[Federal Register Volume 64, Number 94 (Monday, May 17, 1999)]
[Notices]
[Pages 26772-26773]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-12315]
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DEPARTMENT OF THE INTERIOR
Bureau of Land Management
[MT-921-09-1320-01; MTM 80697]
Coal Lease Offering
AGENCY: Bureau of Land Management, Interior.
ACTION: Notice of coal lease offering by sealed bid MTM 80697--Western
Energy Company.
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SUMMARY: Notice is hereby given that the coal resources in the lands
described
[[Page 26773]]
below in Rosebud County, Montana, will be offered for competitive lease
by sealed bid. This offering is being made as a result of an
application filed by Western Energy Company, in accordance with the
provisions of the Mineral Leasing Act of 1920 (41 Stat. 437; 30 U.S.C.
181-287), as amended.
An Environmental Assessment of the proposed coal development and
related requirements for consultation, public involvement, and hearing
have been completed in accordance with 43 CFR part 3425. Concerns and
issues expressed by the public during the public scoping process
centered on social, economic, and cultural impacts to the Northern
Cheyenne and Crow Tribes, hydrologic impacts to the area, and the need
to do an Environmental Impact Statement (EIS) as the appropriate level
of environmental documentation for the development of the coal
resources. Three alternatives (Preferred, No Action, and Cultural
Resource Avoidance) were developed to analyze impacts and to address
issues relating to the proposed action. The Preferred Alternative,
including special stipulations and mitigation measures, was chosen
because it will maximize the beneficial use of the subject coal
resource and will mitigate impacts to one historic site and two sites
which have high values as traditional cultural properties.
The tract will be leased to the qualified bidder of the highest
cash amount provided that the high bid meets the fair market value of
the coal resource. The minimum bid for the tract is $100 per acre, or
fraction thereof. No bid that is less than $100 per acre, or fraction
thereof, will be considered. The minimum bid is not intended to
represent fair market value. The fair market value will be determined
by the authorized officer after the sale.
Coal Offered
The coal resource to be offered consists of all recoverable
reserves in the following-described lands located approximately 10
miles west of the town of Colstrip:
T. 1 N., R. 39 E., P.M.M.
Sec. 2: N\1/2\S\1/2\NW\1/4\
T. 1 N., R. 40 E., P.M.M.
Sec. 6: Lots 1-4 S\1/2\N\1/2\, N\1/2\S\1/2\, N\1/2\SW\1/4\SE\1/
4\, SE\1/4\SE\1/4\
Sec. 8: NE\1/4\NE\1/4\, N\1/2\NW\1/4\NE\1/4\, SE\1/4\NW\1/
4\NE\1/4\, N\1/2\N\1/2\NW\1/4\
Sec. 14: S\1/2\SW\1/4\, N\1/2\NE\1/4\SE\1/4\, W\1/2\SE\1/4\
T. 2 N., R. 40 E., P.M.M.
Sec. 32: NE\1/4\, E\1/2\NE\1/4\NW\1/4\, SW\1/4\NE\1/4\NW\1/4\,
S\1/2\SW\1/4\NW\1/4\, SE\1/4\NW\1/4\, N\1/2\S\1/2\, SW\1/4\SW\1/4\,
N\1/2\SE\1/4\SW\1/4\, N\1/2\SW\1/4\SE\1/4\
Containing 1,401, Rosebud County, Montana.
The Rosebud seam, averaging 22.3 feet in thickness, is the only
economically minable coal seam within the tract. The tract contains an
estimated 27.6 million tons of recoverable reserves. Coal quality, as
received, averages 8,360 BTU/lb., 25.52 percent moisture, 10.03 percent
ash, and 0.97 percent sulfur. This coal bed is being mined in adjoining
tracts by Western Energy Company.
Rental and Royalty
A lease issued as a result of this offering will provide for
payment of an annual rental of $3 per acre, or fraction thereof; and a
royalty payable to the United States of 12.5 percent of the value of
coal mined by surface methods and 8.0 percent of the value of coal
mined by underground methods. The value of the coal shall be determined
in accordance with 43 CFR 3485.2.
DATES: Lease Sale--The lease sale will be held at 10 a.m., Wednesday,
June 16, 1999, in the Conference Room on the Sixth Floor of the Granite
Tower Building, Bureau of Land Management, 222 North 32nd Street,
Billings, Montana 59107.
Bids--Sealed bids Clearly Marked ``Sealed Bid for MTM 80697 Coal
Sale--not to be opened before 10:00 a.m., Wednesday, June 16, 1999''
must be submitted on or before 9:00 a.m., Wednesday, June 16, 1999, to
the cashier, Bureau of Land Management, Montana State Office, Second
Floor, Granite Tower Building, 222 North 32nd Street, Post Office Box
36800, Billings, Montana 59107-6800. The bids should be sent by
certified mail, return receipt requested, or be hand-delivered. The
cashier will issue a receipt for each hand-delivered bid. Bids received
after that time will not be considered.
SUPPLEMENTARY INFORMATION: Bidding instructions for the offered tract
are included in the Detailed Statement of Lease Sale. Copies of the
statement and the proposed coal lease are available at the Montana
State Office. Casefile documents are also available for public
inspection at the Montana State Office.
Dated: May 11, 1999.
Randy D. Heuscher,
Chief, Branch of Solid Minerals.
[FR Doc. 99-12315 Filed 5-14-99; 8:45 am]
BILLING CODE 4310 DN-P
