IFB will be posted on RMP's Home page at http://www.rmp.mms.gov under the icon “What's New.” The IFB may also be obtained by contacting Mr. Todd Leneau at the address in the FURTHER INFORMATION section. Bids should be submitted to the address provided in the IFB.Start Further Info
FOR FURTHER INFORMATION CONTACT:
For additional information concerning the IFB document, terms, and process for Federal leases, contact Mr. Todd Leneau, Minerals Management Service, MS 2730, P.O. Box 25165, Denver, Co 80225-0165; telephone number (303) 275-7385; fax (303) 275-7303; e-mail Todd.Leneau@mms.gov. For additional information concerning the IFB document, terms, and process for State of Wyoming properties, contact Mr. Harold Kemp, Office of State Lands and Investments, Herschler Building, 3rd Floor West, 122 West 25th Street, Cheyenne, WY 82002-0600; telephone number (307) 777-6643; fax (307) 777-5400; e-mail: email@example.com.End Further Info End Preamble Start Supplemental Information
The offering in this IFB continues the ongoing RIK program in Wyoming. The State and MMS believe that taking oil royalties as a share of production, or RIK, from the properties offered in the IFB is a viable alternative to the agencies' usual practice of collecting oil royalties as a share of the value received by the lessee for sale of the production. Both agencies will continue to monitor the effectiveness of the RIK approach to taking crude oil royalties in Wyoming.
This sale involves approximately 6,600 bpd of crude oil from 380 Federal and State properties located in Wyoming's Bighorn and Powder River Basins. The volume represents an increase of about 1,700 bpd compared to the most recent IFB, No. 31053, which offered 4,900 bpd of crude oil for delivery to purchasers for production months April 2000 through September 2000. Most production is pipeline-connected. In the few instances where there is also some trucked production on a property, Exhibit A to the IFB will detail those properties.
Purchasers may bid on specific pipeline subgroups and/or on the entire packages of Wyoming sweet crude oil, Wyoming general sour crude oil, or Wyoming asphaltic sour crude oil. Bids will be due as specified in the IFB on or about August 21, 2000, and successful bidders will be notified on or about August 25, 2000.
MMS is allowing bidders to self-certify their financial solvency for the purpose of pre-qualifying to bid without the need for a letter of credit. Details will be available in the IFB.
The following are some of the additional details regarding the offerings that will be posted in the IFB on or about July 25, 2000:
- List of specific properties;
- For each property—tract allocations, royalty rate(s), average daily royalty volume, quality, current transporter, and operator;
- Bid basis;
- Reporting requirements;
- Terms and conditions; and
- Contract format.
The internet posting and availability of the IFB in hard copy are being announced in oil and gas trade journals as well as in this Federal Register notice.Start Signature
Dated: July 14, 2000.
Lucy Querques Denett,
Associate Director for Royalty, Management Program.
[FR Doc. 00-18342 Filed 7-19-00; 8:45 am]
BILLING CODE 4310-MR-P