82_FR_32711 82 FR 32577 - Gulf of Mexico Outer Continental Shelf Oil and Gas Lease Sale 249 MMAA104000

82 FR 32577 - Gulf of Mexico Outer Continental Shelf Oil and Gas Lease Sale 249 MMAA104000

DEPARTMENT OF THE INTERIOR
Bureau of Ocean Energy Management

Federal Register Volume 82, Issue 134 (July 14, 2017)

Page Range32577-32583
FR Document2017-14868

On Wednesday, August 16, 2017, the Bureau of Ocean Energy Management (BOEM) will open and publicly announce bids received for blocks offered in the Gulf of Mexico (GOM) Outer Continental Shelf (OCS) Regionwide Oil and Gas Lease Sale 249 (GOM Regionwide Sale 249), in accordance with the provisions of the Outer Continental Shelf Lands Act (OCSLA), as amended, and the implementing regulations issued pursuant thereto. The GOM Regionwide Sale 249 Final Notice of Sale (NOS) package contains information essential to potential bidders.

Federal Register, Volume 82 Issue 134 (Friday, July 14, 2017)
[Federal Register Volume 82, Number 134 (Friday, July 14, 2017)]
[Notices]
[Pages 32577-32583]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-14868]


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DEPARTMENT OF THE INTERIOR

Bureau of Ocean Energy Management


Gulf of Mexico Outer Continental Shelf Oil and Gas Lease Sale 249 
MMAA104000

AGENCY: Bureau of Ocean Energy Management, Interior.

ACTION: Final Notice of Sale.

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SUMMARY: On Wednesday, August 16, 2017, the Bureau of Ocean Energy 
Management (BOEM) will open and publicly announce bids received for 
blocks offered in the Gulf of Mexico (GOM) Outer Continental Shelf 
(OCS) Regionwide Oil and Gas Lease Sale 249 (GOM Regionwide Sale 249), 
in accordance with the provisions of the Outer Continental Shelf Lands 
Act (OCSLA), as amended, and the implementing regulations issued 
pursuant thereto. The GOM Regionwide Sale 249 Final Notice of Sale 
(NOS) package contains information essential to potential bidders.

DATES: Public bid reading for GOM Regionwide Sale 249 will begin at 
9:00 a.m. on Wednesday, August 16, 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. 
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 between 
8:00 a.m. and 4:00 p.m. on normal working days, or from 8:00 a.m. to 
the Bid Submission Deadline of 10:00 a.m. on Tuesday, August 15, 2017, 
the day before the lease sale. For more information on bid submission, 
see Section VII, ``Bidding Instructions,'' of this document.
    Bonus Bid Deposits: Bonus bid deposits must be electronically 
deposited into an interest-bearing account in the U.S. Treasury by 
11:00 a.m. on the day after the bid reading, August 17, 2017.

ADDRESSES: Interested parties may download the Final NOS package from 
BOEM's Web site at http://www.boem.gov/Sale-249/. Copies of the sale 
maps may be obtained by contacting the BOEM GOM Region at: Gulf of 
Mexico Region Public Information Office, Bureau of Ocean Energy 
Management, 1201 Elmwood Park Boulevard, New Orleans, Louisiana 70123-
2394, tel. (504) 736-2519 or (800) 200-GULF.
    Mailed bids should be addressed to: Attention: Leasing and 
Financial Responsibility Section, BOEM Gulf of Mexico Region, 1201 
Elmwood Park Boulevard WS-266A, New Orleans, Louisiana 70123-2394, 
noting: Contains Sealed Bids for GOM Regionwide Sale 249, Please 
deliver to Ms. Cindy Thibodeaux or Mr. Greg Purvis.
    Geophysical Data and Information Statements (GDIS) must be 
submitted to: BOEM, Resource Studies, GM 881A, 1201 Elmwood Park 
Boulevard, New Orleans, LA 70123-2304.

FOR FURTHER INFORMATION CONTACT: Dr. David Diamond, Chief, Leasing 
Division, 703-787-1776, [email protected].

SUPPLEMENTARY INFORMATION: 

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 GOM, except those 
blocks listed in ``Blocks Not Offered for Leasing.''
    Blocks Not Offered for Leasing: The following whole and partial 
blocks are not offered for lease in this sale. The BOEM Official 
Protraction Diagrams (OPDs) and Supplemental Official Block Diagrams 
are available online at https://www.boem.gov/Maps-and-GIS-Data/.
    Whole and partial blocks that lie within the boundaries of the 
Flower Garden Banks National Marine Sanctuary (in the East and West 
Flower Garden Banks and the Stetson Bank), identified in the following 
list:

High Island, East Addition, South Extension (Leasing Map TX7C)
    Whole Block: A-398
    Partial Blocks: A-366, A-367, A-374, A-375, A-383, A-384, A-385, A-
388, A-389, A-397, A-399, A-401
High Island, South Addition (Leasing Map TX7B)
    Partial Blocks: A-502, A-513
Garden Banks (OPD NG15-02)
    Partial Blocks: 134, 135

    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

    All whole or 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

[[Page 32578]]

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

    The following blocks, whose lease status is currently under appeal:

Keathley Canyon (Leasing Map NG15-05) Block 290, 291, and 292
Keathley Canyon (Leasing Map NG15-05) Block 246 and 247

II. Statutes and Regulations

    Each lease is issued pursuant to OCSLA, 43 U.S.C. 1331-1356, and is 
subject to OCSLA implementing regulations promulgated pursuant thereto 
in 30 CFR part 556 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 (February 2017) to convey leases 
resulting from this sale. This lease form may be viewed on BOEM's 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 in the following table:
Primary Term
    Primary Terms are summarized in the following table:

------------------------------------------------------------------------
       Water depth  (meters)                    Primary term
------------------------------------------------------------------------
0 to <400.........................  The primary term is 5 years; the
                                     lessee may earn an additional 3
                                     years (i.e., for an 8 year extended
                                     primary term) 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.......................  The primary term is 5 years; the
                                     lessee will earn an additional 3
                                     years (i.e., for an 8 year extended
                                     primary term) if a well is spudded
                                     during the first 5 years of the
                                     lease.
800 to <1,600.....................  The primary term is 7 years; the
                                     lessee will earn an additional 3
                                     years (i.e., for a 10 year extended
                                     primary term) if a well is spudded
                                     during the first 7 years of the
                                     lease.
1,600 +...........................  10 years.
------------------------------------------------------------------------

    (1) The primary term 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 primary term. The lessee will earn the 8 year 
lease term when the well is drilled to a target below 25,000 feet TVD 
SS, or the lessee may earn the 8 year primary term 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 primary term, the lessee is 
required to submit to the BOEM GOM 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 primary term. 
The extended primary term is not effective unless and until the lessee 
receives confirmation from BOEM.
    The BOEM GOM 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 primary term and update BOEM records 
accordingly.
    A lessee that has earned the 8 year primary term by spudding a well 
with a hydrocarbon target below 25,000 feet TVD SS during the standard 
5 year primary term 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 primary term 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 5 year primary term of the lease, 
the lessee will earn an additional 3 years, resulting in an 8 year 
primary term.
    In order to earn the 8 year primary term, the lessee is required to 
submit to the BOEM GOM 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 primary term. 
Within 30 days of receipt of the request, the BOEM GOM Regional 
Supervisor for Leasing and Plans will provide written confirmation of 
whether the lessee has earned the extended primary term and update BOEM 
records accordingly.
    (3) The standard primary term 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 primary 
term, the lessee will earn an additional 3 years, resulting in a 10 
year extended primary term.
    In order to earn the 10 year primary term, the lessee is required 
to submit to the BOEM GOM 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 primary term. Within 30 
days of receipt of the request, the BOEM GOM Regional Supervisor for 
Leasing and Plans will

[[Page 32579]]

provide written confirmation of whether the lessee has earned the 
extended primary term and update BOEM records accordingly.
    (4) The primary term for a lease in water depths 1,600 meters or 
greater issued as a result of this sale will be 10 years.

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
-------------------------------------------------------------------------
       Water depth (meters)            Years 1-5      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 Primary Term in Water 
Depths Less Than 400 Meters
    Any lessee with a lease in less than 400 meters water depth who 
earns an 8 year primary term 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
     12.5% for leases situated in water depths less than 200 
meters.
     18.75% for leases situated in water depths of 200 meters 
and deeper.
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 section.
Royalty Suspension Volumes on Gas Production From Ultra-Deep Wells
    Leases issued as a result of this sale may be eligible for RSV 
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 (42 U.S.C. 13201 et seq.). 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 RSV incentive 
is subject to applicable price thresholds set forth in the regulation 
at 30 CFR part 203.

