81_FR_95433 81 FR 95185 - Gulf of Mexico Central Planning Area Outer Continental Shelf Oil and Gas Lease Sale 247; MMAA104000

81 FR 95185 - Gulf of Mexico Central Planning Area Outer Continental Shelf Oil and Gas Lease Sale 247; MMAA104000

DEPARTMENT OF THE INTERIOR
Bureau of Ocean Energy Management

Federal Register Volume 81, Issue 248 (December 27, 2016)

Page Range95185-95190
FR Document2016-31218

On Wednesday, March 22, 2017, the Bureau of Ocean Energy Management (BOEM) will open and publicly announce bids received for blocks offered in the Gulf of Mexico Central Planning Area (CPA) Lease Sale 247 (CPA Sale 247.. The CPA Sale 247 Final Notice of Sale (NOS) package contains information essential to potential bidders.

Federal Register, Volume 81 Issue 248 (Tuesday, December 27, 2016)
[Federal Register Volume 81, Number 248 (Tuesday, December 27, 2016)]
[Notices]
[Pages 95185-95190]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-31218]


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DEPARTMENT OF THE INTERIOR

Bureau of Ocean Energy Management


Gulf of Mexico Central Planning Area Outer Continental Shelf Oil 
and Gas Lease Sale 247; MMAA104000

AGENCY: Bureau of Ocean Energy Management, Interior.

ACTION: Final notice of sale.

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SUMMARY: On Wednesday, March 22, 2017, the Bureau of Ocean Energy 
Management (BOEM) will open and publicly announce bids received for 
blocks offered in the Gulf of Mexico Central Planning Area (CPA) Lease 
Sale 247 (CPA Sale 247.. The CPA Sale 247 Final Notice of Sale (NOS) 
package contains information essential to potential bidders.

DATES: Public Bid reading for CPA Sale 247 will begin at 9:00 a.m. on 
Wednesday, March 22, 2017, at 1201 Elmwood Park Boulevard, New Orleans, 
Louisiana. The venue will not be open to the general public, media, or 
industry. Instead, the bid opening will be available for public viewing 
on BOEM's Web site at www.boem.gov via live-streaming video beginning 
at 9:00 a.m. on the date of the sale. The use of live-streaming video 
will provide greater access to a wider national and international 
audience while ensuring the security of BOEM staff. BOEM will also post 
the results on its Web site after bid opening and reading are 
completed. All times referred to in this document are Central Standard 
Time, unless otherwise specified.
    Bid Submission Deadline: BOEM must receive all sealed bids during 
normal business hours, between 8:00 a.m. and 4:00 p.m. through March 
20, 2017, and from 8:00 a.m. to the Bid Submission Deadline of 10:00 
a.m. on Tuesday, March 21, 2017, the day before the lease sale. For 
more information on bid submission, see Section VII, ``Bidding 
Instructions,'' of this document.

ADDRESSES: Interested parties, upon request, may obtain a compact disc 
(CD-ROM) containing the Final Notice of Sale (NOS) package by 
contacting the BOEM Gulf of Mexico (GOM) Region at: Gulf of Mexico 
Region Public Information Office, Bureau of Ocean Energy Management, 
1201 Elmwood Park Boulevard, New Orleans, Louisiana 70123-2394, (504) 
736-2519 or (800) 200-GULF, or can download the Final NOS package by 
visiting the BOEM Web site at http://www.boem.gov/Sale-247/.

Table of Contents

    This Final NOS includes the following sections:

I. Lease Sale Area
II. Statutes and Regulations
III. Lease Terms and Economic Conditions
IV. Lease Stipulations
V. Information to Lessees
VI. Maps
VII. Bidding Instructions
VIII. Bidding Rules and Restrictions
IX. Forms
X. The Lease Sale
XI. Delay of Sale

I. Lease Sale Area

    Blocks Offered for Leasing: BOEM will offer for bid in this lease 
sale all of the available unleased acreage in the CPA, except those 
blocks listed in ``Blocks Not Offered for Leasing'' below.
    Blocks Not Offered for Leasing: The following whole and partial 
blocks are not offered for lease in this sale:
    Whole and partial blocks deferred by the Gulf of Mexico Energy 
Security Act of 2006, Public Law 109-432:

Pensacola (OPD NH 16-05)

Whole Blocks: 751 through 754, 793 through 798, 837 through 842, 881 
through 886, 925 through 930, and 969 through 975

Destin Dome (OPD NH 16-08)

Whole Blocks: 1 through 7, 45 through 51, 89 through 96, 133 through 
140, 177 through 184, 221 through 228, 265 through 273, 309 through 
317, 353 through 361, 397 through 405, 441 through 450, 485 through 
494, 529 through 538, 573 through 582, 617 through 627, 661 through 
671, 705 through 715, 749 through 759, 793 through 804, 837 through 
848, 881 through 892, 925 through 936, and 969 through 981

DeSoto Canyon (OPD NH 16-11)

Whole Blocks: 1 through 15, 45 through 59, and 92 through 102
Partial Blocks: 16, 60, 61, 89 through 91, 103 through 105, and 135 
through 147

Henderson (OPD NG 16-05)

Partial Blocks: 114, 158, 202, 246, 290, 334, 335, 378, 379, 422, and 
423

    Blocks that are adjacent to or beyond the United States Exclusive 
Economic Zone in the area known as the northern portion of the Eastern 
Gap:

Lund South (OPD NG 16-07)

Whole Blocks: 128, 129, 169 through 173, 208 through 217, 248 through 
261, 293 through 305, and 349

Henderson (OPD NG 16-05)

Whole Blocks: 466, 508 through 510, 551 through 554, 594 through 599, 
637 through 643, 679 through 687, 722 through 731, 764 through 775, 807 
through 819, 849 through 862, 891 through 905, 933 through 949, and 975 
through 992
Partial Blocks: 467, 511, 555, 556, 600, 644, 688, 732, 776, 777, 820, 
821, 863, 864, 906, 907, 950, 993, and 994

Florida Plain (OPD NG 16-08)

Whole Blocks: 5 through 24, 46 through 67, 89 through 110, 133 through 
154, 177 through 197, 221 through 240, 265 through 283, 309 through 
327, and 363 through 370

The lease status of the following block is currently under appeal; 
should the appeal be resolved prior to publishing the Final NOS, the 
block may be available for lease in the CPA 247 Sale:

West Cameron (Leasing Map LA1) Block 171

II. Statutes and Regulations

    In accordance with the provisions of the Outer Continental Shelf 
Lands Act,

[[Page 95186]]

43 U.S.C. 1331-1356, as amended (OCSLA), and the implementing 
regulations issued pursuant thereto in 30 CFR parts 550 and 556, each 
lease is issued pursuant to OCSLA and is subject to OCSLA implementing 
regulations promulgated pursuant thereto, and other applicable statutes 
and regulations in existence upon the effective date of the lease, as 
well as those applicable statutes enacted and regulations promulgated 
thereafter, except to the extent that the after-enacted statutes and 
regulations explicitly conflict with an express provision of the lease. 
Each lease is also subject to amendments to statutes and regulations, 
including but not limited to OCSLA, that do not explicitly conflict 
with an express provision of the lease. The lessee expressly bears the 
risk that such new or amended statutes and regulations (i.e., those 
that do not explicitly conflict with an express provision of the lease) 
may increase or decrease the lessee's obligations under the lease.

III. Lease Terms and Economic Conditions

Lease Terms

OCS Lease Form
    BOEM will use Form BOEM-2005 (October 2011) to convey leases 
resulting from this sale. This lease form may be viewed on the BOEM Web 
site at http://www.boem.gov/BOEM-2005/. The lease form will be amended 
to conform with the specific terms, conditions, and stipulations 
applicable to the individual lease. The terms, conditions, and 
stipulations applicable to this sale are set forth below.
Initial Periods
    Initial periods are summarized in the following table:

------------------------------------------------------------------------
   Water depth (meters)                    Initial period
------------------------------------------------------------------------
0 to <400................  Standard initial period is 5 years; the
                            lessee may earn an additional 3 years (i.e.,
                            for an 8-year extended initial period) if a
                            well is spudded targeting hydrocarbons below
                            25,000 feet True Vertical Depth Subsea (TVD
                            SS) during the first 5 years of the lease.
400 to <800..............  Standard initial period is 5 years; the
                            lessee will earn an additional 3 years
                            (i.e., for an 8-year extended initial
                            period) if a well is spudded during the
                            first 5 years of the lease.
800 to <1,600............  Standard initial period is 7 years; the
                            lessee will earn an additional 3 years
                            (i.e., for a 10-year extended initial
                            period) if a well is spudded during the
                            first 7 years of the lease.
1,600 +..................  10 years.
------------------------------------------------------------------------

    (1) The standard initial period for a lease in water depths less 
than 400 meters issued as a result of this sale is 5 years. If the 
lessee spuds a well targeting hydrocarbons below 25,000 feet TVD SS 
within the first 5 years of the lease, then the lessee may earn an 
additional 3 years, resulting in an 8 year extended initial period. The 
lessee will earn the 8-year extended initial period when the well is 
drilled to a target below 25,000 feet TVD SS, or the lessee may earn 
the 8-year extended initial period in cases where the well targets, but 
does not reach, a depth below 25,000 feet TVD SS due to mechanical or 
safety reasons, where sufficient evidence is provided that it did not 
reach that target for reasons beyond the lessee's control.
    In order to earn the 8-year extended initial period, the lessee is 
required to submit to the BOEM Gulf of Mexico Regional Supervisor for 
Leasing and Plans, as soon as practicable, but in any instance not more 
than 30 days after completion of the drilling operation, a letter 
providing the well number, spud date, information demonstrating a 
target below 25,000 TVD SS and whether that target was reached, and if 
applicable, any safety, mechanical, or other problems encountered that 
prevented the well from reaching a depth below 25,000 feet TVD SS. This 
letter must request confirmation that the lessee earned the 8-year 
extended initial period. The extended initial period is not effective 
unless and until the lessee receives confirmation from BOEM. The 
Regional Supervisor for Leasing and Plans will confirm in writing, 
within 30 days of receiving the lessee's letter whether the lessee has 
earned the extended initial period and update BOEM records accordingly.
    A lessee that has earned the 8-year extended initial period by 
spudding a well with a hydrocarbon target below 25,000 feet TVD SS 
during the standard 5-year initial period of the lease, will not be 
granted a suspension for that same period under the regulations at 30 
CFR 250.175, because the lease is not at risk of expiring.
    (2) The standard initial period for a lease in water depths ranging 
from 400 to less than 800 meters issued as a result of this sale is 5 
years. If the lessee spuds a well within the standard 5-year initial 
period of the lease, the lessee will earn an additional 3 years, 
resulting in an 8-year extended initial period.
    In order to earn the 8-year extended initial period, the lessee is 
required to submit to the BOEM Gulf of Mexico Regional Supervisor for 
Leasing and Plans, as soon as practicable, but in no case more than 30 
days after spudding a well, a letter providing the well number and spud 
date, and requesting confirmation that the lessee earned the 8-year 
extended initial period. Within 30 days of receipt of the request, the 
Regional Supervisor for Leasing and Plans will provide written 
confirmation of whether the lessee has earned the earned the extended 
initial period and update BOEM records accordingly.
    (3) The standard initial period for a lease in water depths ranging 
from 800 to less than 1,600 meters issued as a result of this sale is 7 
years. If the lessee spuds a well within the standard 7-year initial 
period of the lease, the lessee will earn an additional 3 years, 
resulting in a 10-year extended initial period.
    In order to earn the 10-year extended initial period, the lessee is 
required to submit to the BOEM Gulf of Mexico Regional Supervisor for 
Leasing and Plans, as soon as practicable, but in no case more than 30 
days after spudding a well, a letter providing the well number and spud 
date, and requesting confirmation that the lessee earned the 10-year 
extended initial period. Within 30 days of receipt of the request, the 
Regional Supervisor for Leasing and Plans will provide written 
confirmation of whether the lessee has earned the extended initial 
period and update BOEM records accordingly.
    (4) The standard initial period for a lease in water depths 1,600 
meters or greater issued as a result of this sale will be 10 years.

