TX NATURAL RESOURCES CODE

SUBTITLE B. SURVEYS AND SURVEYORS

CHAPTER 32. SCHOOL LAND BOARD

SUBCHAPTER E. CONDITIONS OF LEASES


§ 32.151. TERM OF LEASE.
     Each oil and gas lease shall be for a primary term not to exceed 10 years and for as long thereafter as oil or gas is produced in paying quantities.

Added by Acts 1985, 69th Leg., ch. 624, § 24, eff. Sept. 1, 1985. Amended by Acts 1993, 73rd Leg., ch. 897, § 14, eff. Sept. 1, 1993.

§ 32.152. ASSIGNMENT AND TRANSFER.
     A lessee may transfer or assign his lease at any time in the manner provided by Section 52.026 of this code.

Added by Acts 1985, 69th Leg., ch. 624, § 24, eff. Sept. 1, 1985.

§ 32.153. LEASE RELINQUISHMENT.
     A lessee may relinquish his lease to the state at any time in the manner provided by Section 52.027 of this code.

Added by Acts 1985, 69th Leg., ch. 624, § 24, eff. Sept. 1, 1985.

§ 32.154. LEASES SUBJECT TO LAWS, ORDERS, AND RULES.
     Drilling or mining operations for oil, gas, or other
      minerals and the production of oil, gas, or other minerals under a lease issued under this chapter are subject to:
          (1) the laws of this state;
          (2) valid orders made by the Railroad Commission of Texas or any other regulatory authority controlling the development of leases for the production of oil, gas, or other minerals; and
          (3) rules the board adopts.

Added by Acts 1985, 69th Leg., ch. 624, § 24, eff. Sept. 1, 1985.

§ 32.155. RENTAL AND ROYALTY PAYMENTS.
     (a) Each lessee or his assigns shall pay annual rentals and royalties as specified by the board.
     (b) Subchapter D, Chapter 52 of this code applies to a lease issued under this chapter.

Added by Acts 1985, 69th Leg., ch. 624, § 24, eff. Sept. 1, 1985.

§ 32.156. FORFEITURE.
     Each lease is subject to forfeiture by the commissioner under the conditions and in the manner provided by Section 52.176 of this code.

Added by Acts 1985, 69th Leg., ch. 624, § 24, eff. Sept. 1, 1985.

§ 32.157. SPECIAL ACCOUNTS.
     (a) Special funds are created in the State Treasury to be known as the Parks and Wildlife Department and the Texas Department of Corrections special mineral funds.
     (b) All money collected as bonus, royalty, rental, payments for easements, and permit fees attributable to land covered by this chapter, other than land dedicated to the permanent school fund, shall be deposited in the special mineral fund of the department, board, or agency owning the land.
     (c) To offset the costs of leasing and administering mineral leasing, all fees collected relating to leasing lands owned by boards, departments, or agencies, including the sales fee and any penalties collected shall be credited to the same fund account in the treasury as those similar fees collected in the leasing of land dedicated to the permanent school fund.

Added by Acts 1985, 69th Leg., ch. 624, § 50, eff. Sept. 1, 1985.