IV. Lease Stipulations

    Consistent with the Record of Decision for the Final Programmatic 
Environmental Impact Statement for the 2017-2022 Five Year OCS Oil and 
Gas Leasing Program, Stipulation No. 5 (Topographic Features) and 
Stipulation No. 8 (Live Bottom) will apply to every lease sale in the 
GOM Program Area. One or more of the remaining eight stipulations will 
be applied to leases issued as a result of this sale, on applicable 
blocks as identified on the map ``Final, Gulf of Mexico, Oil and Gas 
Regionwide Lease Sale 249, August 16, 2017, Stipulations and Deferred 
Blocks'' included in the Final Notice of Sale package. The detailed 
text of the following stipulations is contained in the ``Lease 
Stipulations'' section of the Final NOS package.

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

V. Information to Lessees

    Information to Lessees (ITLs) provides detailed information on 
certain issues pertaining to specific oil and gas lease sales. The 
detailed text of the ITLs for this sale is contained in the 
``Information to Lessees'' section of the Final NOS package.

(1) Navigation Safety
(2) Ordnance Disposal Areas
(3) Existing and Proposed Artificial Reefs/Rigs-to-Reefs
(4) Lightering Zones
(5) Indicated Hydrocarbons List
(6) Military Areas
(7) Bureau of Safety and Environmental Enforcement (BSEE) Inspection 
and Enforcement of Certain U.S. Coast Guard (USCG) Regulations
(8) Significant Outer Continental Shelf Sediment Resource Areas
(9) Notice of Arrival on the Outer Continental Shelf
(10) 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
(11) Protected Species
(12) Proposed Expansion of the Flower Garden Banks National Marine 
Sanctuary

[[Page 32580]]

(13) Communication Towers
(14) Deepwater Port Applications for Offshore Oil and Liquefied Natural 
Gas Facilities
(15) Ocean Dredged Material Disposal Sites
(16) Rights-of-Use and Easement
(17) Industrial Waste Disposal Areas
(18) Gulf Islands National Seashore
(19) Air Quality Permit/Plan Approvals

VI. Maps

    The maps pertaining to this lease sale may be viewed on BOEM's Web 
site at http://www.boem.gov/Sale-249/. The following maps also are 
included in the Final NOS package:

Lease Terms and Economic Conditions Map

    The lease terms and economic conditions associated with leases of 
certain blocks are shown on the map entitled, ``Final, Gulf of Mexico 
Regionwide Oil and Gas Lease Sale 249, August 16, 2017, Lease Terms and 
Economic Conditions.''

Stipulations and Deferred Blocks Map

    The blocks to which one or more lease stipulations will apply are 
shown on the map entitled, ``Final, Gulf of Mexico Regionwide Oil and 
Gas Lease Sale 249, August 16, 2017, Stipulations and Deferred Blocks 
Map.''

VII. Bidding Instructions

    Bids may be submitted in person or by mail at the addresses in the 
ADDRESSES and ``Mailed Bids'' sections. Bidders submitting their bid(s) 
in person are advised to email [email protected] to provide 
the names of the company representative(s) that will submit the bid(s). 
Instructions on how 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 a deposit in the amount of one-fifth of the 
bonus bid amount for any tract bid upon and payment of the balance of 
the bonus bid upon BOEM's acceptance of high bids.
    The information required on the bid(s) is 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 GOM Regionwide Sale 249, not to be opened 
until 9 a.m. Wednesday, August 16, 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 GOM Regionwide Sale 249, 
Please Deliver to Ms. Cindy Thibodeaux or Mr. Greg Purvis, 2nd Floor, 
Immediately

    Please Note: Bidders mailing bid(s) are advised to inform BOEM by 
email to [email protected] immediately after putting their 
bid(s) in the mail. This is to ensure receipt of bids prior to the Bid 
Submission Deadline. If BOEM receives bids later than the Bid 
Submission Deadline, the BOEM GOM 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 the 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 GOM 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 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 GOM Regionwide Sale 
249, 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

[[Page 32581]]

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);
     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);
     The Migration algorithm (e.g., Kirchhoff Migration, Wave 
Equation Migration, Reverse Migration, Reverse Time Migration) of the 
data and areal extent of bidder survey (i.e., number of line miles for 
2-D or number of blocks for 3-D);
     The computer storage size, to the nearest gigabyte, of 
each seismic data and velocity volume used to evaluate the lease block; 
and
     Who reprocessed and the data when the date of final 
reprocessing was completed (month and year).
    The computer storage size 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.
    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 is included in the Final 
NOS package, and a blank digital version of the preferred table can be 
accessed on the GOM Regionwide Sale 249 Web page at http://www.boem.gov/Sale-249.
    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 GOM Regionwide Sale 249 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 the 
Treasury's Invoice Processing Platform (IPP) for electronic invoicing. 
The person must enroll in the IPP at https://www.ipp.gov/ 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, DVD, or any USB 
external drive (formatted for Windows), 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 is included in the Final NOS package. The form must 
not be enclosed inside the sealed bid envelope.

[[Page 32582]]

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 April 28, 2017, BOEM published the most recent List of 
Restricted Joint Bidders in the Federal Register at 82 FR 19750. 
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'' 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 
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 
are shown in the document ``List of Blocks Available for Leasing'' 
included in the 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 under the ``DATES'' section of this 
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-249 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 GOM Regionwide Sale 249 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 GOM Regionwide Sale 249

    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.

[[Page 32583]]

Lease Award

    BOEM requires each bidder awarded a lease to:
    (1) Execute all copies of the lease (Form BOEM-2005 (February 
2017), 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 the 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: July 11, 2017.
Walter D. Cruickshank,
Acting Director, Bureau of Ocean Energy Management.
[FR Doc. 2017-14868 Filed 7-13-17; 8:45 am]
 BILLING CODE 4310-MR-P



                                                                                   Federal Register / Vol. 82, No. 134 / Friday, July 14, 2017 / Notices                                          32577