[[Page 95187]]

Economic Conditions

Minimum Bonus Bid Amounts
     $25.00 per acre or fraction thereof for blocks in water 
depths less than 400 meters; and
     $100.00 per acre or fraction thereof for blocks in water 
depths 400 meters or deeper.
    BOEM will not accept a bonus bid unless it provides for a cash 
bonus in an amount equal to, or exceeding, the specified minimum bid of 
$25.00 per acre or fraction thereof for blocks in water depths less 
than 400 meters, and $100.00 per acre or fraction thereof for blocks in 
water depths 400 meters or deeper.
Rental Rates
    Annual rental rates are summarized in the following table:

                Rental Rates per Acre or Fraction Thereof
------------------------------------------------------------------------
                                    Years 1-
       Water depth (meters)            5          Years 6, 7, & 8 +
------------------------------------------------------------------------
0 to <200.........................    $7.00  $14.00, $21.00, & $28.00
200 to <400.......................    11.00  $22.00, $33.00, & $44.00
400 +.............................    11.00  $16.00
------------------------------------------------------------------------

Escalating Rental Rates for Leases With an 8-Year Extended Initial 
Period in Water Depths Less Than 400 Meters
    Any lessee with a lease in less than 400 meters water depth who 
earns an 8-year extended initial period will pay an escalating rental 
rate as shown above. The rental rates after the fifth year for blocks 
in less than 400 meters water depth will become fixed and no longer 
escalate, if another well is spudded targeting hydrocarbons below 
25,000 feet TVD SS after the fifth year of the lease, and BOEM concurs 
that such a well has been spudded. In this case, the rental rate will 
become fixed at the rental rate in effect during the lease year in 
which the additional well was spudded.
Royalty Rate
 18.75%
Minimum Royalty Rate
     $7.00 per acre or fraction thereof per year for blocks in 
water depths less than 200 meters; and
     $11.00 per acre or fraction thereof per year for blocks in 
water depths 200 meters or deeper.
Royalty Suspension Provisions
    The issuance of leases with Royalty Suspension Volumes (RSVs) or 
other forms of royalty relief is authorized under existing BOEM 
regulations at 30 CFR part 560. The specific details relating to 
eligibility and implementation of the various royalty relief programs, 
including those involving the use of RSVs, are codified in Bureau of 
Safety and Environmental Enforcement (BSEE) regulations at 30 CFR part 
203. In this sale, the only royalty relief program being offered that 
involves the provision of RSVs relates to the drilling of ultra-deep 
wells in water depths of less than 400 meters, as described in the 
following sections.
Royalty Suspension Volumes on Gas Production From Ultra-Deep Wells
    Leases issued as a result of this sale may be eligible for RSVs 
incentives on gas produced from ultra-deep wells pursuant to 30 CFR 
part 203. These regulations implement the requirements of the Energy 
Policy Act of 2005. Under this program, wells on leases in less than 
400 meters water depth and completed to a drilling depth of 20,000 feet 
TVD SS or deeper receive a RSV of 35 billion cubic feet on the 
production of natural gas. This RSVs incentive is subject to applicable 
price thresholds set forth in the regulation at 30 CFR part 203.

IV. Lease Stipulations

    One or more of the following stipulations may be applied to leases 
issued as a result of this sale. The detailed text of these 
stipulations is contained in the ``Lease Stipulations'' section of the 
Final NOS package.

(1) Topographic Features
(2) Live Bottom
(3) Military Areas
(4) Evacuation
(5) Coordination
(6) Blocks South of Baldwin County, Alabama
(7) United Nations Convention on the Law of the Sea Royalty Payment
(8) Protected Species
(9) Below Seabed Operations
(10) Agreement between the United States of America and the United 
Mexican States Concerning Transboundary Hydrocarbon Reservoirs in the 
Gulf of Mexico

V. Information to Lessees

    The Information to Lessees (ITL) clauses below provide detailed 
information on certain issues pertaining to this oil and gas lease 
sale. The detailed text of these ITL clauses is contained in the 
``Information to Lessees'' section of the Final NOS package and 
includes:

(1) Navigation Safety
(2) Ordnance Disposal Areas in the CPA
(3) Communications Towers
(4) Existing and Proposed Artificial Reefs/Rigs-to-Reefs
(5) Lightering Zones
(6) Indicated Hydrocarbons List
(7) Military Areas in the CPA
(8) BSEE Inspection and Enforcement of selected U.S. Coast Guard 
Regulations
(9) Deepwater Port Applications for Offshore Liquefied Natural Gas 
Facilities
(10) Ocean Dredged Material Disposal Sites
(11) Potential Sand Dredging Activities in the CPA
(12) Below Seabed Operations
(13) Industrial Waste Disposal Areas
(14) Air Quality Permits
(15) Notice of Arrival on the Outer Continental Shelf
(16) Gulf Islands National Seashore
(17) Bidder/Lessee Notice of Obligations Related to Criminal/Civil 
Charges and Offenses, Suspension, or Debarment; Disqualification Due to 
a Conviction under the Clean Air Act or the Clean Water Act
(18) Protected Species
(19) Proposed Expansion of the Flower Garden Banks National Marine 
Sanctuary

VI. Maps

    The maps pertaining to this lease sale may be found on the BOEM Web 
site at http://www.boem.gov/Sale-247/.
    The following maps also are included in the Final NOS package:
Lease Terms and Economic Conditions Map
    The lease terms, economic conditions, and the blocks to which these 
terms and conditions apply are shown on the map entitled, ``Final, 
Central Planning Area, Lease Sale 247, March 22, 2017, Lease Terms and 
Economic Conditions,'' which is included in the Final NOS package.
Stipulations and Deferred Blocks Map
    The blocks to which one or more lease stipulations may apply are 
shown on the map entitled, ``Final, Central Planning Area, Lease Sale 
247, March 22, 2017, Stipulations and Deferred Blocks Map,'' which is 
included in the Final NOS package.

VII. Bidding Instructions

    Bids may be submitted in person or by mail at the address below in 
the ``Mailed Bids'' section. Bidders submitting their bid(s) in person 
are advised to contact Ms. Cindy Thibodeaux at (504) 736-2809, or Mr. 
Greg Purvis at (504) 736-1729, to schedule a time and provide the names 
of the company representative(s) to submit the bid(s). Instructions on 
how

[[Page 95188]]

to submit a bid, secure payment of the advance bonus bid deposit (if 
applicable), and what information must be included with the bid are as 
follows:
Bid Form
    For each block bid upon, a separate sealed bid must be submitted in 
a sealed envelope (as described below) and include the following:
     Total amount of the bid in whole dollars only;
     Sale number;
     Sale date;
     Each bidder's exact name;
     Each bidder's proportionate interest, stated as a 
percentage, using a maximum of five decimal places (e.g., 33.33333%);
     Typed name and title, and signature of each bidder's 
authorized officer;
     Each bidder's qualification number;
     Map name and number or Official Protraction Diagram (OPD) 
name and number;
     Block number; and
     Statement acknowledging that the bidder(s) understand that 
this bid legally binds the bidder(s) to comply with all applicable 
regulations, including payment of one-fifth of the bonus bid amount on 
all apparent high bids.
    The information required on the bid(s) will be specified in the 
document ``Bid Form'' contained in the Final NOS package. A blank bid 
form is provided in the Final NOS package for convenience and may be 
copied and completed with the necessary information described above.
Bid Envelope
    Each bid must be submitted in a separate sealed envelope labeled as 
follows:
     ``Sealed Bid for Central Planning Area Oil and Gas Lease 
Sale 247, not to be opened until 9 a.m. Wednesday, March 22, 2017'';
     Map name and number or OPD name and number;
     Block number for block bid upon; and
     The exact name and qualification number of the submitting 
bidder only.
    The Final NOS package includes a sample bid envelope for reference.
Mailed Bids
    If bids are mailed, please address the envelope containing the 
sealed bid envelope(s) as follows: Attention: Leasing and Financial 
Responsibility Section, BOEM Gulf of Mexico Region, 1201 Elmwood Park 
Boulevard WS-266A, New Orleans, Louisiana 70123-2394.
    Contains Sealed Bids for CPA Oil and Gas Lease Sale 247, Please 
Deliver to Ms. Cindy Thibodeaux or Mr. Greg Purvis 2nd Floor, 
Immediately.

