SUPPLEMENTARY INFORMATION:

Pursuant to the PRA, 44 U.S.C. 3501 et seq., and 5 CFR 1320.5, all information collections, as defined in 5 CFR 1320.3, require approval by OMB. ONRR may not conduct or sponsor, and you are not required to respond to, a collection of information unless it displays a currently valid OMB control number.

As part of ONRR's continuing effort to reduce paperwork and respondent burdens, ONRR is inviting the public and other Federal agencies to comment on new, proposed, revised, and continuing collections of information in accordance with the PRA and 5 CFR 1320.8(d)(1). This helps ONRR to assess the impact of its information collection requirements and minimize the public's reporting burden. It also helps the public understand ONRR's information collection requirements and provide the requested data in the desired format.

ONRR is especially interested in public comments addressing the following:

(1) Whether the collection of information is necessary for the proper performance of the functions of the agency, including whether the information will have practical utility;

(2) The accuracy of ONRR's estimate of the burden for this collection of ( printed page 57919) information, including the validity of the methodology and assumptions used;

(3) Ways to enhance the quality, utility, and clarity of the information to be collected; and

(4) How might the agency minimize the burden of the collection of information on those who are to respond, including through the use of appropriate automated, electronic, mechanical, or other technological collection techniques or other forms of information technology, e.g., permitting electronic submission of response.

As required in 5 CFR 1320.8(d), ONRR published a 60-Day Notice, for review and comment, in the Federal Register on April 9, 2026 (91 FR 18002). ONRR did not receive any comments in response to the Federal Register notice available at www.regulations.gov. ONRR additionally reached out to three members of industry soliciting comments for this information collection request renewal and received one comment. One member of industry provided a comment agreeing with the content of this information collection. ONRR responded by thanking that member of industry for their time.

Comments that you submit in response to this notice are a matter of public record. ONRR will include or summarize each comment in its request to OMB to approve this ICR. Before including your address, phone number, email address, or other personal identifying information in your comment, you should be aware that your entire comment—including your personal identifying information—may be made publicly available at any time. While you can ask ONRR in your comment to withhold your personal identifying information from public review, ONRR cannot guarantee that it will be able to do so.

(a) Abstract—General Information: The Federal Oil and Gas Royalty Management Act of 1982 (FOGRMA) directs the Secretary of the Interior (Secretary) to “establish a comprehensive inspection, collection and fiscal and production accounting and auditing system to provide the capability to accurately determine oil and gas royalties, interest, fines, penalties, fees, deposits, and other payments owed, and to collect and account for such amounts in a timely manner.” 30 U.S.C. 1711(a). ONRR performs these and other mineral revenue management responsibilities for the Secretary. See U.S. Department of the Interior Departmental Manual, 112 DM 34.1 (Dec. 9, 2020).

Through this ICR, ONRR seeks continued authority to collect information necessary to perform its delegated mineral revenue management responsibilities for Net Profit Share Leases (NPSLs). The NPSLs are OCS leases that set forth the payment of a percentage of the net profits from oil and gas production to the United States. See30 CFR part 1220. The requirement to report the collected information accurately and timely is mandatory.

(b) Information Collections:30 CFR part 1220 requires a NPSL lessee to maintain and provide the following categories of information:

(1) NPSL Capital Accounts and Reports: Sections 1220.010 and 1220.021 require the lessee to establish and maintain a capital account for each NPSL. These sections require the lessee to credit the capital account with all production revenues attributable to the NPSL and any other credits arising from NPSL activities. The sections also require the lessee to debit the account with all allowable direct and allocable joint costs incurred during the term of the lease, appropriate overhead allowances, and allowances for capital recovery.

Section 1220.031(a) requires the lessee to file annual reports with ONRR regarding the costs incurred until production revenues are credited to the capital account. Once production revenues are credited to the account, § 1220.031(b) requires the lessee to file monthly reports with ONRR. That section requires the monthly reports to include the volume and disposition of all oil and gas production saved, removed, or sold, the production revenue, the amount and description of all costs and credits to the NPSL capital account, the balance of the NPSL capital account, the net profit share base and net profit share payment due the United States, and the monthly profit share of the lessee. Section 1220.031(e) requires the lessee to file a final report with ONRR upon cessation of production indicating the remaining balance and costs and credits to the NPSL capital account.

(2) NPSL Inventories: Section 1220.032(a) and (b) require the lessee to take inventories of NPSL equipment, apparatus, and supplies at reasonable intervals not to exceed three years. Section 1220.032(b) requires the lessee to notify the Bureau of Ocean Energy Management (BOEM) of its intent to take inventory so that BOEM's Director may be represented at the inventory taking. Section 1220.032(d) requires the lessee to reconcile the physical inventory with the NPSL capital account and to make a list of overages and shortages available to the BOEM Director for audit. Section 1220.031(d) requires the lessee to file an inventory report following the inventory taking.

(3) NPSL Records and Audits: Section 1220.030(a) requires an NPSL lessee to establish and maintain certain records related to the NPSL. Section 1220.033(e) authorizes ONRR to inspect these records during normal business hours upon request. Section 1220.033(a) authorizes ONRR to audit accounts of the NPSL lessee or its contractor related to NPSL operations. Where possible, § 1220.033(a) requires ONRR to coordinate its audit with audit efforts of other nonoperators, if any. Section 1220.033(b)(1) requires nonoperators of the NPSL to notify ONRR of an audit call so that it may elect to send an auditor with the nonoperator's audit team in lieu of a separate audit call.

Title of Collection:30 CFR Part 1220, OCS Net Profit Share Payment Reporting.

OMB Control Number: 1012-0009.

Form Numbers: None.

Type of Review: Extension of a currently approved collection.

Respondents/Affected Public: Businesses.

Total Estimated Number of Annual Respondents: 1.

ONRR further refined its estimate after the publication of the 60-Day Notice (91 FR 18002). ONRR does not currently have any active NPSLs in its system because the leases have either expired, were terminated, or relinquished. However, because the authority to issue similar leases may still exist, ONRR does not anticipate—but also cannot entirely rule out—the possibility of future monthly sales reports. Furthermore, companies may still be within the allowable timeframe to adjust prior reporting. Between January 2022 and January 2026, ONRR received three adjustment royalty reports. For these reasons, the time burden associated with this ICR has decreased as ONRR expects only a minimal number of additional adjustments for NPSLs.

ONRR excluded estimates of certain requirements performed in the normal course of business that are considered usual and customary. ONRR further refined its estimate after the publication of the 60-Day Notice (91 FR 18002).

Total Estimated Number of Annual Responses: 1.

Total Estimated Number of Annual Burden Hours: 3 hours.

Estimated Completion Time per Response: 3 hours.

Respondent's Obligation: Mandatory.

Frequency of Collection: On occasion.

Estimated Annual Non-hour Cost Burden: ONRR has identified no “non- ( printed page 57920) hour” cost burden associated with the collection of information.

An agency may not conduct, or sponsor and a person is not required to respond to a collection of information unless it displays a currently valid OMB control number.

The authority for this action is the PRA (44 U.S.C. 3501 et seq.).