                                                  environmentally preferable alternative                     Bid Submission Deadline: BOEM                         Blocks Not Offered for Leasing: The
                                                  and the mitigation measures BOEM is                      must receive all sealed bids between                  following whole and partial blocks are
                                                  adopting. The USACE is committed to                      8:00 a.m. and 4:00 p.m. on normal                     not offered for lease in this sale. The
                                                  implementing the mitigation measures                     working days, or from 8:00 a.m. to the                BOEM Official Protraction Diagrams
                                                  and monitoring requirements deemed                       Bid Submission Deadline of 10:00 a.m.                 (OPDs) and Supplemental Official Block
                                                  practicable to avoid or minimize                         on Tuesday, August 15, 2017, the day                  Diagrams are available online at https://
                                                  environmental harm. The mitigation                       before the lease sale. For more                       www.boem.gov/Maps-and-GIS-Data/.
                                                  measures and monitoring requirements                     information on bid submission, see                      Whole and partial blocks that lie
                                                  are identified in BOEM’s ROD and will                    Section VII, ‘‘Bidding Instructions,’’ of             within the boundaries of the Flower
                                                  be incorporated into the negotiated                      this document.                                        Garden Banks National Marine
                                                  agreement between BOEM, the USACE,                         Bonus Bid Deposits: Bonus bid                       Sanctuary (in the East and West Flower
                                                  and Martin County.                                       deposits must be electronically                       Garden Banks and the Stetson Bank),
                                                    Authority: This Notice of Availability is              deposited into an interest-bearing                    identified in the following list:
                                                  published pursuant to the regulations (40                account in the U.S. Treasury by 11:00                 High Island, East Addition, South
                                                  CFR 1506.6) implementing the provisions of               a.m. on the day after the bid reading,                     Extension (Leasing Map TX7C)
                                                  the NEPA of 1969 (42 U.S.C. 4321 et seq.).               August 17, 2017.                                        Whole Block: A–398
                                                   Dated: July 11, 2017.                                   ADDRESSES: Interested parties may                       Partial Blocks: A–366, A–367, A–374,
                                                  Walter D. Cruickshank,                                   download the Final NOS package from                        A–375, A–383, A–384, A–385, A–
                                                                                                           BOEM’s Web site at http://                                 388, A–389, A–397, A–399, A–401
                                                  Acting Director, Bureau of Ocean Energy
                                                  Management.                                              www.boem.gov/Sale-249/. Copies of the                 High Island, South Addition (Leasing
                                                                                                           sale maps may be obtained by                               Map TX7B)
                                                  [FR Doc. 2017–14867 Filed 7–13–17; 8:45 am]
                                                                                                           contacting the BOEM GOM Region at:                      Partial Blocks: A–502, A–513
                                                  BILLING CODE 4310–MR–P
                                                                                                           Gulf of Mexico Region Public                          Garden Banks (OPD NG15–02)
                                                                                                           Information Office, Bureau of Ocean                     Partial Blocks: 134, 135
                                                  DEPARTMENT OF THE INTERIOR                               Energy Management, 1201 Elmwood                         Blocks that are adjacent to or beyond
                                                                                                           Park Boulevard, New Orleans, Louisiana                the United States Exclusive Economic
                                                  Bureau of Ocean Energy Management                        70123–2394, tel. (504) 736–2519 or                    Zone in the area known as the northern
                                                                                                           (800) 200–GULF.                                       portion of the Eastern Gap:
                                                  Gulf of Mexico Outer Continental Shelf                     Mailed bids should be addressed to:                 Lund South (OPD NG 16–07)
                                                  Oil and Gas Lease Sale 249                               Attention: Leasing and Financial                        Whole Blocks: 128, 129, 169 through
                                                  MMAA104000                                               Responsibility Section, BOEM Gulf of                       173, 208 through 217, 248 through
                                                                                                           Mexico Region, 1201 Elmwood Park                           261, 293 through 305, and 349
                                                  AGENCY:  Bureau of Ocean Energy                          Boulevard WS–266A, New Orleans,                       Henderson (OPD NG 16–05)
                                                  Management, Interior.                                    Louisiana 70123–2394, noting: Contains                  Whole Blocks: 466, 508 through 510,
                                                  ACTION: Final Notice of Sale.                            Sealed Bids for GOM Regionwide Sale                        551 through 554, 594 through 599,
                                                                                                           249, Please deliver to Ms. Cindy                           637 through 643, 679 through 687,
                                                  SUMMARY:   On Wednesday, August 16,                      Thibodeaux or Mr. Greg Purvis.                             722 through 731, 764 through 775,
                                                  2017, the Bureau of Ocean Energy                           Geophysical Data and Information                         807 through 819, 849 through 862,
                                                  Management (BOEM) will open and                          Statements (GDIS) must be submitted to:                    891 through 905, 933 through 949,
                                                  publicly announce bids received for                      BOEM, Resource Studies, GM 881A,                           and 975 through 992
                                                  blocks offered in the Gulf of Mexico                     1201 Elmwood Park Boulevard, New                        Partial Blocks: 467, 511, 555, 556,
                                                  (GOM) Outer Continental Shelf (OCS)                      Orleans, LA 70123–2304.                                    600, 644, 688, 732, 776, 777, 820,
                                                  Regionwide Oil and Gas Lease Sale 249                    FOR FURTHER INFORMATION CONTACT: Dr.                       821, 863, 864, 906, 907, 950, 993,
                                                  (GOM Regionwide Sale 249), in                            David Diamond, Chief, Leasing                              and 994
                                                  accordance with the provisions of the                    Division, 703–787–1776,                               Florida Plain (OPD NG 16–08)
                                                  Outer Continental Shelf Lands Act                        david.diamond@boem.gov.                                 Whole Blocks: 5 through 24, 46
                                                  (OCSLA), as amended, and the                             SUPPLEMENTARY INFORMATION:                                 through 67, 89 through 110, 133
                                                  implementing regulations issued                                                                                     through 154, 177 through 197, 221
                                                  pursuant thereto. The GOM Regionwide                     Table of Contents                                          through 240, 265 through 283, 309
                                                  Sale 249 Final Notice of Sale (NOS)                        This Final NOS includes the                              through 327, and 363 through 370
                                                  package contains information essential                   following sections:                                     All whole or partial blocks deferred
                                                  to potential bidders.                                    I. Lease Sale Area                                    by the Gulf of Mexico Energy Security
                                                  DATES: Public bid reading for GOM                        II. Statutes and Regulations                          Act of 2006, Public Law 109–432:
                                                  Regionwide Sale 249 will begin at 9:00                   III. Lease Terms and Economic Conditions              Pensacola (OPD NH 16–05)
                                                  a.m. on Wednesday, August 16, 2017, at                   IV. Lease Stipulations
                                                                                                                                                                   Whole Blocks: 751 through 754, 793
                                                                                                           V. Information to Lessees
                                                  1201 Elmwood Park Boulevard, New                         VI. Maps                                                   through 798, 837 through 842, 881
                                                  Orleans, Louisiana. The venue will not                   VII. Bidding Instructions                                  through 886, 925 through 930, and
                                                  be open to the general public, media, or                 VIII. Bidding Rules and Restrictions                       969 through 975
                                                  industry. Instead, the bid opening will                  IX. Forms                                             Destin Dome (OPD NH 16–08)
                                                  be available for public viewing on                       X. The Lease Sale                                       Whole Blocks: 1 through 7, 45
                                                  BOEM’s Web site at www.boem.gov via                      XI. Delay of Sale                                          through 51, 89 through 96, 133
mstockstill on DSK30JT082PROD with NOTICES




                                                  live-streaming video beginning at 9:00                                                                              through 140, 177 through 184, 221
                                                  a.m. on the date of the sale. BOEM will                  I. Lease Sale Area                                         through 228, 265 through 273, 309
                                                  also post the results on its Web site after                 Blocks Offered for Leasing: BOEM                        through 317, 353 through 361, 397
                                                  bid opening and reading are completed.                   will offer for bid in this lease sale all of               through 405, 441 through 450, 485
                                                  All times referred to in this document                   the available unleased acreage in the                      through 494, 529 through 538, 573
                                                  are Central Standard Time, unless                        GOM, except those blocks listed in                         through 582, 617 through 627, 661
                                                  otherwise specified.                                     ‘‘Blocks Not Offered for Leasing.’’                        through 671, 705 through 715, 749


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                                                  32578                                     Federal Register / Vol. 82, No. 134 / Friday, July 14, 2017 / Notices

                                                       through 759, 793 through 804, 837                            subject to OCSLA implementing                          III. Lease Terms and Economic
                                                       through 848, 881 through 892, 925                            regulations promulgated pursuant                       Conditions
                                                       through 936, and 969 through 981                             thereto in 30 CFR part 556 and other
                                                  DeSoto Canyon (OPD NH 16–11)                                                                                             Lease Terms
                                                                                                                    applicable statutes and regulations in
                                                    Whole Blocks: 1 through 15, 45                                  existence upon the effective date of the               OCS Lease Form
                                                       through 59, and 92 through 102                               lease, as well as those applicable
                                                    Partial Blocks: 16, 60, 61, 89 through                                                                                   BOEM will use Form BOEM–2005
                                                                                                                    statutes enacted and regulations
                                                       91, 103 through 105, and 135                                                                                        (February 2017) to convey leases
                                                       through 147                                                  promulgated thereafter, except to the
                                                                                                                    extent that the after-enacted statutes and             resulting from this sale. This lease form
                                                  Henderson (OPD NG 16–05)                                                                                                 may be viewed on BOEM’s Web site at
                                                    Partial Blocks: 114, 158, 202, 246,                             regulations explicitly conflict with an
                                                                                                                    express provision of the lease. Each                   http://www.boem.gov/BOEM-2005/.
                                                       290, 334, 335, 378, 379, 422, and
                                                       423                                                          lease is also subject to amendments to                   The lease form will be amended to
                                                                                                                    statutes and regulations, including but                conform with the specific terms,
                                                    The following blocks, whose lease
                                                                                                                    not limited to OCSLA, that do not                      conditions, and stipulations applicable
                                                  status is currently under appeal:
                                                                                                                    explicitly conflict with an express                    to the individual lease. The terms,
                                                  Keathley Canyon (Leasing Map NG15–                                                                                       conditions, and stipulations applicable
                                                                                                                    provision of the lease. The lessee
                                                    05) Block 290, 291, and 292                                                                                            to this sale are set forth in the following
                                                  Keathley Canyon (Leasing Map NG15–                                expressly bears the risk that such new
                                                                                                                    or amended statutes and regulations                    table:
                                                    05) Block 246 and 247
                                                                                                                    (i.e., those that do not explicitly conflict           Primary Term
                                                  II. Statutes and Regulations                                      with an express provision of the lease)
                                                     Each lease is issued pursuant to                               may increase or decrease the lessee’s                    Primary Terms are summarized in the
                                                  OCSLA, 43 U.S.C. 1331–1356, and is                                obligations under the lease.                           following table:

                                                                   Water depth                                                                              Primary term
                                                                    (meters)

                                                  0 to <400 .........................................    The primary term is 5 years; the lessee may earn an additional 3 years (i.e., for an 8 year extended pri-
                                                                                                           mary term) 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 .....................................      The primary term is 5 years; the lessee will earn an additional 3 years (i.e., for an 8 year extended primary
                                                                                                           term) if a well is spudded during the first 5 years of the lease.
                                                  800 to <1,600 ..................................       The primary term is 7 years; the lessee will earn an additional 3 years (i.e., for a 10 year extended primary
                                                                                                           term) if a well is spudded during the first 7 years of the lease.
                                                  1,600 + ............................................   10 years.