Please Note

    Bidders mailing bid(s) are advised to call Ms. Cindy Thibodeaux at 
(504) 736-2809, or Mr. Greg Purvis at (504) 736-1729, immediately after 
putting their bid(s) in the mail to ensure receipt of bids prior to the 
Bid Submission Deadline. If BOEM receives bids later than the Bid 
Submission Deadline, the BOEM Gulf of Mexico Regional Director (RD) 
will return those bids unopened to bidders. Please see ``Section XI. 
Delay of Sale'' regarding BOEM's discretion to extend the Bid 
Submission Deadline in the case of an unexpected event (e.g., flooding 
or travel restrictions) and how bidders can obtain more information on 
such extensions.
Advance Bonus Bid Deposit Guarantee
    Bidders that are not currently an OCS oil and gas lease record 
title holder or designated operator, or those that ever have defaulted 
on a one-fifth bonus bid deposit, by Electronic Funds Transfer (EFT) or 
otherwise, must guarantee (secure) the payment of the one-fifth bonus 
bid deposit prior to bid submission using one of the following four 
methods:
     Provide a third-party guarantee;
     Amend an area-wide development bond via bond rider;
     Provide a letter of credit; or
     Provide a lump sum payment in advance via EFT.
    For more information on EFT procedures, see Section X of this 
document entitled, ``The Lease Sale.''
Affirmative Action
    Prior to bidding, each bidder should file Equal Opportunity 
Affirmative Action Representation Form BOEM-2032 (October 2011, http://www.boem.gov/BOEM-2032/) and Equal Opportunity Compliance Report 
Certification Form BOEM-2033 (October 2011, http://www.boem.gov/BOEM-2033/) with the BOEM Gulf of Mexico Region Adjudication Section. This 
certification is required by 41 CFR part 60 and Executive Order No. 
11246, issued September 24, 1965, as amended by Executive Order No. 
11375, issued October 13, 1967, and by Executive Order 13672, issued 
July 21, 2014. Both forms must be on file for the bidder(s) in the GOM 
Region Adjudication Section prior to the execution of any lease 
contract.
Geophysical Data and Information Statement (GDIS)
    The GDIS is composed of three parts:
    (1) The ``Statement'' page includes the company representatives' 
information and lists of blocks bid on that used proprietary data and 
those blocks bid on that did not use proprietary data;
    (2) The ``Table'' listing the required data about each proprietary 
survey used (see below); and
    (3) The ``Maps'' being the live trace maps for each survey that are 
identified in the GDIS statement and table.
    Every bidder submitting a bid on a block in CPA Lease Sale 247, or 
participating as a joint bidder in such a bid, must submit at the time 
of bid submission all three parts of the GDIS. A bidder must submit the 
GDIS even if a joint bidder or bidders on a specific block also have 
submitted a GDIS. Any speculative data that has been reprocessed 
externally or ``in-house'' is considered proprietary due to the 
proprietary processing and is no longer considered to be speculative.
    The GDIS must be submitted in a separate and sealed envelope, and 
must identify all proprietary data; reprocessed speculative data, and/
or any Controlled Source Electromagnetic surveys, Amplitude Versus 
Offset (AVO), Gravity, or Magnetic data; or other information used as 
part of the decision to bid or participate in a bid on the block. The 
bidder and joint bidder must also include a live trace map (e.g., .pdf 
and ArcGIS shape file) for each proprietary survey that they identify 
in the GDIS illustrating the actual areal extent of the proprietary 
geophysical data in the survey (see the ``Example of Preferred Format'' 
in the Final NOS package for additional information). The shape file 
should not include cultural information; only the live trace map of the 
survey itself.
    The GDIS statement must include the name, phone number, and full 
address of a contact person and an alternate who are both knowledgeable 
about the information and data listed and who are available for 30 days 
after the sale date. The GDIS statement also must include a list of all 
blocks bid upon that did not use proprietary or reprocessed pre- or 
post-stack geophysical data and information as part of the decision to 
bid or to participate as a joint bidder in the bid. The GDIS statement 
must be submitted even if no proprietary geophysical data and 
information were used in bid preparation for the block.
    The GDIS table should have columns that clearly state:
     The sale number; the bidder company's name;
    The block area and block number bid on;
    The owner of the original data set (i.e., who initially acquired 
the data);

[[Page 95189]]

    The industry's original name of the survey (e.g., E Octopus); the 
BOEM permit number for the survey;
    Whether the data set is a fast track version;
    Whether the data is speculative or proprietary;
    The data type (e.g., 2-D, 3-D, or 4-D; pre-stack or post-stack; and 
time or depth); and
    The migration algorithm (e.g., Kirchhoff Migration, Wave Equation 
Migration, Reverse Migration, Reverse Time Migration) of the data and 
the areal extent of the bidder survey (i.e., number of line miles for 
2-D or number of blocks for 3-D).
    Also, provide the computer storage size, to the nearest gigabyte, 
of each seismic data and velocity volume used to evaluate the lease 
block in question. This information will be used in estimating the 
reproduction costs for each data set, if applicable. The availability 
of reimbursement of production costs will be determined consistent with 
30 CFR 551.13.
    Also indicate who reprocessed the data (e.g., external company name 
or ``in-house'') and when the date of final reprocessing was completed 
(month and year). If the data was sent to BOEM for bidding in a 
previous lease sale, list the date the data was processed (month and 
year) and indicate if AVO data was used in the evaluation. BOEM 
reserves the right to query about alternate data sets, to quality 
check, and to compare the listed and alternative data sets to determine 
which data set most closely meets the needs of the fair market value 
determination process. An example of the preferred format of the table 
may be found in the Final NOS package, and a blank digital version of 
the preferred table may be accessed on the CPA Sale 247 Web page at 
http://www.boem.gov/Sale-247.
    The GDIS maps are live trace maps (in .pdf and ArcGIS shape files) 
that should be submitted for each proprietary survey that is identified 
in the GDIS table. They should illustrate the actual areal extent of 
the proprietary geophysical data in the survey (see the ``Example of 
Preferred Format'' in the Final NOS package for additional 
information). As previously stated, the shape file should not include 
cultural information; only the live trace map of the survey itself. 
Pursuant to 30 CFR 551.12 and 30 CFR 556.501, as a condition of the 
sale, the BOEM Gulf of Mexico RD requests that all bidders and joint 
bidders submit the proprietary data identified on their GDIS within 30 
days after the lease sale (unless they are notified after the lease 
sale that BOEM has withdrawn the request). This request only pertains 
to proprietary data that is not commercially available. Commercially 
available data is not required to be submitted to BOEM, and 
reimbursement will not be provided if such data is submitted by a 
bidder. The BOEM Gulf of Mexico RD will notify bidders and joint 
bidders of any withdrawal of the request, for all or some of the 
proprietary data identified on the GDIS, within 15 days of the lease 
sale. Pursuant to 30 CFR part 551 and 30 CFR 556.501, as a condition of 
this sale, all bidders that are required to submit data must ensure 
that the data is received by BOEM no later than the 30th day following 
the lease sale, or the next business day if the submission deadline 
falls on a weekend or Federal holiday. The data must be submitted to 
BOEM at the following address:

Bureau of Ocean Energy Management, Resource Studies, GM 881A, 1201 
Elmwood Park Blvd., New Orleans, LA 70123-2304.

    BOEM recommends that bidders mark the submission's external 
envelope as ``Deliver Immediately to DASPU.'' BOEM also recommends that 
the data be submitted in an internal envelope, or otherwise marked, 
with the following designation: ``Proprietary Geophysical Data 
Submitted Pursuant to CPA Lease Sale 247 and used during  evaluation of Block .''
    In the event a person supplies any type of data to BOEM, that 
person must meet the following requirements to qualify for 
reimbursement:
    (1) The person must be registered with the System for Award 
Management (SAM), formerly known as the Central Contractor Registration 
(CCR). CCR usernames will not work in SAM. A new SAM User Account is 
needed to register or update an entity's records. The Web site for 
registering is https://www.sam.gov.
    (2) The persons must be enrolled in the Department of Treasury's 
Invoice Processing Platform (IPP) for electronic invoicing. The person 
must enroll in the IPP at https://www.ipp.gov/. Access then will be 
granted to use the IPP for submitting requests for payment. When a 
request for payment is submitted, it must include the assigned Purchase 
Order Number on the request.
    (3) The persons must have a current On-line Representations and 
Certifications Application at https://www.sam.gov.
Please Note
    The GDIS Information Table must be submitted digitally, preferably 
as an Excel spreadsheet, on a CD or DVD along with the seismic data 
map(s). If bidders have any questions, please contact Ms. Dee Smith at 
(504) 736-2706, or Mr. John Johnson at (504) 736-2455. Bidders should 
refer to Section X of this document, ``The Lease Sale: Acceptance, 
Rejection, or Return of Bids,'' regarding a bidder's failure to comply 
with the requirements of the Final NOS, including any failure to submit 
information as required in the Final NOS or Final NOS package.
Telephone Numbers/Addresses of Bidders
    BOEM requests that bidders provide this information in the 
suggested format prior to or at the time of bid submission. The 
suggested format will be included in the Final NOS package. The form 
must not be enclosed inside the sealed bid envelope.
Additional Documentation
    BOEM may require bidders to submit other documents in accordance 
with 30 CFR 556.107, 30 CFR 556.401, 30 CFR 556.501, and 30 CFR 
556.513.

VIII. Bidding Rules and Restrictions

Restricted Joint Bidders
    On November 4, 2016, BOEM published the most recent List of 
Restricted Joint Bidders in the Federal Register at 81 FR 76962. 
Potential bidders are advised to refer to the Federal Register, prior 
to bidding, for the most current List of Restricted Joint Bidders in 
place at the time of the lease sale. Please refer to the joint bidding 
provisions at 30 CFR 556.511-515.
Authorized Signatures
    All signatories executing documents on behalf of bidder(s) must 
execute the same in conformance with the BOEM qualification records. 
Bidders are advised that BOEM considers the signed bid to be a legally 
binding obligation on the part of the bidder(s) to comply with all 
applicable regulations, including payment of one-fifth of the bonus bid 
on all high bids. A statement to this effect is included on each bid 
form (see the document ``Bid Form'' to be contained in the Final NOS 
package).
Unlawful Combination or Intimidation
    BOEM warns bidders against violation of 18 U.S.C. 1860, prohibiting 
unlawful combination or intimidation of bidders.
Bid Withdrawal
    Bids may be withdrawn only by written request delivered to BOEM 
prior to the Bid Submission Deadline. The withdrawal request must be on 
company letterhead and must contain the bidder's name, its BOEM

[[Page 95190]]

qualification number, the map name/number, and the block number(s) of 
the bid(s) to be withdrawn. The withdrawal request must be executed in 
conformance with the BOEM qualification records. Signatories must be 
authorized to bind their respective legal business entity (e.g., a 
corporation, partnership, or LLC) and documentation must be on file 
with BOEM setting forth this authority to act on the business entity's 
behalf for purposes of bidding and lease execution under OCSLA (e.g., 
business charter or articles, incumbency certificate, or power of 
attorney). The name and title of the authorized signatory must be typed 
under the signature block on the withdrawal request. The BOEM Gulf of 
Mexico RD, or the RD's designee, will indicate their approval by 
signing and dating the withdrawal request.
Bid Rounding
    Minimum bonus bid calculations, including rounding, for all blocks 
will be shown in the document ``List of Blocks Available for Leasing'' 
included in this Final NOS package. The bonus bid amount must be stated 
in whole dollars. If the acreage of a block contains a decimal figure, 
then prior to calculating the minimum bonus bid, BOEM will round up to 
the next whole acre. The appropriate minimum rate per acre will then be 
applied to the whole (rounded up) acreage. If this calculation results 
in a fractional dollar amount, the minimum bonus bid will be rounded up 
to the next whole dollar amount. The bonus bid amount must be greater 
than or equal to the minimum bonus bid in whole dollars.

