# Gulf of Mexico Central Planning Area Outer Continental Shelf Oil and Gas Lease Sale 247; MMAA104000 > Briefs, arguments, decisions, and more. URL: https://www.frixlaw.com/law-library/documents/fr%3A2016-31218 ## Record - **Collection:** Federal Register - **Document type:** Notice - **Published:** December 27, 2016 - **Citation:** 81 FR 95185 ## Text DEPARTMENT OF THE INTERIOR Bureau of Ocean Energy Management Gulf of Mexico Central Planning Area Outer Continental Shelf Oil and Gas Lease Sale 247; MMAA104000 AGENCY: Bureau of Ocean Energy Management, Interior. ACTION: Final notice of sale. SUMMARY: On Wednesday, March 22, 2017, the Bureau of Ocean Energy Management (BOEM) will open and publicly announce bids received for blocks offered in the Gulf of Mexico Central Planning Area (CPA) Lease Sale 247 (CPA Sale 247.. The CPA Sale 247 Final Notice of Sale (NOS) package contains information essential to potential bidders. DATES: Public Bid reading for CPA Sale 247 will begin at 9:00 a.m. on Wednesday, March 22, 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. The use of live-streaming video will provide greater access to a wider national and international audience while ensuring the security of BOEM staff. 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 during normal business hours, between 8:00 a.m. and 4:00 p.m. through March 20, 2017, and from 8:00 a.m. to the Bid Submission Deadline of 10:00 a.m. on Tuesday, March 21, 2017, the day before the lease sale. For more information on bid submission, see Section VII, “Bidding Instructions,” of this document. ADDRESSES: Interested parties, upon request, may obtain a compact disc (CD-ROM) containing the Final Notice of Sale (NOS) package by contacting the BOEM Gulf of Mexico (GOM) Region at: Gulf of Mexico Region Public Information Office, Bureau of Ocean Energy Management, 1201 Elmwood Park Boulevard, New Orleans, Louisiana 70123-2394, (504) 736-2519 or (800) 200-GULF, or can download the Final NOS package by visiting the BOEM Web site at http://www.boem.gov/Sale-247/. 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 CPA, except those blocks listed in “Blocks Not Offered for Leasing” below. Blocks Not Offered for Leasing: The following whole and partial blocks are not offered for lease in this sale: Whole and 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 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 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 The lease status of the following block is currently under appeal; should the appeal be resolved prior to publishing the Final NOS, the block may be available for lease in the CPA 247 Sale: West Cameron (Leasing Map LA1) Block 171 II. Statutes and Regulations In accordance with the provisions of the Outer Continental Shelf Lands Act, 43 U.S.C. 1331-1356, as amended (OCSLA), and the implementing regulations issued pursuant thereto in 30 CFR parts 550 and 556, each lease is issued pursuant to OCSLA and is subject to OCSLA implementing regulations promulgated pursuant thereto, 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 (October 2011) to convey leases resulting from this sale. This lease form may be viewed on the BOEM 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 below. Initial Periods Initial periods are summarized in the following table: Water depth (meters) Initial period 0 to 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 Treasury's Invoice Processing Platform (IPP) for electronic invoicing. The person must enroll in the IPP at https://www.ipp.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 or DVD 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 will be included in the Final NOS package. The form must not be enclosed inside the sealed bid envelope. 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 November 4, 2016, BOEM published the most recent List of Restricted Joint Bidders in the Federal Register at 81 FR 76962. 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” to be 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 will be shown in the document “List of Blocks Available for Leasing” included in this 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 in the 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-247 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 CPA Lease Sale 247 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 CPA Lease Sale 247 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. Lease Award BOEM requires each bidder awarded a lease to: (1) Execute all copies of the lease (Form BOEM-2005 (October 2011), 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 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: December 20, 2016. Abigail Ross Hopper, Director, Bureau of Ocean Energy Management. [FR Doc. 2016-31218 Filed 12-23-16; 8:45 am] BILLING CODE 4310-MR-P --- Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/fr%3A2016-31218. Public record. Not legal advice.