                                                     (1) The primary term for a lease in                            25,000 feet TVD SS. This letter must                   practicable, but in no case more than 30
                                                  water depths less than 400 meters                                 request confirmation that the lessee                   days after spudding a well, a letter
                                                  issued as a result of this sale is 5 years.                       earned the 8 year primary term. The                    providing the well number and spud
                                                  If the lessee spuds a well targeting                              extended primary term is not effective                 date, and requesting confirmation that
                                                  hydrocarbons below 25,000 feet TVD SS                             unless and until the lessee receives                   the lessee earned the 8 year extended
                                                  within the first 5 years of the lease, then                       confirmation from BOEM.                                primary term. Within 30 days of receipt
                                                  the lessee may earn an additional 3                                 The BOEM GOM Regional Supervisor                     of the request, the BOEM GOM Regional
                                                  years, resulting in an 8 year primary                             for Leasing and Plans will confirm in                  Supervisor for Leasing and Plans will
                                                  term. The lessee will earn the 8 year                             writing, within 30 days of receiving the               provide written confirmation of whether
                                                  lease term when the well is drilled to a                          lessee’s letter, whether the lessee has                the lessee has earned the extended
                                                  target below 25,000 feet TVD SS, or the                           earned the extended primary term and                   primary term and update BOEM records
                                                  lessee may earn the 8 year primary term                           update BOEM records accordingly.                       accordingly.
                                                  in cases where the well targets, but does                           A lessee that has earned the 8 year
                                                                                                                                                                             (3) The standard primary term for a
                                                  not reach, a depth below 25,000 feet                              primary term by spudding a well with
                                                                                                                                                                           lease in water depths ranging from 800
                                                  TVD SS due to mechanical or safety                                a hydrocarbon target below 25,000 feet
                                                                                                                                                                           to less than 1,600 meters issued as a
                                                  reasons, where sufficient evidence is                             TVD SS during the standard 5 year
                                                                                                                                                                           result of this sale is 7 years. If the lessee
                                                                                                                    primary term of the lease will not be
                                                  provided that it did not reach that target                                                                               spuds a well within the standard 7 year
                                                                                                                    granted a suspension for that same
                                                  for reasons beyond the lessee’s control.                                                                                 primary term, the lessee will earn an
                                                                                                                    period under the regulations at 30 CFR
                                                     In order to earn the 8 year extended                           250.175 because the lease is not at risk               additional 3 years, resulting in a 10 year
                                                  primary term, the lessee is required to                           of expiring.                                           extended primary term.
                                                  submit to the BOEM GOM Regional                                     (2) The primary term for a lease in                    In order to earn the 10 year primary
                                                  Supervisor for Leasing and Plans, as                              water depths ranging from 400 to less                  term, the lessee is required to submit to
                                                  soon as practicable, but in any instance                          than 800 meters issued as a result of this             the BOEM GOM Regional Supervisor for
                                                  not more than 30 days after completion                            sale is 5 years. If the lessee spuds a well            Leasing and Plans, as soon as
                                                  of the drilling operation, a letter                               within the 5 year primary term of the                  practicable, but in no case more than 30
mstockstill on DSK30JT082PROD with NOTICES




                                                  providing the well number, spud date,                             lease, the lessee will earn an additional              days after spudding a well, a letter
                                                  information demonstrating a target                                3 years, resulting in an 8 year primary                providing the well number and spud
                                                  below 25,000 TVD SS and whether that                              term.                                                  date, and requesting confirmation that
                                                  target was reached, and if applicable,                              In order to earn the 8 year primary                  the lessee earned the 10 year primary
                                                  any safety, mechanical, or other                                  term, the lessee is required to submit to              term. Within 30 days of receipt of the
                                                  problems encountered that prevented                               the BOEM GOM Regional Supervisor for                   request, the BOEM GOM Regional
                                                  the well from reaching a depth below                              Leasing and Plans, as soon as                          Supervisor for Leasing and Plans will


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                                                                                              Federal Register / Vol. 82, No. 134 / Friday, July 14, 2017 / Notices                                                    32579

                                                  provide written confirmation of whether                                   Economic Conditions                                      amount equal to, or exceeding, the
                                                  the lessee has earned the extended                                                                                                 specified minimum bid of $25.00 per
                                                                                                                            Minimum Bonus Bid Amounts
                                                  primary term and update BOEM records                                                                                               acre or fraction thereof for blocks in
                                                  accordingly.                                                                • $25.00 per acre or fraction thereof                  water depths less than 400 meters, and
                                                                                                                            for blocks in water depths less than 400                 $100.00 per acre or fraction thereof for
                                                     (4) The primary term for a lease in
                                                                                                                            meters; and                                              blocks in water depths 400 meters or
                                                  water depths 1,600 meters or greater                                        • $100.00 per acre or fraction thereof                 deeper.
                                                  issued as a result of this sale will be 10                                for blocks in water depths 400 meters or
                                                  years.                                                                    deeper.                                                  Rental Rates
                                                                                                                              BOEM will not accept a bonus bid                         Annual rental rates are summarized in
                                                                                                                            unless it provides for a cash bonus in an                the following table:

                                                                                                                                 Rental Rates per Acre or Fraction Thereof

                                                                              Water depth                                              Years                                          Years 6, 7, & 8 +
                                                                               (meters)                                                 1–5

                                                  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                                   provision of RSVs relates to the drilling                (5) Topographic Features
                                                  an 8 Year Primary Term in Water                                           of ultra-deep wells in water depths of                   (6) United Nations Convention on the
                                                  Depths Less Than 400 Meters                                               less than 400 meters, as described in the                     Law of the Sea Royalty Payment
                                                     Any lessee with a lease in less than                                   following section.                                       (7) Agreement between the United
                                                  400 meters water depth who earns an 8                                                                                                   States of America and the United
                                                                                                                            Royalty Suspension Volumes on Gas                             Mexican States Concerning
                                                  year primary term will pay an escalating                                  Production From Ultra-Deep Wells
                                                  rental rate as shown above. The rental                                                                                                  Transboundary Hydrocarbon
                                                                                                                              Leases issued as a result of this sale                      Reservoirs in the Gulf of Mexico
                                                  rates after the fifth year for blocks in less
                                                                                                                            may be eligible for RSV incentives on                    (8) Live Bottom
                                                  than 400 meters water depth will
                                                                                                                            gas produced from ultra-deep wells                       (9) Blocks South of Baldwin County,
                                                  become fixed and no longer escalate, if
                                                                                                                            pursuant to 30 CFR part 203. These                            Alabama
                                                  another well is spudded targeting
                                                                                                                            regulations implement the requirements                   (10) Below Seabed Operations for
                                                  hydrocarbons below 25,000 feet TVD SS
                                                                                                                            of the Energy Policy Act of 2005 (42                          Rights-of-Use and Easement for
                                                  after the fifth year of the lease, and
                                                                                                                            U.S.C. 13201 et seq.). Under this                             Floating Production Facilities
                                                  BOEM concurs that such a well has
                                                                                                                            program, wells on leases in less than
                                                  been spudded. In this case, the rental                                                                                             V. Information to Lessees
                                                                                                                            400 meters water depth and completed
                                                  rate will become fixed at the rental rate                                                                                             Information to Lessees (ITLs) provides
                                                                                                                            to a drilling depth of 20,000 feet TVD
                                                  in effect during the lease year in which                                                                                           detailed information on certain issues
                                                                                                                            SS or deeper receive a RSV of 35 billion
                                                  the additional well was spudded.                                                                                                   pertaining to specific oil and gas lease
                                                                                                                            cubic feet on the production of natural
                                                  Royalty Rate                                                              gas. This RSV incentive is subject to                    sales. The detailed text of the ITLs for
                                                    • 12.5% for leases situated in water                                    applicable price thresholds set forth in                 this sale is contained in the
                                                  depths less than 200 meters.                                              the regulation at 30 CFR part 203.                       ‘‘Information to Lessees’’ section of the
                                                    • 18.75% for leases situated in water                                                                                            Final NOS package.
                                                                                                                            IV. Lease Stipulations
                                                  depths of 200 meters and deeper.                                                                                                   (1) Navigation Safety
                                                                                                                               Consistent with the Record of                         (2) Ordnance Disposal Areas
                                                  Minimum Royalty Rate                                                      Decision for the Final Programmatic                      (3) Existing and Proposed Artificial
                                                    • $7.00 per acre or fraction thereof                                    Environmental Impact Statement for the                        Reefs/Rigs-to-Reefs
                                                  per year for blocks in water depths less                                  2017–2022 Five Year OCS Oil and Gas                      (4) Lightering Zones
                                                  than 200 meters; and                                                      Leasing Program, Stipulation No. 5                       (5) Indicated Hydrocarbons List
                                                    • $11.00 per acre or fraction thereof                                   (Topographic Features) and Stipulation                   (6) Military Areas
                                                  per year for blocks in water depths 200                                   No. 8 (Live Bottom) will apply to every                  (7) Bureau of Safety and Environmental
                                                  meters or deeper.                                                         lease sale in the GOM Program Area.                           Enforcement (BSEE) Inspection and
                                                                                                                            One or more of the remaining eight                            Enforcement of Certain U.S. Coast
                                                  Royalty Suspension Provisions                                             stipulations will be applied to leases                        Guard (USCG) Regulations
                                                    The issuance of leases with Royalty                                     issued as a result of this sale, on                      (8) Significant Outer Continental Shelf
                                                  Suspension Volumes (RSVs) or other                                        applicable blocks as identified on the                        Sediment Resource Areas
                                                  forms of royalty relief is authorized                                     map ‘‘Final, Gulf of Mexico, Oil and Gas                 (9) Notice of Arrival on the Outer
                                                  under existing BOEM regulations at 30                                     Regionwide Lease Sale 249, August 16,                         Continental Shelf
                                                  CFR part 560. The specific details                                        2017, Stipulations and Deferred Blocks’’                 (10) Bidder/Lessee Notice of Obligations
                                                  relating to eligibility and                                               included in the Final Notice of Sale                          Related to Criminal/Civil Charges
                                                  implementation of the various royalty                                     package. The detailed text of the                             and Offenses, Suspension, or
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                                                  relief programs, including those                                          following stipulations is contained in                        Debarment; Disqualification Due to
                                                  involving the use of RSVs, are codified                                   the ‘‘Lease Stipulations’’ section of the                     a Conviction under the Clean Air
                                                  in Bureau of Safety and Environmental                                     Final NOS package.                                            Act or the Clean Water Act
                                                  Enforcement (BSEE) regulations at 30                                      (1) Military Areas                                       (11) Protected Species
                                                  CFR part 203.                                                             (2) Evacuation                                           (12) Proposed Expansion of the Flower
                                                    In this sale, the only royalty relief                                   (3) Coordination                                              Garden Banks National Marine
                                                  program being offered that involves the                                   (4) Protected Species                                         Sanctuary


