[Federal Register Volume 63, Number 203 (Wednesday, October 21, 1998)] [Notices] [Page 56217] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 98-28146] ----------------------------------------------------------------------- DEPARTMENT OF THE INTERIOR Minerals Management Service Announcement of Minerals Management Service Workshop on the Development of Criteria To Be Used in Distinguishing Between Gathering and Transportation in Deep Water in the Outer Continental Shelf
Agency
Minerals Management Service, Interior.
Action
Notice of meeting.
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Summary
The Minerals Management Service (MMS) will hold a day-long meeting with parties interested in the development of deep water leases that may involve subsea well completions. We are interested in developing specific criteria to be used in distinguishing between gathering and transportation to determine permissible deductions in calculating royalty value.
Dates
The workshop will be held on November 16, 1998, starting at 9:00 a.m., Central Time.
Addresses
The meeting will be held at the MMS Gulf of Mexico Outer Continental Shelf Regional Office, 1201 Elmwood Park Blvd., New Orleans, Louisiana 70123.
For Further Information Contact
Mr. Martin C. Grieshaber, Minerals Management Service, P.O. Box 25165, MS 9200, Denver, CO 80225-0165, telephone number (303) 275-7118; fax (301) 275-7124; e-mail Martin.Grieshaber@mms.gov; or Ms. Deborah Gibbs Tschudy, MMS, P.O. Box 25165, MS 3150, Denver, CO 80225-0165, telephone number (303) 275-7200; fax (303) 275-7227; e-mail Deborah.GibbsTschudy@mms.gov.
COMMENTS: Written comments on the meeting or the issues below should be addressed to Mr. Martin C. Grieshaber at the above address.
Supplementary Information
MMS is investigating the impact of deep water production systems on the distinction between gathering and transportation. Current MMS regulations provide for an allowance for the actual and reasonable costs of transporting production when value for royalty purposes is determined away from the lease. No allowance is permitted for gathering (movement to a central accumulation and/or treatment point). The new technologies involved in deep water development were not specifically contemplated in the current regulations, particularly when distinguishing between gathering and transportation. We are interested in specific comments regarding what criteria should be used on a case-by-case basis when making the gathering/ transportation differentiation for deep water leases. Some possible criteria we would like comments on include: water depth, distance of movement, location of the approved measurement point, marketable condition of the production, and on-lease v. off- lease movement. Specific comments are welcome on any other criteria with a bearing on the issue.
Dated: October 15, 1998. Walter Cruickshank, Associate Director for Policy and Management Improvement. [FR Doc. 98-28146 Filed 10-20-98; 8:45 am] BILLING CODE 4310-MR-M