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Title 42 — The Public Health and Welfare

Part A · Chapter 149 — National Energy Policy and Programs

§ 15905. Royalty relief for deep water production

Statutory text

(a)

In general

Subject to subsections (b) and (c), for each tract located in water depths of greater than 400 meters in the Western and Central Planning Area of the Gulf of Mexico (including the portion of the Eastern Planning Area of the Gulf of Mexico encompassing whole lease blocks lying west of 87 degrees, 30 minutes West longitude), any oil or gas lease sale under the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) occurring during the 5-year period beginning on , shall use the bidding system authorized under section 8(a)(1)(H) of the Outer Continental Shelf Lands Act (43 U.S.C. 1337(a)(1)(H)).

(b)

Suspension of royalties

The suspension of royalties under subsection (a) shall be established at a volume of not less than—

(1)

5,000,000 barrels of oil equivalent for each lease in water depths of 400 to 800 meters;

(2)

9,000,000 barrels of oil equivalent for each lease in water depths of 800 to 1,600 meters;

(3)

12,000,000 barrels of oil equivalent for each lease in water depths of 1,600 to 2,000 meters; and

(4)

16,000,000 barrels of oil equivalent for each lease in water depths greater than 2,000 meters.

(c)

Limitation

The Secretary may place limitations on royalty relief granted under this section based on market price.

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

  1. Energy Policy Act of 2005

    Pub. L. 109–58 title III § 345 · 119 Stat. 594

    Enacted · 42 U.S.C. § 15905

    (Pub. L. 109–58, title III, § 345, Aug. 8, 2005, 119 Stat. 703.)

    Source evidence

    Code source credit
    (Pub. L. 109–58, title III, § 345, Aug. 8, 2005, 119 Stat. 703.)

    Enacted provision · exact public law section
    SEC. 345. ROYALTY RELIEF FOR DEEP WATER PRODUCTION. (a) In General.— Subject to Effective date. subsections (b) and (c), for each tract located in water depths of greater than 400 meters in the Western and Central Planning Area of the Gulf of Mexico (including the portion of the Eastern Planning Area of the Gulf of Mexico encompassing whole lease blocks lying west of 87 degrees, 30 minutes West longitude), any oil or gas lease sale under the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) occurring during the 5-year period beginning on the date of enactment of this Act shall use the bidding system authorized under section 8(a)(1)(H) of the Outer Continental Shelf Lands Act (43 U.S.C. 1337(a)(1)(H)). (b) Suspension of Royalties.— The suspension of royalties under subsection (a) shall be established at a volume of not less than— (1) 5,000,000 barrels of oil equivalent for each lease in water depths of 400 to 800 meters; (2) 9,000,000 barrels of oil equivalent for each lease in water depths of 800 to 1,600 meters; (3) 12,000,000 barrels of oil equivalent for each lease in water depths of 1,600 to 2,000 meters; and (4) 16,000,000 barrels of oil equivalent for each lease in water depths greater than 2,000 meters. (c) Limitation.— The Secretary may place limitations on royalty relief granted under this section based on market price.

1 of 1 references resolved to an enrolled provision

Editorial Notes

References in Text

The Outer Continental Shelf Lands Act, referred to in subsec. (a), is act Aug. 7, 1953, ch. 345, 67 Stat. 462, which is classified generally to subchapter III (§ 1331 et seq.) of chapter 29 of Title 43, Public Lands. For complete classification of this Act to the Code, see Short Title note set out under section 1301 of Title 43 and Tables.

Credits

(Pub. L. 109–58, title III, § 345, , 119 Stat. 703.)

Parsed from the official OLRC USLM XML in data/usc_all/usc42.xml · release point 119-108 · OLRC build 2026-09-09

USLM identifier /us/usc/t42/s15905