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                                                  32580                            Federal Register / Vol. 82, No. 134 / Friday, July 14, 2017 / Notices

                                                  (13) Communication Towers                                  • Map name and number or Official                   Advance Bonus Bid Deposit Guarantee
                                                  (14) Deepwater Port Applications for                     Protraction Diagram (OPD) name and                      Bidders that are not currently an OCS
                                                       Offshore Oil and Liquefied Natural                  number;                                               oil and gas lease record title holder or
                                                       Gas Facilities                                        • Block number; and                                 designated operator, or those that ever
                                                  (15) Ocean Dredged Material Disposal                       • Statement acknowledging that the                  have defaulted on a one-fifth bonus bid
                                                       Sites                                               bidder(s) understand that this bid                    deposit, by Electronic Funds Transfer
                                                  (16) Rights-of-Use and Easement                          legally binds the bidder(s) to comply                 (EFT) or otherwise, must guarantee
                                                  (17) Industrial Waste Disposal Areas                     with all applicable regulations,                      (secure) the payment of the one-fifth
                                                  (18) Gulf Islands National Seashore                      including a deposit in the amount of                  bonus bid deposit prior to bid
                                                  (19) Air Quality Permit/Plan Approvals                   one-fifth of the bonus bid amount for                 submission using one of the following
                                                                                                           any tract bid upon and payment of the                 four methods:
                                                  VI. Maps                                                 balance of the bonus bid upon BOEM’s                    • Provide a third-party guarantee;
                                                    The maps pertaining to this lease sale                 acceptance of high bids.                                • Amend an area-wide development
                                                  may be viewed on BOEM’s Web site at                        The information required on the                     bond via bond rider;
                                                  http://www.boem.gov/Sale-249/. The                       bid(s) is specified in the document ‘‘Bid               • Provide a letter of credit; or
                                                  following maps also are included in the                  Form’’ contained in the Final NOS                       • Provide a lump sum payment in
                                                  Final NOS package:                                       package. A blank bid form is provided                 advance via EFT.
                                                                                                           in the Final NOS package for
                                                  Lease Terms and Economic Conditions                                                                            For more information on EFT
                                                                                                           convenience and may be copied and
                                                  Map                                                                                                                 procedures, see Section X of this
                                                                                                           completed with the necessary
                                                                                                                                                                      document entitled, ‘‘The Lease
                                                    The lease terms and economic                           information described above.
                                                                                                                                                                      Sale.’’
                                                  conditions associated with leases of                     Bid Envelope
                                                  certain blocks are shown on the map                                                                            Affirmative Action
                                                  entitled, ‘‘Final, Gulf of Mexico                          Each bid must be submitted in a
                                                                                                                                                                    Prior to bidding, each bidder should
                                                  Regionwide Oil and Gas Lease Sale 249,                   separate sealed envelope labeled as
                                                                                                                                                                 file the Equal Opportunity Affirmative
                                                  August 16, 2017, Lease Terms and                         follows:
                                                                                                                                                                 Action Representation Form BOEM–
                                                  Economic Conditions.’’                                     • ‘‘Sealed Bid for GOM Regionwide
                                                                                                                                                                 2032 (October 2011, http://
                                                                                                           Sale 249, not to be opened until 9 a.m.
                                                  Stipulations and Deferred Blocks Map                                                                           www.boem.gov/BOEM-2032/) and Equal
                                                                                                           Wednesday, August 16, 2017;’’
                                                                                                                                                                 Opportunity Compliance Report
                                                     The blocks to which one or more lease                   • Map name and number or OPD
                                                                                                                                                                 Certification Form BOEM–2033
                                                  stipulations will apply are shown on the                 name and number;
                                                                                                                                                                 (October 2011, http://www.boem.gov/
                                                  map entitled, ‘‘Final, Gulf of Mexico                      • Block number for block bid upon;
                                                                                                                                                                 BOEM-2033/) with the BOEM GOM
                                                  Regionwide Oil and Gas Lease Sale 249,                   and
                                                                                                                                                                 Adjudication Section. This certification
                                                  August 16, 2017, Stipulations and                          • The exact name and qualification
                                                                                                                                                                 is required by 41 CFR part 60 and
                                                  Deferred Blocks Map.’’                                   number of the submitting bidder only.
                                                                                                                                                                 Executive Order No. 11246, issued
                                                                                                             The Final NOS package includes a
                                                  VII. Bidding Instructions                                                                                      September 24, 1965, as amended by
                                                                                                           sample bid envelope for reference.
                                                                                                                                                                 Executive Order No. 11375, issued
                                                    Bids may be submitted in person or                     Mailed Bids                                           October 13, 1967, and by Executive
                                                  by mail at the addresses in the                                                                                Order 13672, issued July 21, 2014. Both
                                                  ADDRESSES and ‘‘Mailed Bids’’ sections.                     If bids are mailed, please address the
                                                                                                           envelope containing the sealed bid                    forms must be on file for the bidder(s)
                                                  Bidders submitting their bid(s) in                                                                             in the GOM Adjudication Section prior
                                                  person are advised to email                              envelope(s) as follows:
                                                                                                                                                                 to the execution of any lease contract.
                                                  boemgomrleasesales@boem.gov to                           Attention: Leasing and Financial
                                                  provide the names of the company                            Responsibility Section, BOEM Gulf of               Geophysical Data and Information
                                                  representative(s) that will submit the                      Mexico Region, 1201 Elmwood Park                   Statement (GDIS)
                                                  bid(s). Instructions on how to submit a                     Boulevard WS, –266A, New Orleans,                     The GDIS is composed of three parts:
                                                  bid, secure payment of the advance                          Louisiana 70123–2394, Contains                        (1) The ‘‘Statement’’ page includes the
                                                  bonus bid deposit (if applicable), and                      Sealed Bids for GOM Regionwide Sale                company representatives’ information
                                                  what information must be included with                      249, Please Deliver to Ms. Cindy                   and lists of blocks bid on that used
                                                  the bid are as follows:                                     Thibodeaux or Mr. Greg Purvis, 2nd                 proprietary data and those blocks bid on
                                                                                                              Floor, Immediately                                 that did not use proprietary data;
                                                  Bid Form
                                                                                                              Please Note: Bidders mailing bid(s)                   (2) The ‘‘Table’’ listing the required
                                                    For each block bid upon, a separate                    are advised to inform BOEM by email to                data about each proprietary survey used
                                                  sealed bid must be submitted in a sealed                 boemgomrleasesales@boem.gov                           (see below); and
                                                  envelope (as described below) and                        immediately after putting their bid(s) in                (3) The ‘‘Maps’’ being the live trace
                                                  include the following:                                   the mail. This is to ensure receipt of                maps for each survey that are identified
                                                    • Total amount of the bid in whole                     bids prior to the Bid Submission                      in the GDIS statement and table.
                                                  dollars only;                                            Deadline. If BOEM receives bids later                    Every bidder submitting a bid on a
                                                    • Sale number;                                         than the Bid Submission Deadline, the                 block in GOM Regionwide Sale 249, or
                                                    • Sale date;                                           BOEM GOM Regional Director (RD) will                  participating as a joint bidder in such a
                                                    • Each bidder’s exact name;                            return those bids unopened to bidders.                bid, must submit at the time of bid
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                                                    • Each bidder’s proportionate                          Please see ‘‘Section XI. Delay of Sale’’              submission all three parts of the GDIS.
                                                  interest, stated as a percentage, using a                regarding BOEM’s discretion to extend                 A bidder must submit the GDIS even if
                                                  maximum of five decimal places (e.g.,                    the Bid Submission Deadline in the case               a joint bidder or bidders on a specific
                                                  33.33333%);                                              of an unexpected event (e.g., flooding or             block also have submitted a GDIS. Any
                                                    • Typed name and title, and signature                  travel restrictions) and how bidders can              speculative data that has been
                                                  of each bidder’s authorized officer;                     obtain more information on such                       reprocessed externally or ‘‘in-house’’ is
                                                    • Each bidder’s qualification number;                  extensions.                                           considered proprietary due to the