IX. Forms

    The Final NOS package includes instructions, samples, and/or the 
preferred format for the following items. BOEM strongly encourages 
bidders to use these formats. Should bidders use another format, they 
are responsible for including all the information specified for each 
item in the Final NOS package.

(1) Bid Form
(2) Sample Completed Bid
(3) Sample Bid Envelope
(4) Sample Bid Mailing Envelope
(5) Telephone Numbers/Addresses of Bidders Form
(6) GDIS Form
(7) GDIS Envelope Form

X. The Lease Sale

Bid Opening and Reading
    Sealed bids received in response to the Final NOS will be opened at 
the place, date, and hour specified in the Final NOS. The venue will 
not be open to the public. Instead, the bid opening will be available 
for the public to view on BOEM's Web site at www.boem.gov via live-
streaming. The opening of the bids is for the sole purpose of publicly 
announcing and recording the bids received; no bids will be accepted or 
rejected at that time.
Bonus Bid Deposit for Apparent High Bids
    Each bidder submitting an apparent high bid must submit a bonus bid 
deposit to the Office of Natural Resources Revenue (ONRR) equal to one-
fifth of the bonus bid amount for each such bid. A copy of the 
notification of the high bidder's one-fifth bonus bid amount may be 
obtained on the BOEM Web site at http://www.boem.gov/Sale-247 under the 
heading ``Notification of EFT \1/5\ Bonus Liability'' after 1:00 p.m. 
on the day of the sale. All payments must be deposited electronically 
into an interest-bearing account in the U.S. Treasury by 11:00 a.m. 
Eastern Time the day following the bid reading (no exceptions). Account 
information is provided in the ``Instructions for Making Electronic 
Funds Transfer Bonus Payments'' found on the BOEM Web site identified 
above.
    BOEM requires bidders to use EFT procedures for payment of one-
fifth bonus bid deposits for CPA Lease Sale 247 following the detailed 
instructions contained on the ONRR Payment Information Web page at 
http://www.onrr.gov/FM/PayInfo.htm. Acceptance of a deposit does not 
constitute, and will not be construed as acceptance of, any bid on 
behalf of the United States.
Withdrawal of Blocks
    The United States reserves the right to withdraw any block from 
this lease sale prior to issuance of a written acceptance of a bid for 
the block.
Acceptance, Rejection, or Return of Bids
    The United States reserves the right to reject any and all bids. No 
bid will be accepted, and no lease for any block will be awarded to any 
bidder, unless:
    (1) The bidder has complied with all requirements of the Final NOS, 
including those set forth in the documents contained in the Final NOS 
package, and applicable regulations;
    (2) The bid is the highest valid bid; and
    (3) The amount of the bid has been determined to be adequate by the 
authorized officer. Any bid submitted that does not conform to the 
requirements of the Final NOS and Final NOS package, OCSLA, or other 
applicable statute or regulation will be rejected and returned to the 
bidder. The U.S. Department of Justice and the Federal Trade Commission 
will review the results of the lease sale for antitrust issues prior to 
the acceptance of bids and issuance of leases.
Bid Adequacy Review Procedures for CPA Lease Sale 247
    To ensure that the U.S. Government receives a fair return for the 
conveyance of leases from this sale, high bids will be evaluated in 
accordance with BOEM's bid adequacy procedures, which are available at 
http://www.boem.gov/Oil-and-Gas-Energy-Program/Leasing/Regional-Leasing/Gulf-of-Mexico-Region/Bid-Adequacy-Procedures.aspx.
Lease Award
    BOEM requires each bidder awarded a lease to:
    (1) Execute all copies of the lease (Form BOEM-2005 (October 2011), 
as amended);
    (2) Pay by EFT the balance of the bonus bid amount and the first 
year's rental for each lease issued in accordance with the requirements 
of 30 CFR 218.155 and 556.520(a); and
    (3) Satisfy the bonding requirements of 30 CFR part 556, subpart I, 
as amended. ONRR requests that only one transaction be used for payment 
of the balance of the bonus bid amount and the first year's rental.

XI. Delay of Sale

    The BOEM Gulf of Mexico RD has the discretion to change any date, 
time, and/or location specified in the Final NOS package in case of an 
event that the BOEM Gulf of Mexico RD deems may interfere with the 
carrying out of a fair and orderly lease sale process. Such events 
could include, but are not limited to, natural disasters (e.g., 
earthquakes, hurricanes, and floods), wars, riots, acts of terrorism, 
fires, strikes, civil disorder, or other events of a similar nature. In 
case of such events, bidders should call (504) 736-0557, or access the 
BOEM Web site at http://www.boem.gov, for information regarding any 
changes.

    Dated: December 20, 2016.
Abigail Ross Hopper,
Director, Bureau of Ocean Energy Management.
[FR Doc. 2016-31218 Filed 12-23-16; 8:45 am]
 BILLING CODE 4310-MR-P



                                                                               Federal Register / Vol. 81, No. 248 / Tuesday, December 27, 2016 / Notices                                           95185

                                                    we would submit this ICR to OMB for                     to the general public, media, or                      Pensacola (OPD NH 16–05)
                                                    approval. The notice provided the                       industry. Instead, the bid opening will               Whole Blocks: 751 through 754, 793
                                                    required 60-day comment period. We                      be available for public viewing on                     through 798, 837 through 842, 881
                                                    received no unsolicited comments in                     BOEM’s Web site at www.boem.gov via                    through 886, 925 through 930, and
                                                    response to the notice.                                 live-streaming video beginning at 9:00                 969 through 975
                                                      Public Disclosure Statement: The PRA                  a.m. on the date of the sale. The use of
                                                    (44 U.S.C. 3501 et seq.) provides that an               live-streaming video will provide                     Destin Dome (OPD NH 16–08)
                                                    agency may not conduct or sponsor—                      greater access to a wider national and                Whole Blocks: 1 through 7, 45 through
                                                    and a person is not required to respond                 international audience while ensuring                  51, 89 through 96, 133 through 140,
                                                    to—a collection of information unless it                the security of BOEM staff. BOEM will                  177 through 184, 221 through 228,
                                                    displays a currently valid OMB control                  also post the results on its Web site after            265 through 273, 309 through 317,
                                                    number. If you wish to comment in                       bid opening and reading are completed.                 353 through 361, 397 through 405,
                                                    response to this notice, you may send                   All times referred to in this document                 441 through 450, 485 through 494,
                                                    your comments to the offices listed                     are Central Standard Time, unless                      529 through 538, 573 through 582,
                                                    under the ADDRESSES section of this                     otherwise specified.                                   617 through 627, 661 through 671,
                                                    notice. OMB has up to 60 days to                           Bid Submission Deadline: BOEM                       705 through 715, 749 through 759,
                                                    approve or disapprove the information                   must receive all sealed bids during                    793 through 804, 837 through 848,
                                                    collection, but they may respond after                  normal business hours, between 8:00                    881 through 892, 925 through 936,
                                                    30 days.                                                a.m. and 4:00 p.m. through March 20,                   and 969 through 981
                                                      Public Comment Policy: ONRR will                      2017, and from 8:00 a.m. to the Bid
                                                    post all comments, including names and                                                                        DeSoto Canyon (OPD NH 16–11)
                                                                                                            Submission Deadline of 10:00 a.m. on
                                                    addresses of respondents at http://                     Tuesday, March 21, 2017, the day before               Whole Blocks: 1 through 15, 45 through
                                                    www.regulations.gov. Before including                   the lease sale. For more information on                 59, and 92 through 102
                                                    Personally Identifiable Information (PII),              bid submission, see Section VII,                      Partial Blocks: 16, 60, 61, 89 through 91,
                                                    such as your address, phone number,                     ‘‘Bidding Instructions,’’ of this                       103 through 105, and 135 through 147
                                                    email address, or other personal                        document.
                                                    information in your comment(s), you                                                                           Henderson (OPD NG 16–05)
                                                    should be aware that your entire                        ADDRESSES:    Interested parties, upon                Partial Blocks: 114, 158, 202, 246, 290,
                                                    comment (including PII) may be made                     request, may obtain a compact disc (CD–                 334, 335, 378, 379, 422, and 423
                                                    available to the public at any time.                    ROM) containing the Final Notice of                     Blocks that are adjacent to or beyond
                                                    While you may ask us, in your                           Sale (NOS) package by contacting the                  the United States Exclusive Economic
                                                    comment, to withhold PII from public                    BOEM Gulf of Mexico (GOM) Region at:                  Zone in the area known as the northern
                                                    view, we cannot guarantee that we will                  Gulf of Mexico Region Public                          portion of the Eastern Gap:
                                                    be able to do so.                                       Information Office, Bureau of Ocean
                                                                                                            Energy Management, 1201 Elmwood                       Lund South (OPD NG 16–07)
                                                      Dated: December 13, 2016.
                                                    Gregory J. Gould,                                       Park Boulevard, New Orleans, Louisiana                Whole Blocks: 128, 129, 169 through
                                                    Director, Office of Natural Resources                   70123–2394, (504) 736–2519 or (800)                    173, 208 through 217, 248 through
                                                    Revenue.                                                200–GULF, or can download the Final                    261, 293 through 305, and 349
                                                                                                            NOS package by visiting the BOEM Web
                                                    [FR Doc. 2016–31063 Filed 12–23–16; 8:45 am]                                                                  Henderson (OPD NG 16–05)
                                                    BILLING CODE 4335–30–P
                                                                                                            site at http://www.boem.gov/Sale-247/.
                                                                                                                                                                  Whole Blocks: 466, 508 through 510,
                                                                                                            Table of Contents                                       551 through 554, 594 through 599,
                                                    DEPARTMENT OF THE INTERIOR                                This Final NOS includes the                           637 through 643, 679 through 687,
                                                                                                            following sections:                                     722 through 731, 764 through 775,
                                                    Bureau of Ocean Energy Management                                                                               807 through 819, 849 through 862,
                                                                                                            I. Lease Sale Area                                      891 through 905, 933 through 949,
                                                                                                            II. Statutes and Regulations
                                                    Gulf of Mexico Central Planning Area
                                                                                                            III. Lease Terms and Economic Conditions
                                                                                                                                                                    and 975 through 992
                                                    Outer Continental Shelf Oil and Gas                     IV. Lease Stipulations                                Partial Blocks: 467, 511, 555, 556, 600,
                                                    Lease Sale 247; MMAA104000                              V. Information to Lessees                               644, 688, 732, 776, 777, 820, 821, 863,
                                                                                                            VI. Maps                                                864, 906, 907, 950, 993, and 994
                                                    AGENCY:  Bureau of Ocean Energy
                                                                                                            VII. Bidding Instructions
                                                    Management, Interior.                                                                                         Florida Plain (OPD NG 16–08)
                                                                                                            VIII. Bidding Rules and Restrictions
                                                    ACTION: Final notice of sale.                           IX. Forms                                             Whole Blocks: 5 through 24, 46 through
                                                                                                            X. The Lease Sale                                        67, 89 through 110, 133 through 154,
                                                    SUMMARY:   On Wednesday, March 22,                      XI. Delay of Sale
                                                    2017, the Bureau of Ocean Energy                                                                                 177 through 197, 221 through 240,
                                                    Management (BOEM) will open and                         I. Lease Sale Area                                       265 through 283, 309 through 327,
                                                    publicly announce bids received for                                                                              and 363 through 370
                                                    blocks offered in the Gulf of Mexico                       Blocks Offered for Leasing: BOEM                   The lease status of the following block
                                                    Central Planning Area (CPA) Lease Sale                  will offer for bid in this lease sale all of          is currently under appeal; should the
                                                    247 (CPA Sale 247.. The CPA Sale 247                    the available unleased acreage in the                 appeal be resolved prior to publishing
asabaliauskas on DSK3SPTVN1PROD with NOTICES