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                                                                                   Federal Register / Vol. 82, No. 134 / Friday, July 14, 2017 / Notices                                           32581

                                                  proprietary processing and is no longer                     • Who reprocessed and the data when                Ocean Energy Management, Resource
                                                  considered to be speculative.                            the date of final reprocessing was                    Studies, GM 881A, 1201 Elmwood Park
                                                     The GDIS must be submitted in a                       completed (month and year).                           Blvd., New Orleans, LA 70123–2304.
                                                  separate and sealed envelope, and must                      The computer storage size                             BOEM recommends that bidders mark
                                                  identify all proprietary data;                           information will be used in estimating                the submission’s external envelope as
                                                  reprocessed speculative data, and/or                     the reproduction costs for each data set,             ‘‘Deliver Immediately to DASPU.’’
                                                  any Controlled Source Electromagnetic                    if applicable. The availability of                    BOEM also recommends that the data be
                                                  surveys, Amplitude Versus Offset                         reimbursement of production costs will                submitted in an internal envelope, or
                                                  (AVO), Gravity, or Magnetic data; or                     be determined consistent with 30 CFR                  otherwise marked, with the following
                                                  other information used as part of the                    551.13.                                               designation: ‘‘Proprietary Geophysical
                                                  decision to bid or participate in a bid on                  If the data was sent to BOEM for                   Data Submitted Pursuant to GOM
                                                  the block. The bidder and joint bidder                   bidding in a previous lease sale, list the            Regionwide Sale 249 and used during
                                                  must also include a live trace map (e.g.,                date the data was processed (month and                <Bidder Name’s> evaluation of Block
                                                  .pdf and ArcGIS shape file) for each                     year) and indicate if AVO data was used               <Block Number>.’’
                                                  proprietary survey that they identify in                 in the evaluation. BOEM reserves the                     In the event a person supplies any
                                                  the GDIS illustrating the actual areal                   right to query about alternate data sets,             type of data to BOEM, that person must
                                                  extent of the proprietary geophysical                    to quality check, and to compare the                  meet the following requirements to
                                                  data in the survey (see the ‘‘Example of                 listed and alternative data sets to                   qualify for reimbursement:
                                                  Preferred Format’’ in the Final NOS                      determine which data set most closely                    (1) The person must be registered
                                                  package for additional information). The                 meets the needs of the fair market value              with the System for Award Management
                                                  shape file should not include cultural                   determination process. An example of
                                                                                                                                                                 (SAM), formerly known as the Central
                                                  information; only the live trace map of                  the preferred format of the table is
                                                                                                                                                                 Contractor Registration (CCR). CCR
                                                  the survey itself.                                       included in the Final NOS package, and
                                                                                                                                                                 usernames will not work in SAM. A
                                                     The GDIS statement must include the                   a blank digital version of the preferred
                                                                                                                                                                 new SAM User Account is needed to
                                                  name, phone number, and full address                     table can be accessed on the GOM
                                                                                                                                                                 register or update an entity’s records.
                                                  of a contact person and an alternate who                 Regionwide Sale 249 Web page at http://
                                                                                                                                                                 The Web site for registering is https://
                                                  are both knowledgeable about the                         www.boem.gov/Sale-249.
                                                                                                              The GDIS maps are live trace maps (in              www.sam.gov.
                                                  information and data listed and who are                                                                           (2) The persons must be enrolled in
                                                  available for 30 days after the sale date.               .pdf and ArcGIS shape files) that should
                                                                                                           be submitted for each proprietary survey              the Department of the Treasury’s
                                                  The GDIS statement also must include                                                                           Invoice Processing Platform (IPP) for
                                                  a list of all blocks bid upon that did not               that is identified in the GDIS table. They
                                                                                                           should illustrate the actual areal extent             electronic invoicing. The person must
                                                  use proprietary or reprocessed pre- or                                                                         enroll in the IPP at https://www.ipp.
                                                  post-stack geophysical data and                          of the proprietary geophysical data in
                                                                                                           the survey (see the ‘‘Example of                      gov/. Access then will be granted to use
                                                  information as part of the decision to                                                                         the IPP for submitting requests for
                                                  bid or to participate as a joint bidder in               Preferred Format’’ in the Final NOS
                                                                                                           package for additional information). As               payment. When a request for payment is
                                                  the bid. The GDIS statement must be                                                                            submitted, it must include the assigned
                                                                                                           previously stated, the shape file should
                                                  submitted even if no proprietary                                                                               Purchase Order Number on the request.
                                                                                                           not include cultural information; only
                                                  geophysical data and information were                                                                             (3) The persons must have a current
                                                                                                           the live trace map of the survey itself.
                                                  used in bid preparation for the block.                                                                         On-line Representations and
                                                     The GDIS table should have columns                    Pursuant to 30 CFR 551.12 and 30 CFR
                                                                                                           556.501, as a condition of the sale, the              Certifications Application at https://
                                                  that clearly state:                                                                                            www.sam.gov.
                                                     • The sale number;                                    BOEM Gulf of Mexico RD requests that
                                                                                                           all bidders and joint bidders submit the                 Please Note: The GDIS Information
                                                     • The bidder company’s name;
                                                     • The block area and block number                     proprietary data identified on their                  Table must be submitted digitally,
                                                  bid on;                                                  GDIS within 30 days after the lease sale              preferably as an Excel spreadsheet, on a
                                                     • The owner of the original data set                  (unless they are notified after the lease             CD, DVD, or any USB external drive
                                                  (i.e., who initially acquired the data);                 sale that BOEM has withdrawn the                      (formatted for Windows), along with the
                                                     • The industry’s original name of the                 request). This request only pertains to               seismic data map(s). If bidders have any
                                                  survey (e.g., E Octopus);                                proprietary data that is not                          questions, please contact Ms. Dee Smith
                                                     • The BOEM permit number for the                      commercially available. Commercially                  at (504) 736–2706, or Mr. John Johnson
                                                  survey;                                                  available data is not required to be                  at (504) 736–2455.
                                                     • Whether the data set is a fast track                submitted to BOEM, and reimbursement                     Bidders should refer to Section X of
                                                  version;                                                 will not be provided if such data is                  this document, ‘‘The Lease Sale:
                                                     • Whether the data is speculative or                  submitted by a bidder. The BOEM Gulf                  Acceptance, Rejection, or Return of
                                                  proprietary;                                             of Mexico RD will notify bidders and                  Bids,’’ regarding a bidder’s failure to
                                                     • The data type (e.g., 2–D, 3–D, or 4–                joint bidders of any withdrawal of the                comply with the requirements of the
                                                  D; pre-stack or post-stack; and time or                  request, for all or some of the                       Final NOS, including any failure to
                                                  depth);                                                  proprietary data identified on the GDIS,              submit information as required in the
                                                     • The Migration algorithm (e.g.,                      within 15 days of the lease sale.                     Final NOS or Final NOS package.
                                                  Kirchhoff Migration, Wave Equation                       Pursuant to 30 CFR part 551 and 30 CFR
                                                                                                                                                                 Telephone Numbers/Addresses of
                                                  Migration, Reverse Migration, Reverse                    556.501, as a condition of this sale, all
                                                                                                                                                                 Bidders
                                                  Time Migration) of the data and areal                    bidders that are required to submit data
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                                                  extent of bidder survey (i.e., number of                 must ensure that the data is received by                BOEM requests that bidders provide
                                                  line miles for 2–D or number of blocks                   BOEM no later than the 30th day                       this information in the suggested format
                                                  for 3–D);                                                following the lease sale, or the next                 prior to or at the time of bid submission.
                                                     • The computer storage size, to the                   business day if the submission deadline               The suggested format is included in the
                                                  nearest gigabyte, of each seismic data                   falls on a weekend or Federal holiday.                Final NOS package. The form must not
                                                  and velocity volume used to evaluate                        The data must be submitted to BOEM                 be enclosed inside the sealed bid
                                                  the lease block; and                                     at the following address: Bureau of                   envelope.