                                                    Final Notice of Sale (NOS) package                      CPA, except those blocks listed in                    the Final NOS, the block may be
                                                    contains information essential to                       ‘‘Blocks Not Offered for Leasing’’ below.             available for lease in the CPA 247 Sale:
                                                    potential bidders.                                         Blocks Not Offered for Leasing: The                West Cameron (Leasing Map LA1) Block
                                                    DATES: Public Bid reading for CPA Sale                  following whole and partial blocks are                171
                                                    247 will begin at 9:00 a.m. on                          not offered for lease in this sale:
                                                    Wednesday, March 22, 2017, at 1201                         Whole and partial blocks deferred by               II. Statutes and Regulations
                                                    Elmwood Park Boulevard, New Orleans,                    the Gulf of Mexico Energy Security Act                  In accordance with the provisions of
                                                    Louisiana. The venue will not be open                   of 2006, Public Law 109–432:                          the Outer Continental Shelf Lands Act,


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                                                    95186                        Federal Register / Vol. 81, No. 248 / Tuesday, December 27, 2016 / Notices

                                                    43 U.S.C. 1331–1356, as amended                          regulations, including but not limited to             resulting from this sale. This lease form
                                                    (OCSLA), and the implementing                            OCSLA, that do not explicitly conflict                may be viewed on the BOEM Web site
                                                    regulations issued pursuant thereto in                   with an express provision of the lease.               at http://www.boem.gov/BOEM-2005/.
                                                    30 CFR parts 550 and 556, each lease is                  The lessee expressly bears the risk that              The lease form will be amended to
                                                    issued pursuant to OCSLA and is                          such new or amended statutes and                      conform with the specific terms,
                                                    subject to OCSLA implementing                            regulations (i.e., those that do not                  conditions, and stipulations applicable
                                                    regulations promulgated pursuant                         explicitly conflict with an express                   to the individual lease. The terms,
                                                    thereto, and other applicable statutes                   provision of the lease) may increase or               conditions, and stipulations applicable
                                                    and regulations in existence upon the                    decrease the lessee’s obligations under               to this sale are set forth below.
                                                    effective date of the lease, as well as                  the lease.
                                                                                                                                                                   Initial Periods
                                                    those applicable statutes enacted and                    III. Lease Terms and Economic
                                                    regulations promulgated thereafter,                      Conditions                                              Initial periods are summarized in the
                                                    except to the extent that the after-                     Lease Terms                                           following table:
                                                    enacted statutes and regulations
                                                    explicitly conflict with an express                      OCS Lease Form
                                                    provision of the lease. Each lease is also                 BOEM will use Form BOEM–2005
                                                    subject to amendments to statutes and                    (October 2011) to convey leases

                                                       Water depth                                                                          Initial period
                                                        (meters)

                                                    0 to <400 ..........    Standard initial period is 5 years; the lessee may earn an additional 3 years (i.e., for an 8-year extended initial period) if a
                                                                              well is spudded targeting hydrocarbons below 25,000 feet True Vertical Depth Subsea (TVD SS) during the first 5 years of
                                                                              the lease.
                                                    400 to <800 ......      Standard initial period is 5 years; the lessee will earn an additional 3 years (i.e., for an 8-year extended initial period) if a well
                                                                              is spudded during the first 5 years of the lease.
                                                    800 to <1,600 ...       Standard initial period is 7 years; the lessee will earn an additional 3 years (i.e., for a 10-year extended initial period) if a well
                                                                              is spudded during the first 7 years of the lease.
                                                    1,600 + .............   10 years.



                                                       (1) The standard initial period for a                 period. The extended initial period is                Plans will provide written confirmation
                                                    lease in water depths less than 400                      not effective unless and until the lessee             of whether the lessee has earned the
                                                    meters issued as a result of this sale is                receives confirmation from BOEM. The                  earned the extended initial period and
                                                    5 years. If the lessee spuds a well                      Regional Supervisor for Leasing and                   update BOEM records accordingly.
                                                    targeting hydrocarbons below 25,000                      Plans will confirm in writing, within 30
                                                                                                                                                                     (3) The standard initial period for a
                                                    feet TVD SS within the first 5 years of                  days of receiving the lessee’s letter
                                                                                                                                                                   lease in water depths ranging from 800
                                                    the lease, then the lessee may earn an                   whether the lessee has earned the
                                                                                                             extended initial period and update                    to less than 1,600 meters issued as a
                                                    additional 3 years, resulting in an 8 year
                                                                                                             BOEM records accordingly.                             result of this sale is 7 years. If the lessee
                                                    extended initial period. The lessee will
                                                                                                                A lessee that has earned the 8-year                spuds a well within the standard 7-year
                                                    earn the 8-year extended initial period
                                                                                                             extended initial period by spudding a                 initial period of the lease, the lessee will
                                                    when the well is drilled to a target
                                                    below 25,000 feet TVD SS, or the lessee                  well with a hydrocarbon target below                  earn an additional 3 years, resulting in
                                                    may earn the 8-year extended initial                     25,000 feet TVD SS during the standard                a 10-year extended initial period.
                                                    period in cases where the well targets,                  5-year initial period of the lease, will                In order to earn the 10-year extended
                                                    but does not reach, a depth below                        not be granted a suspension for that                  initial period, the lessee is required to
                                                    25,000 feet TVD SS due to mechanical                     same period under the regulations at 30               submit to the BOEM Gulf of Mexico
                                                    or safety reasons, where sufficient                      CFR 250.175, because the lease is not at              Regional Supervisor for Leasing and
                                                    evidence is provided that it did not                     risk of expiring.                                     Plans, as soon as practicable, but in no
                                                                                                                (2) The standard initial period for a
                                                    reach that target for reasons beyond the                                                                       case more than 30 days after spudding
                                                                                                             lease in water depths ranging from 400
                                                    lessee’s control.                                                                                              a well, a letter providing the well
                                                                                                             to less than 800 meters issued as a result
                                                       In order to earn the 8-year extended                  of this sale is 5 years. If the lessee spuds          number and spud date, and requesting
                                                    initial period, the lessee is required to                a well within the standard 5-year initial             confirmation that the lessee earned the
                                                    submit to the BOEM Gulf of Mexico                        period of the lease, the lessee will earn             10-year extended initial period. Within
                                                    Regional Supervisor for Leasing and                      an additional 3 years, resulting in an 8-             30 days of receipt of the request, the
                                                    Plans, as soon as practicable, but in any                year extended initial period.                         Regional Supervisor for Leasing and
                                                    instance not more than 30 days after                        In order to earn the 8-year extended               Plans will provide written confirmation
                                                    completion of the drilling operation, a                  initial period, the lessee is required to             of whether the lessee has earned the
                                                    letter providing the well number, spud                   submit to the BOEM Gulf of Mexico                     extended initial period and update
                                                    date, information demonstrating a target                 Regional Supervisor for Leasing and
asabaliauskas on DSK3SPTVN1PROD with NOTICES




                                                                                                                                                                   BOEM records accordingly.
                                                    below 25,000 TVD SS and whether that                     Plans, as soon as practicable, but in no
                                                                                                                                                                     (4) The standard initial period for a
                                                    target was reached, and if applicable,                   case more than 30 days after spudding
                                                                                                                                                                   lease in water depths 1,600 meters or
                                                    any safety, mechanical, or other                         a well, a letter providing the well
                                                    problems encountered that prevented                      number and spud date, and requesting                  greater issued as a result of this sale will
                                                    the well from reaching a depth below                     confirmation that the lessee earned the               be 10 years.
                                                    25,000 feet TVD SS. This letter must                     8-year extended initial period. Within
                                                    request confirmation that the lessee                     30 days of receipt of the request, the
                                                    earned the 8-year extended initial                       Regional Supervisor for Leasing and


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                                                                                  Federal Register / Vol. 81, No. 248 / Tuesday, December 27, 2016 / Notices                                          95187