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                                                  32582                            Federal Register / Vol. 82, No. 134 / Friday, July 14, 2017 / Notices

                                                  Additional Documentation                                 Bid Rounding                                          on the day of the sale. All payments
                                                    BOEM may require bidders to submit                        Minimum bonus bid calculations,                    must be deposited electronically into an
                                                  other documents in accordance with 30                    including rounding, for all blocks are                interest-bearing account in the U.S.
                                                  CFR 556.107, 30 CFR 556.401, 30 CFR                      shown in the document ‘‘List of Blocks                Treasury by 11:00 a.m. Eastern Time the
                                                  556.501, and 30 CFR 556.513.                             Available for Leasing’’ included in the               day following the bid reading (no
                                                                                                           Final NOS package. The bonus bid                      exceptions). Account information is
                                                  VIII. Bidding Rules and Restrictions                                                                           provided in the ‘‘Instructions for
                                                                                                           amount must be stated in whole dollars.
                                                  Restricted Joint Bidders                                 If the acreage of a block contains a                  Making Electronic Funds Transfer
                                                                                                           decimal figure, then prior to calculating             Bonus Payments’’ found on the BOEM
                                                    On April 28, 2017, BOEM published                                                                            Web site identified above.
                                                  the most recent List of Restricted Joint                 the minimum bonus bid, BOEM will
                                                  Bidders in the Federal Register at 82 FR                 round up to the next whole acre. The                    BOEM requires bidders to use EFT
                                                  19750. Potential bidders are advised to                  appropriate minimum rate per acre will                procedures for payment of one-fifth
                                                  refer to the Federal Register, prior to                  then be applied to the whole (rounded                 bonus bid deposits for GOM Regionwide
                                                  bidding, for the most current List of                    up) acreage. If this calculation results in           Sale 249 following the detailed
                                                  Restricted Joint Bidders in place at the                 a fractional dollar amount, the                       instructions contained on the ONRR
                                                  time of the lease sale. Please refer to the              minimum bonus bid will be rounded up                  Payment Information Web page at
                                                  joint bidding provisions at 30 CFR                       to the next whole dollar amount. The                  http://www.onrr.gov/FM/PayInfo.htm.
                                                  556.511–515.                                             bonus bid amount must be greater than                 Acceptance of a deposit does not
                                                                                                           or equal to the minimum bonus bid in                  constitute and will not be construed as
                                                  Authorized Signatures                                    whole dollars.                                        acceptance of any bid on behalf of the
                                                     All signatories executing documents                                                                         United States.
                                                                                                           IX. Forms
                                                  on behalf of bidder(s) must execute the                                                                        Withdrawal of Blocks
                                                  same in conformance with the BOEM                          The Final NOS package includes
                                                  qualification records. Bidders are                       instructions, samples, and/or the                       The United States reserves the right to
                                                  advised that BOEM considers the signed                   preferred format for the following items.             withdraw any block from this lease sale
                                                  bid to be a legally binding obligation on                BOEM strongly encourages bidders to                   prior to issuance of a written acceptance
                                                  the part of the bidder(s) to comply with                 use these formats. Should bidders use                 of a bid for the block.
                                                  all applicable regulations, including                    another format, they are responsible for
                                                                                                           including all the information specified               Acceptance, Rejection, or Return of Bids
                                                  payment of one-fifth of the bonus bid on
                                                  all high bids. A statement to this effect                for each item in the Final NOS package.
                                                                                                                                                                   The United States reserves the right to
                                                  is included on each bid form (see the                    (1) Bid Form                                          reject any and all bids. No bid will be
                                                  document ‘‘Bid Form’’ contained in the                   (2) Sample Completed Bid
                                                                                                           (3) Sample Bid Envelope                               accepted, and no lease for any block
                                                  Final NOS package).                                                                                            will be awarded to any bidder, unless:
                                                                                                           (4) Sample Bid Mailing Envelope
                                                  Unlawful Combination or Intimidation                     (5) Telephone Numbers/Addresses of                      (1) The bidder has complied with all
                                                    BOEM warns bidders against violation                        Bidders Form                                     requirements of the Final NOS,
                                                  of 18 U.S.C. 1860, prohibiting unlawful                  (6) GDIS Form                                         including those set forth in the
                                                  combination or intimidation of bidders.                  (7) GDIS Envelope Form                                documents contained in the Final NOS
                                                                                                           X. The Lease Sale                                     package, and applicable regulations;
                                                  Bid Withdrawal
                                                                                                                                                                   (2) The bid is the highest valid bid;
                                                    Bids may be withdrawn only by                          Bid Opening and Reading                               and
                                                  written request delivered to BOEM prior                     Sealed bids received in response to                  (3) The amount of the bid has been
                                                  to the Bid Submission Deadline. The                      the Final NOS will be opened at the                   determined to be adequate by the
                                                  withdrawal request must be on                            place, date, and hour specified under                 authorized officer.
                                                  company letterhead and must contain                      the ‘‘DATES’’ section of this Final NOS.
                                                  the bidder’s name, its BOEM                              The venue will not be open to the                       Any bid submitted that does not
                                                  qualification number, the map name/                      public. Instead, the bid opening will be              conform to the requirements of the Final
                                                  number, and the block number(s) of the                   available for the public to view on                   NOS and Final NOS package, OCSLA,
                                                  bid(s) to be withdrawn. The withdrawal                   BOEM’s Web site at www.boem.gov via                   or other applicable statute or regulation
                                                  request must be executed in                              live-streaming. The opening of the bids               will be rejected and returned to the
                                                  conformance with the BOEM                                is for the sole purpose of publicly                   bidder. The U.S. Department of Justice
                                                  qualification records. Signatories must                  announcing and recording the bids                     and the Federal Trade Commission will
                                                  be authorized to bind their respective                   received; no bids will be accepted or                 review the results of the lease sale for
                                                  legal business entity (e.g., a corporation,              rejected at that time.                                antitrust issues prior to the acceptance
                                                  partnership, or LLC) and documentation                                                                         of bids and issuance of leases.
                                                  must be on file with BOEM setting forth                  Bonus Bid Deposit for Apparent High
                                                                                                           Bids                                                  Bid Adequacy Review Procedures for
                                                  this authority to act on the business                                                                          GOM Regionwide Sale 249
                                                  entity’s behalf for purposes of bidding                    Each bidder submitting an apparent
                                                  and lease execution under OCSLA (e.g.,                   high bid must submit a bonus bid                        To ensure that the U.S. Government
                                                  business charter or articles, incumbency                 deposit to the Office of Natural                      receives a fair return for the conveyance
                                                  certificate, or power of attorney). The                  Resources Revenue (ONRR) equal to                     of leases from this sale, high bids will
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                                                  name and title of the authorized                         one-fifth of the bonus bid amount for                 be evaluated in accordance with
                                                  signatory must be typed under the                        each such bid. A copy of the notification             BOEM’s bid adequacy procedures,
                                                  signature block on the withdrawal                        of the high bidder’s one-fifth bonus bid              which are available at http://
                                                  request. The BOEM Gulf of Mexico RD,                     amount may be obtained on the BOEM                    www.boem.gov/Oil-and-Gas-Energy-
                                                  or the RD’s designee, will indicate their                Web site at http://www.boem.gov/Sale-                 Program/Leasing/Regional-Leasing/
                                                  approval by signing and dating the                       249 under the heading ‘‘Notification of               Gulf-of-Mexico-Region/Bid-Adequacy-
                                                  withdrawal request.                                      EFT 1⁄5 Bonus Liability’’ after 1:00 p.m.             Procedures.aspx.