                                                    Economic Conditions                                        under existing BOEM regulations at 30                 (4) Existing and Proposed Artificial
                                                                                                               CFR part 560. The specific details                      Reefs/Rigs-to-Reefs
                                                    Minimum Bonus Bid Amounts
                                                                                                               relating to eligibility and                           (5) Lightering Zones
                                                      • $25.00 per acre or fraction thereof                    implementation of the various royalty                 (6) Indicated Hydrocarbons List
                                                    for blocks in water depths less than 400                   relief programs, including those                      (7) Military Areas in the CPA
                                                    meters; and                                                involving the use of RSVs, are codified               (8) BSEE Inspection and Enforcement of
                                                      • $100.00 per acre or fraction thereof                   in Bureau of Safety and Environmental                   selected U.S. Coast Guard Regulations
                                                    for blocks in water depths 400 meters or                   Enforcement (BSEE) regulations at 30                  (9) Deepwater Port Applications for
                                                    deeper.                                                    CFR part 203. In this sale, the only                    Offshore Liquefied Natural Gas
                                                      BOEM will not accept a bonus bid                         royalty relief program being offered that               Facilities
                                                    unless it provides for a cash bonus in an                  involves the provision of RSVs relates to             (10) Ocean Dredged Material Disposal
                                                    amount equal to, or exceeding, the                         the drilling of ultra-deep wells in water               Sites
                                                    specified minimum bid of $25.00 per                        depths of less than 400 meters, as                    (11) Potential Sand Dredging Activities
                                                    acre or fraction thereof for blocks in                     described in the following sections.                    in the CPA
                                                    water depths less than 400 meters, and                                                                           (12) Below Seabed Operations
                                                    $100.00 per acre or fraction thereof for                   Royalty Suspension Volumes on Gas                     (13) Industrial Waste Disposal Areas
                                                    blocks in water depths 400 meters or                       Production From Ultra-Deep Wells                      (14) Air Quality Permits
                                                    deeper.                                                      Leases issued as a result of this sale              (15) Notice of Arrival on the Outer
                                                    Rental Rates                                               may be eligible for RSVs incentives on                  Continental Shelf
                                                                                                               gas produced from ultra-deep wells                    (16) Gulf Islands National Seashore
                                                      Annual rental rates are summarized in                    pursuant to 30 CFR part 203. These                    (17) Bidder/Lessee Notice of Obligations
                                                    the following table:                                       regulations implement the requirements                  Related to Criminal/Civil Charges and
                                                                                                               of the Energy Policy Act of 2005. Under                 Offenses, Suspension, or Debarment;
                                                           RENTAL RATES PER ACRE OR                            this program, wells on leases in less                   Disqualification Due to a Conviction
                                                              FRACTION THEREOF                                 than 400 meters water depth and                         under the Clean Air Act or the Clean
                                                                                                               completed to a drilling depth of 20,000                 Water Act
                                                      Water depth           Years                                                                                    (18) Protected Species
                                                       (meters)              1–5       Years 6, 7, & 8 +       feet TVD SS or deeper receive a RSV of
                                                                                                               35 billion cubic feet on the production               (19) Proposed Expansion of the Flower
                                                    0 to <200 .........      $7.00    $14.00, $21.00, &        of natural gas. This RSVs incentive is                  Garden Banks National Marine
                                                                                        $28.00                 subject to applicable price thresholds                  Sanctuary
                                                    200 to <400 .....        11.00    $22.00, $33.00, &        set forth in the regulation at 30 CFR part
                                                                                        $44.00                                                                       VI. Maps
                                                                                                               203.
                                                    400 + ...............    11.00    $16.00                                                                           The maps pertaining to this lease sale
                                                                                                               IV. Lease Stipulations                                may be found on the BOEM Web site at
                                                    Escalating Rental Rates for Leases With                       One or more of the following                       http://www.boem.gov/Sale-247/.
                                                    an 8-Year Extended Initial Period in                       stipulations may be applied to leases                   The following maps also are included
                                                    Water Depths Less Than 400 Meters                          issued as a result of this sale. The                  in the Final NOS package:
                                                      Any lessee with a lease in less than                     detailed text of these stipulations is                Lease Terms and Economic Conditions
                                                    400 meters water depth who earns an 8-                     contained in the ‘‘Lease Stipulations’’               Map
                                                    year extended initial period will pay an                   section of the Final NOS package.
                                                    escalating rental rate as shown above.                     (1) Topographic Features                                The lease terms, economic conditions,
                                                    The rental rates after the fifth year for                  (2) Live Bottom                                       and the blocks to which these terms and
                                                    blocks in less than 400 meters water                       (3) Military Areas                                    conditions apply are shown on the map
                                                    depth will become fixed and no longer                      (4) Evacuation                                        entitled, ‘‘Final, Central Planning Area,
                                                    escalate, if another well is spudded                       (5) Coordination                                      Lease Sale 247, March 22, 2017, Lease
                                                    targeting hydrocarbons below 25,000                        (6) Blocks South of Baldwin County,                   Terms and Economic Conditions,’’
                                                    feet TVD SS after the fifth year of the                       Alabama                                            which is included in the Final NOS
                                                    lease, and BOEM concurs that such a                        (7) United Nations Convention on the                  package.
                                                    well has been spudded. In this case, the                      Law of the Sea Royalty Payment
                                                                                                                                                                     Stipulations and Deferred Blocks Map
                                                    rental rate will become fixed at the                       (8) Protected Species
                                                                                                               (9) Below Seabed Operations                              The blocks to which one or more lease
                                                    rental rate in effect during the lease year
                                                                                                               (10) Agreement between the United                     stipulations may apply are shown on
                                                    in which the additional well was
                                                                                                                  States of America and the United                   the map entitled, ‘‘Final, Central
                                                    spudded.
                                                                                                                  Mexican States Concerning                          Planning Area, Lease Sale 247, March
                                                    Royalty Rate                                                  Transboundary Hydrocarbon                          22, 2017, Stipulations and Deferred
                                                    • 18.75%                                                      Reservoirs in the Gulf of Mexico                   Blocks Map,’’ which is included in the
                                                                                                                                                                     Final NOS package.
                                                    Minimum Royalty Rate                                       V. Information to Lessees
                                                                                                                 The Information to Lessees (ITL)                    VII. Bidding Instructions
                                                      • $7.00 per acre or fraction thereof
                                                    per year for blocks in water depths less                   clauses below provide detailed                          Bids may be submitted in person or
                                                                                                               information on certain issues pertaining              by mail at the address below in the
asabaliauskas on DSK3SPTVN1PROD with NOTICES




                                                    than 200 meters; and
                                                      • $11.00 per acre or fraction thereof                    to this oil and gas lease sale. The                   ‘‘Mailed Bids’’ section. Bidders
                                                    per year for blocks in water depths 200                    detailed text of these ITL clauses is                 submitting their bid(s) in person are
                                                    meters or deeper.                                          contained in the ‘‘Information to                     advised to contact Ms. Cindy
                                                                                                               Lessees’’ section of the Final NOS                    Thibodeaux at (504) 736–2809, or Mr.
                                                    Royalty Suspension Provisions                              package and includes:                                 Greg Purvis at (504) 736–1729, to
                                                      The issuance of leases with Royalty                      (1) Navigation Safety                                 schedule a time and provide the names
                                                    Suspension Volumes (RSVs) or other                         (2) Ordnance Disposal Areas in the CPA                of the company representative(s) to
                                                    forms of royalty relief is authorized                      (3) Communications Towers                             submit the bid(s). Instructions on how


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                                                    95188                      Federal Register / Vol. 81, No. 248 / Tuesday, December 27, 2016 / Notices