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                                                                                   Federal Register / Vol. 82, No. 134 / Friday, July 14, 2017 / Notices                                            32583

                                                  Lease Award                                              Mexico Lease Sales 249, 250, 251, 252,                Gulf of Mexico Energy Security Act of
                                                     BOEM requires each bidder awarded                     253, 254, 256, 257, 259, and 261; Final               2006; and blocks that are adjacent to or
                                                  a lease to:                                              Multisale Environmental Impact                        beyond the United States’ Exclusive
                                                     (1) Execute all copies of the lease                   Statement (2017–2022 GOM Multisale                    Economic Zone in the area known as the
                                                  (Form BOEM–2005 (February 2017), as                      EIS).                                                 northern portion of the Eastern Gap. The
                                                                                                           ADDRESSES: The Record of Decision and                 proposed CPA/EPA lease sale area
                                                  amended);
                                                                                                           associated information are available on               encompasses about 63.35 million ac. As
                                                     (2) Pay by EFT the balance of the
                                                                                                           BOEM’s Web site at http://                            of June 2017, approximately 49.8
                                                  bonus bid amount and the first year’s
                                                                                                           www.boem.gov/nepaprocess/.                            million ac of the proposed CPA/EPA
                                                  rental for each lease issued in
                                                                                                                                                                 lease sale area are currently available for
                                                  accordance with the requirements of 30                   FOR FURTHER INFORMATION CONTACT: For
                                                                                                                                                                 lease. The estimated amounts of
                                                  CFR 218.155 and 556.520(a); and                          more information on the Record of
                                                                                                                                                                 resources projected to be leased,
                                                     (3) Satisfy the bonding requirements                  Decision, you may contact Mr. Greg
                                                                                                                                                                 discovered, developed, and produced as
                                                  of 30 CFR part 556, subpart I, as                        Kozlowski, Deputy Regional Supervisor,
                                                                                                                                                                 a result of the proposed lease sale under
                                                  amended. ONRR requests that only one                     Office of Environment, by telephone at
                                                                                                                                                                 Alternative B are 0.185–0.970 BBO and
                                                  transaction be used for payment of the                   504–736–2512 or by email at
                                                                                                                                                                 0.44–3.672 Tcf of gas.
                                                  balance of the bonus bid amount and                      greg.kozlowski@boem.gov.
                                                                                                                                                                    Alternative C—Regionwide OCS Lease
                                                  the first year’s rental.                                 SUPPLEMENTARY INFORMATION: In the                     Sale Excluding Available Unleased
                                                                                                           GOM Multisale EIS, BOEM evaluated                     Blocks in the CPA and EPA Portions of
                                                  XI. Delay of Sale
                                                                                                           five alternatives that are summarized                 the Proposed Lease Sale Area: This
                                                     The BOEM Gulf of Mexico RD has the                    below in regards to proposed Lease Sale               alternative would offer for lease all
                                                  discretion to change any date, time,                     249:                                                  available unleased blocks within the
                                                  and/or location specified in the Final                      Alternative A—Regionwide OCS Lease                 WPA portion of the proposed lease sale
                                                  NOS package in the case of an event that                 Sale: This is BOEM’s preferred                        area for oil and gas operations, with the
                                                  the BOEM Gulf of Mexico RD deems                         alternative. This alternative would                   following exception: whole and partial
                                                  may interfere with the carrying out of a                 allow for a proposed GOM regionwide                   blocks within the current boundary of
                                                  fair and orderly lease sale process. Such                lease sale encompassing all three                     the Flower Garden Banks National
                                                  events could include, but are not                        planning areas: The Western Planning                  Marine Sanctuary. The proposed WPA
                                                  limited to, natural disasters (e.g.,                     Area (WPA); the Central Planning Area                 lease sale area encompasses about 28.58
                                                  earthquakes, hurricanes, and floods),                    (CPA); and the Eastern Planning Area                  million acres (ac). As of June 2017,
                                                  wars, riots, acts of terrorism, fires,                   (EPA). Under this alternative, BOEM                   approximately 25.9 million ac of the
                                                  strikes, civil disorder, or other events of              would offer for lease all available                   proposed WPA lease sale area are
                                                  a similar nature. In case of such events,                unleased blocks within the proposed                   currently available for lease. The
                                                  bidders should call (504) 736–0557, or                   regionwide lease sale area for oil and                estimated amounts of resources
                                                  access the BOEM Web site at http://                      gas operations with the following                     projected to be leased, discovered,
                                                  www.boem.gov, for information                            exceptions: Whole and portions of                     developed, and produced as a result of
                                                  regarding any changes.                                   blocks deferred by the Gulf of Mexico                 the proposed lease sale under
                                                   Dated: July 11, 2017.                                   Energy Security Act of 2006; blocks that              Alternative C are 0.026–0.148 BBO and
                                                  Walter D. Cruickshank,
                                                                                                           are adjacent to or beyond the United                  0.106–0.752 Tcf of gas.
                                                                                                           States’ Exclusive Economic Zone in the                   Alternative D—Alternative A, B, or C,
                                                  Acting Director, Bureau of Ocean Energy
                                                  Management.
                                                                                                           area known as the northern portion of                 with the Option to Exclude Available
                                                                                                           the Eastern Gap; and whole and partial                Unleased Blocks Subject to the
                                                  [FR Doc. 2017–14868 Filed 7–13–17; 8:45 am]
                                                                                                           blocks within the current boundary of                 Topographic Features, Live Bottom
                                                  BILLING CODE 4310–MR–P
                                                                                                           the Flower Garden Banks National                      (Pinnacle Trend), and/or Blocks South
                                                                                                           Marine Sanctuary. The unavailable                     of Baldwin County, Alabama,
                                                                                                           blocks are listed in Section I of the Final           Stipulations: This alternative could be
                                                  DEPARTMENT OF THE INTERIOR
                                                                                                           Notice of Sale for Lease Sale 249. The                combined with any of the Action
                                                  Bureau of Ocean Energy Management                        proposed regionwide lease sale area                   alternatives above (i.e., Alternatives A,
                                                                                                           encompasses about 91.93 million acres                 B, or C) and would allow the flexibility
                                                  [Docket No. BOEM–2017–0012;                              (ac). As of June 2017, approximately                  to offer leases under any alternative
                                                  MMAA104000]
                                                                                                           75.7 million ac of the proposed                       with additional exclusions. Under
                                                  Gulf of Mexico, Outer Continental Shelf                  regionwide lease sale area are currently              Alternative D, the decisionmaker could
                                                  (OCS), Oil and Gas Lease Sale 249                        available for lease. The estimated                    exclude from leasing any available
                                                                                                           amounts of resources projected to be                  unleased blocks subject to any one and/
                                                  AGENCY: Bureau of Ocean Energy                           leased, discovered, developed, and                    or a combination of the following
                                                  Management, Interior.                                    produced as a result of the proposed                  stipulations: Topographic Features
                                                  ACTION: Notice of availability of a                      regionwide lease sale are 0.211–1.118                 Stipulation; Live Bottom (Pinnacle
                                                  Record of Decision.                                      billion barrels of oil (BBO) and 0.547–               Trend) Stipulation; and Blocks South of
                                                                                                           4.424 trillion cubic feet (Tcf) of gas.               Baldwin County, Alabama, Stipulation
                                                  SUMMARY:   The Bureau of Ocean Energy                       Alternative B—Regionwide OCS Lease                 (not applicable to Alternative C). This
                                                  Management (BOEM) is announcing the                      Sale Excluding Available Unleased                     alternative considered blocks subject to
                                                  availability of a Record of Decision for                 Blocks in the WPA Portion of the                      these stipulations because these areas
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                                                  proposed Gulf of Mexico (GOM)                            Proposed Lease Sale Area: This                        have been emphasized in scoping, can
                                                  regionwide oil and gas Lease Sale 249.                   alternative would offer for lease all                 be geographically defined, and adequate
                                                  This Record of Decision identifies                       available unleased blocks within the                  information exists regarding their
                                                  BOEM’s selected alternative for                          CPA and EPA portions of the proposed                  ecological importance and sensitivity to
                                                  proposed Lease Sale 249, which is                        lease sale area for oil and gas operations,           OCS oil- and gas-related activities.
                                                  analyzed in the Gulf of Mexico OCS Oil                   with the following exceptions: Whole                     A total of 207 blocks within the CPA
                                                  and Gas Lease Sales: 2017–2022; Gulf of                  and portions of blocks deferred by the                and 160 blocks in the WPA are affected


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Document Created: 2018-10-24 11:17:05
Document Modified: 2018-10-24 11:17:05
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 GOM Regionwide Sale 249 will begin at 9:00 a.m. on Wednesday, August 16, 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. 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.
ContactDr. David Diamond, Chief, Leasing Division, 703-787-1776, [email protected]
FR Citation82 FR 32577 

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