                                                    to submit a bid, secure payment of the                  Ms. Cindy Thibodeaux or Mr. Greg                         (1) The ‘‘Statement’’ page includes the
                                                    advance bonus bid deposit (if                           Purvis 2nd Floor, Immediately.                        company representatives’ information
                                                    applicable), and what information must                                                                        and lists of blocks bid on that used
                                                                                                            Please Note
                                                    be included with the bid are as follows:                                                                      proprietary data and those blocks bid on
                                                                                                               Bidders mailing bid(s) are advised to              that did not use proprietary data;
                                                    Bid Form                                                                                                         (2) The ‘‘Table’’ listing the required
                                                                                                            call Ms. Cindy Thibodeaux at (504) 736–
                                                       For each block bid upon, a separate                  2809, or Mr. Greg Purvis at (504) 736–                data about each proprietary survey used
                                                    sealed bid must be submitted in a sealed                1729, immediately after putting their                 (see below); and
                                                    envelope (as described below) and                       bid(s) in the mail to ensure receipt of                  (3) The ‘‘Maps’’ being the live trace
                                                    include the following:                                  bids prior to the Bid Submission                      maps for each survey that are identified
                                                       • Total amount of the bid in whole                   Deadline. If BOEM receives bids later                 in the GDIS statement and table.
                                                    dollars only;                                           than the Bid Submission Deadline, the                    Every bidder submitting a bid on a
                                                       • Sale number;                                       BOEM Gulf of Mexico Regional Director                 block in CPA Lease Sale 247, or
                                                       • Sale date;                                         (RD) will return those bids unopened to               participating as a joint bidder in such a
                                                       • Each bidder’s exact name;                                                                                bid, must submit at the time of bid
                                                                                                            bidders. Please see ‘‘Section XI. Delay of
                                                       • Each bidder’s proportionate                                                                              submission all three parts of the GDIS.
                                                                                                            Sale’’ regarding BOEM’s discretion to
                                                    interest, stated as a percentage, using a                                                                     A bidder must submit the GDIS even if
                                                                                                            extend the Bid Submission Deadline in
                                                    maximum of five decimal places (e.g.,                                                                         a joint bidder or bidders on a specific
                                                                                                            the case of an unexpected event (e.g.,
                                                    33.33333%);                                                                                                   block also have submitted a GDIS. Any
                                                       • Typed name and title, and signature                flooding or travel restrictions) and how
                                                                                                            bidders can obtain more information on                speculative data that has been
                                                    of each bidder’s authorized officer;                                                                          reprocessed externally or ‘‘in-house’’ is
                                                       • Each bidder’s qualification number;                such extensions.
                                                                                                                                                                  considered proprietary due to the
                                                       • Map name and number or Official                    Advance Bonus Bid Deposit Guarantee                   proprietary processing and is no longer
                                                    Protraction Diagram (OPD) name and
                                                                                                              Bidders that are not currently an OCS               considered to be speculative.
                                                    number;                                                                                                          The GDIS must be submitted in a
                                                       • Block number; and                                  oil and gas lease record title holder or
                                                       • Statement acknowledging that the                   designated operator, or those that ever               separate and sealed envelope, and must
                                                    bidder(s) understand that this bid                      have defaulted on a one-fifth bonus bid               identify all proprietary data;
                                                    legally binds the bidder(s) to comply                   deposit, by Electronic Funds Transfer                 reprocessed speculative data, and/or
                                                    with all applicable regulations,                        (EFT) or otherwise, must guarantee                    any Controlled Source Electromagnetic
                                                    including payment of one-fifth of the                   (secure) the payment of the one-fifth                 surveys, Amplitude Versus Offset
                                                    bonus bid amount on all apparent high                   bonus bid deposit prior to bid                        (AVO), Gravity, or Magnetic data; or
                                                    bids.                                                   submission using one of the following                 other information used as part of the
                                                       The information required on the                      four methods:                                         decision to bid or participate in a bid on
                                                    bid(s) will be specified in the document                  • Provide a third-party guarantee;                  the block. The bidder and joint bidder
                                                                                                                                                                  must also include a live trace map (e.g.,
                                                    ‘‘Bid Form’’ contained in the Final NOS                   • Amend an area-wide development
                                                    package. A blank bid form is provided                                                                         .pdf and ArcGIS shape file) for each
                                                                                                            bond via bond rider;
                                                                                                                                                                  proprietary survey that they identify in
                                                    in the Final NOS package for                              • Provide a letter of credit; or                    the GDIS illustrating the actual areal
                                                    convenience and may be copied and                         • Provide a lump sum payment in
                                                    completed with the necessary                                                                                  extent of the proprietary geophysical
                                                                                                            advance via EFT.                                      data in the survey (see the ‘‘Example of
                                                    information described above.                              For more information on EFT                         Preferred Format’’ in the Final NOS
                                                    Bid Envelope                                            procedures, see Section X of this                     package for additional information). The
                                                                                                            document entitled, ‘‘The Lease Sale.’’                shape file should not include cultural
                                                      Each bid must be submitted in a
                                                    separate sealed envelope labeled as                     Affirmative Action                                    information; only the live trace map of
                                                    follows:                                                                                                      the survey itself.
                                                                                                               Prior to bidding, each bidder should
                                                      • ‘‘Sealed Bid for Central Planning                                                                            The GDIS statement must include the
                                                                                                            file Equal Opportunity Affirmative                    name, phone number, and full address
                                                    Area Oil and Gas Lease Sale 247, not to
                                                                                                            Action Representation Form BOEM–                      of a contact person and an alternate who
                                                    be opened until 9 a.m. Wednesday,
                                                                                                            2032 (October 2011, http://                           are both knowledgeable about the
                                                    March 22, 2017’’;
                                                      • Map name and number or OPD                          www.boem.gov/BOEM–2032/) and Equal                    information and data listed and who are
                                                    name and number;                                        Opportunity Compliance Report                         available for 30 days after the sale date.
                                                      • Block number for block bid upon;                    Certification Form BOEM–2033                          The GDIS statement also must include
                                                    and                                                     (October 2011, http://www.boem.gov/                   a list of all blocks bid upon that did not
                                                      • The exact name and qualification                    BOEM–2033/) with the BOEM Gulf of                     use proprietary or reprocessed pre- or
                                                    number of the submitting bidder only.                   Mexico Region Adjudication Section.                   post-stack geophysical data and
                                                      The Final NOS package includes a                      This certification is required by 41 CFR              information as part of the decision to
                                                    sample bid envelope for reference.                      part 60 and Executive Order No. 11246,                bid or to participate as a joint bidder in
                                                                                                            issued September 24, 1965, as amended                 the bid. The GDIS statement must be
                                                    Mailed Bids                                             by Executive Order No. 11375, issued                  submitted even if no proprietary
                                                      If bids are mailed, please address the                October 13, 1967, and by Executive                    geophysical data and information were
                                                    envelope containing the sealed bid                      Order 13672, issued July 21, 2014. Both
asabaliauskas on DSK3SPTVN1PROD with NOTICES




                                                                                                                                                                  used in bid preparation for the block.
                                                    envelope(s) as follows: Attention:                      forms must be on file for the bidder(s)                  The GDIS table should have columns
                                                    Leasing and Financial Responsibility                    in the GOM Region Adjudication                        that clearly state:
                                                    Section, BOEM Gulf of Mexico Region,                    Section prior to the execution of any                    • The sale number; the bidder
                                                    1201 Elmwood Park Boulevard WS–                         lease contract.                                       company’s name;
                                                    266A, New Orleans, Louisiana 70123–                                                                              The block area and block number bid
                                                                                                            Geophysical Data and Information
                                                    2394.                                                                                                         on;
                                                                                                            Statement (GDIS)
                                                      Contains Sealed Bids for CPA Oil and                                                                           The owner of the original data set (i.e.,
                                                    Gas Lease Sale 247, Please Deliver to                     The GDIS is composed of three parts:                who initially acquired the data);


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                                                                               Federal Register / Vol. 81, No. 248 / Tuesday, December 27, 2016 / Notices                                           95189

                                                       The industry’s original name of the                  proprietary data that is not                          along with the seismic data map(s). If
                                                    survey (e.g., E Octopus); the BOEM                      commercially available. Commercially                  bidders have any questions, please
                                                    permit number for the survey;                           available data is not required to be                  contact Ms. Dee Smith at (504) 736–
                                                       Whether the data set is a fast track                 submitted to BOEM, and reimbursement                  2706, or Mr. John Johnson at (504) 736–
                                                    version;                                                will not be provided if such data is                  2455. Bidders should refer to Section X
                                                       Whether the data is speculative or                   submitted by a bidder. The BOEM Gulf                  of this document, ‘‘The Lease Sale:
                                                    proprietary;                                            of Mexico RD will notify bidders and                  Acceptance, Rejection, or Return of
                                                       The data type (e.g., 2–D, 3–D, or 4–D;               joint bidders of any withdrawal of the                Bids,’’ regarding a bidder’s failure to
                                                    pre-stack or post-stack; and time or                    request, for all or some of the                       comply with the requirements of the
                                                    depth); and                                             proprietary data identified on the GDIS,              Final NOS, including any failure to
                                                       The migration algorithm (e.g.,                       within 15 days of the lease sale.                     submit information as required in the
                                                    Kirchhoff Migration, Wave Equation                      Pursuant to 30 CFR part 551 and 30 CFR                Final NOS or Final NOS package.
                                                    Migration, Reverse Migration, Reverse                   556.501, as a condition of this sale, all
                                                    Time Migration) of the data and the                                                                           Telephone Numbers/Addresses of
                                                                                                            bidders that are required to submit data              Bidders
                                                    areal extent of the bidder survey (i.e.,                must ensure that the data is received by
                                                    number of line miles for 2–D or number                  BOEM no later than the 30th day                         BOEM requests that bidders provide
                                                    of blocks for 3–D).                                     following the lease sale, or the next                 this information in the suggested format
                                                       Also, provide the computer storage                                                                         prior to or at the time of bid submission.
                                                                                                            business day if the submission deadline
                                                    size, to the nearest gigabyte, of each                                                                        The suggested format will be included
                                                                                                            falls on a weekend or Federal holiday.
                                                    seismic data and velocity volume used                                                                         in the Final NOS package. The form
                                                                                                            The data must be submitted to BOEM at
                                                    to evaluate the lease block in question.                                                                      must not be enclosed inside the sealed
                                                    This information will be used in                        the following address:
                                                                                                                                                                  bid envelope.
                                                    estimating the reproduction costs for                   Bureau of Ocean Energy Management,
                                                    each data set, if applicable. The                          Resource Studies, GM 881A, 1201                    Additional Documentation
                                                    availability of reimbursement of                           Elmwood Park Blvd., New Orleans,                     BOEM may require bidders to submit
                                                    production costs will be determined                        LA 70123–2304.                                     other documents in accordance with 30
                                                    consistent with 30 CFR 551.13.                             BOEM recommends that bidders mark                  CFR 556.107, 30 CFR 556.401, 30 CFR
                                                       Also indicate who reprocessed the                    the submission’s external envelope as                 556.501, and 30 CFR 556.513.
                                                    data (e.g., external company name or                    ‘‘Deliver Immediately to DASPU.’’
                                                    ‘‘in-house’’) and when the date of final                BOEM also recommends that the data be                 VIII. Bidding Rules and Restrictions
                                                    reprocessing was completed (month and                   submitted in an internal envelope, or                 Restricted Joint Bidders
                                                    year). If the data was sent to BOEM for                 otherwise marked, with the following                    On November 4, 2016, BOEM
                                                    bidding in a previous lease sale, list the              designation: ‘‘Proprietary Geophysical                published the most recent List of
                                                    date the data was processed (month and                  Data Submitted Pursuant to CPA Lease                  Restricted Joint Bidders in the Federal
                                                    year) and indicate if AVO data was used                 Sale 247 and used during <Bidder                      Register at 81 FR 76962. Potential
                                                    in the evaluation. BOEM reserves the                    Name’s> evaluation of Block <Block                    bidders are advised to refer to the
                                                    right to query about alternate data sets,               Number>.’’                                            Federal Register, prior to bidding, for
                                                    to quality check, and to compare the                       In the event a person supplies any
                                                                                                                                                                  the most current List of Restricted Joint
                                                    listed and alternative data sets to                     type of data to BOEM, that person must
                                                                                                                                                                  Bidders in place at the time of the lease
                                                    determine which data set most closely                   meet the following requirements to
                                                                                                                                                                  sale. Please refer to the joint bidding
                                                    meets the needs of the fair market value                qualify for reimbursement:
                                                                                                                                                                  provisions at 30 CFR 556.511–515.
                                                    determination process. An example of                       (1) The person must be registered
                                                    the preferred format of the table may be                with the System for Award Management                  Authorized Signatures
                                                    found in the Final NOS package, and a                   (SAM), formerly known as the Central                     All signatories executing documents
                                                    blank digital version of the preferred                  Contractor Registration (CCR). CCR                    on behalf of bidder(s) must execute the
                                                    table may be accessed on the CPA Sale                   usernames will not work in SAM. A                     same in conformance with the BOEM
                                                    247 Web page at http://www.boem.gov/                    new SAM User Account is needed to                     qualification records. Bidders are
                                                    Sale-247.                                               register or update an entity’s records.               advised that BOEM considers the signed
                                                       The GDIS maps are live trace maps (in                The Web site for registering is https://              bid to be a legally binding obligation on
                                                    .pdf and ArcGIS shape files) that should                www.sam.gov.                                          the part of the bidder(s) to comply with
                                                    be submitted for each proprietary survey                   (2) The persons must be enrolled in                all applicable regulations, including
                                                    that is identified in the GDIS table. They              the Department of Treasury’s Invoice                  payment of one-fifth of the bonus bid on
                                                    should illustrate the actual areal extent               Processing Platform (IPP) for electronic              all high bids. A statement to this effect
                                                    of the proprietary geophysical data in                  invoicing. The person must enroll in the              is included on each bid form (see the
                                                    the survey (see the ‘‘Example of                        IPP at https://www.ipp.gov/. Access                   document ‘‘Bid Form’’ to be contained
                                                    Preferred Format’’ in the Final NOS                     then will be granted to use the IPP for               in the Final NOS package).
                                                    package for additional information). As                 submitting requests for payment. When
                                                    previously stated, the shape file should                a request for payment is submitted, it                Unlawful Combination or Intimidation
                                                    not include cultural information; only                  must include the assigned Purchase                      BOEM warns bidders against violation
                                                    the live trace map of the survey itself.                Order Number on the request.                          of 18 U.S.C. 1860, prohibiting unlawful
                                                    Pursuant to 30 CFR 551.12 and 30 CFR
asabaliauskas on DSK3SPTVN1PROD with NOTICES




                                                                                                               (3) The persons must have a current                combination or intimidation of bidders.
                                                    556.501, as a condition of the sale, the                On-line Representations and
                                                    BOEM Gulf of Mexico RD requests that                    Certifications Application at https://                Bid Withdrawal
                                                    all bidders and joint bidders submit the                www.sam.gov.                                            Bids may be withdrawn only by
                                                    proprietary data identified on their                                                                          written request delivered to BOEM prior
                                                    GDIS within 30 days after the lease sale                Please Note                                           to the Bid Submission Deadline. The
                                                    (unless they are notified after the lease                 The GDIS Information Table must be                  withdrawal request must be on
                                                    sale that BOEM has withdrawn the                        submitted digitally, preferably as an                 company letterhead and must contain
                                                    request). This request only pertains to                 Excel spreadsheet, on a CD or DVD                     the bidder’s name, its BOEM


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                                                    95190                      Federal Register / Vol. 81, No. 248 / Tuesday, December 27, 2016 / Notices

                                                    qualification number, the map name/                     to the public. Instead, the bid opening               rejected and returned to the bidder. The
                                                    number, and the block number(s) of the                  will be available for the public to view              U.S. Department of Justice and the
                                                    bid(s) to be withdrawn. The withdrawal                  on BOEM’s Web site at www.boem.gov                    Federal Trade Commission will review
                                                    request must be executed in                             via live-streaming. The opening of the                the results of the lease sale for antitrust
                                                    conformance with the BOEM                               bids is for the sole purpose of publicly              issues prior to the acceptance of bids
                                                    qualification records. Signatories must                 announcing and recording the bids                     and issuance of leases.
                                                    be authorized to bind their respective                  received; no bids will be accepted or
                                                    legal business entity (e.g., a corporation,             rejected at that time.                                Bid Adequacy Review Procedures for
                                                    partnership, or LLC) and documentation                                                                        CPA Lease Sale 247
                                                                                                            Bonus Bid Deposit for Apparent High
                                                    must be on file with BOEM setting forth
                                                                                                            Bids                                                    To ensure that the U.S. Government
                                                    this authority to act on the business
                                                    entity’s behalf for purposes of bidding                   Each bidder submitting an apparent                  receives a fair return for the conveyance
                                                    and lease execution under OCSLA (e.g.,                  high bid must submit a bonus bid                      of leases from this sale, high bids will
                                                    business charter or articles, incumbency                deposit to the Office of Natural                      be evaluated in accordance with
                                                    certificate, or power of attorney). The                 Resources Revenue (ONRR) equal to                     BOEM’s bid adequacy procedures,
                                                    name and title of the authorized                        one-fifth of the bonus bid amount for                 which are available at http://
                                                    signatory must be typed under the                       each such bid. A copy of the notification             www.boem.gov/Oil-and-Gas-Energy-
                                                    signature block on the withdrawal                       of the high bidder’s one-fifth bonus bid              Program/Leasing/Regional-Leasing/
                                                    request. The BOEM Gulf of Mexico RD,                    amount may be obtained on the BOEM                    Gulf-of-Mexico-Region/Bid-Adequacy-
                                                    or the RD’s designee, will indicate their               Web site at http://www.boem.gov/Sale-                 Procedures.aspx.
                                                    approval by signing and dating the                      247 under the heading ‘‘Notification of
                                                                                                            EFT 1⁄5 Bonus Liability’’ after 1:00 p.m.             Lease Award
                                                    withdrawal request.
                                                                                                            on the day of the sale. All payments                     BOEM requires each bidder awarded
                                                    Bid Rounding                                            must be deposited electronically into an              a lease to:
                                                       Minimum bonus bid calculations,                      interest-bearing account in the U.S.
                                                    including rounding, for all blocks will                 Treasury by 11:00 a.m. Eastern Time the                  (1) Execute all copies of the lease
                                                    be shown in the document ‘‘List of                      day following the bid reading (no                     (Form BOEM–2005 (October 2011), as
                                                    Blocks Available for Leasing’’ included                 exceptions). Account information is                   amended);
                                                    in this Final NOS package. The bonus                    provided in the ‘‘Instructions for                       (2) Pay by EFT the balance of the
                                                    bid amount must be stated in whole                      Making Electronic Funds Transfer                      bonus bid amount and the first year’s
                                                    dollars. If the acreage of a block contains             Bonus Payments’’ found on the BOEM                    rental for each lease issued in
                                                    a decimal figure, then prior to                         Web site identified above.                            accordance with the requirements of 30
                                                    calculating the minimum bonus bid,                        BOEM requires bidders to use EFT                    CFR 218.155 and 556.520(a); and
                                                    BOEM will round up to the next whole                    procedures for payment of one-fifth
                                                    acre. The appropriate minimum rate per                  bonus bid deposits for CPA Lease Sale                    (3) Satisfy the bonding requirements
                                                    acre will then be applied to the whole                  247 following the detailed instructions               of 30 CFR part 556, subpart I, as
                                                    (rounded up) acreage. If this calculation               contained on the ONRR Payment                         amended. ONRR requests that only one
                                                    results in a fractional dollar amount, the              Information Web page at http://                       transaction be used for payment of the
                                                    minimum bonus bid will be rounded up                    www.onrr.gov/FM/PayInfo.htm.                          balance of the bonus bid amount and
                                                    to the next whole dollar amount. The                    Acceptance of a deposit does not                      the first year’s rental.
                                                    bonus bid amount must be greater than                   constitute, and will not be construed as
                                                                                                                                                                  XI. Delay of Sale
                                                    or equal to the minimum bonus bid in                    acceptance of, any bid on behalf of the
                                                    whole dollars.                                          United States.                                           The BOEM Gulf of Mexico RD has the
                                                    IX. Forms                                               Withdrawal of Blocks                                  discretion to change any date, time,
                                                                                                                                                                  and/or location specified in the Final
                                                      The Final NOS package includes                          The United States reserves the right to
                                                                                                                                                                  NOS package in case of an event that the
                                                    instructions, samples, and/or the                       withdraw any block from this lease sale
                                                                                                                                                                  BOEM Gulf of Mexico RD deems may
                                                    preferred format for the following items.               prior to issuance of a written acceptance
                                                                                                            of a bid for the block.                               interfere with the carrying out of a fair
                                                    BOEM strongly encourages bidders to                                                                           and orderly lease sale process. Such
                                                    use these formats. Should bidders use                   Acceptance, Rejection, or Return of Bids              events could include, but are not
                                                    another format, they are responsible for
                                                                                                              The United States reserves the right to             limited to, natural disasters (e.g.,
                                                    including all the information specified
                                                    for each item in the Final NOS package.                 reject any and all bids. No bid will be               earthquakes, hurricanes, and floods),
                                                                                                            accepted, and no lease for any block                  wars, riots, acts of terrorism, fires,
                                                    (1) Bid Form
                                                                                                            will be awarded to any bidder, unless:                strikes, civil disorder, or other events of
                                                    (2) Sample Completed Bid                                  (1) The bidder has complied with all                a similar nature. In case of such events,
                                                    (3) Sample Bid Envelope                                 requirements of the Final NOS,
                                                    (4) Sample Bid Mailing Envelope                                                                               bidders should call (504) 736–0557, or
                                                                                                            including those set forth in the                      access the BOEM Web site at http://
                                                    (5) Telephone Numbers/Addresses of
                                                                                                            documents contained in the Final NOS                  www.boem.gov, for information
                                                      Bidders Form
                                                                                                            package, and applicable regulations;                  regarding any changes.
                                                    (6) GDIS Form                                             (2) The bid is the highest valid bid;
asabaliauskas on DSK3SPTVN1PROD with NOTICES




                                                    (7) GDIS Envelope Form                                                                                          Dated: December 20, 2016.
                                                                                                            and
                                                    X. The Lease Sale                                         (3) The amount of the bid has been                  Abigail Ross Hopper,
                                                                                                            determined to be adequate by the                      Director, Bureau of Ocean Energy
                                                    Bid Opening and Reading                                 authorized officer. Any bid submitted                 Management.
                                                      Sealed bids received in response to                   that does not conform to the                          [FR Doc. 2016–31218 Filed 12–23–16; 8:45 am]
                                                    the Final NOS will be opened at the                     requirements of the Final NOS and                     BILLING CODE 4310–MR–P
                                                    place, date, and hour specified in the                  Final NOS package, OCSLA, or other
                                                    Final NOS. The venue will not be open                   applicable statute or regulation will be


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Document Created: 2018-02-14 09:13:57
Document Modified: 2018-02-14 09:13:57
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionFinal notice of sale.
DatesPublic Bid reading for CPA Sale 247 will begin at 9:00 a.m. on Wednesday, March 22, 2017, at 1201 Elmwood Park Boulevard, New Orleans, Louisiana. The venue will not be open to the general public, media, or industry. Instead, the bid opening will be available for public viewing on BOEM's Web site at www.boem.gov via live-streaming video beginning at 9:00 a.m. on the date of the sale. The use of live-streaming video will provide greater access to a wider national and international audience while ensuring the security of BOEM staff. BOEM will also post the results on its Web site after bid opening and reading are completed. All times referred to in this document are Central Standard Time, unless otherwise specified.
FR Citation81 FR 95185 

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