# 30 CFR § 1206.50: What is the purpose of this subpart? > Federal · Regulations · In force URL: https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.50 ## Section - **Citation:** 30 CFR § 1206.50 - **Heading:** What is the purpose of this subpart? - **Jurisdiction:** Federal - **Kind:** Regulations - **Status:** In force - **Text as of:** September 22, 2026 - **Source:** Publisher's official text - **Location:** Title 30—Mineral Resources > CHAPTER XII—OFFICE OF NATURAL RESOURCES REVENUE, DEPARTMENT OF THE INTERIOR > SUBCHAPTER A—NATURAL RESOURCES REVENUE > PART 1206—PRODUCT VALUATION > Subpart B—Indian Oil ## Text (a) This subpart applies to all oil produced from Indian (Tribal and allotted) oil and gas leases (except leases on the Osage Indian Reservation, Osage County, Oklahoma). This subpart does not apply to Federal leases, including Federal leases for which revenues are shared with Alaska Native Corporations. This subpart: (1) Explains how you as a lessee must calculate the value of production for royalty purposes consistent with Indian mineral leasing laws, other applicable laws, and lease terms. (2) Ensures the United States discharges its trust responsibilities for administering Indian oil and gas leases under the governing Indian mineral leasing laws, treaties, and lease terms. (b) If you dispose of or report production on behalf of a lessee, the terms “you” and “your” in this subpart refer to you and not to the lessee. In this circumstance, you must determine and report royalty value for the lessee's oil by applying the rules in this subpart to your disposition of the lessee's oil. (c) If the regulations in this subpart are inconsistent with: (1) A Federal statute; (2) A settlement agreement between the United States, Indian lessor, and a lessee resulting from administrative or judicial litigation; (3) A written agreement between the Indian lessor, lessee, and the ONRR Director establishing a method to determine the value of production from any lease that ONRR expects at least would approximate the value established under this subpart; or (4) An express provision of an oil and gas lease subject to this subpart then the statute, settlement agreement, written agreement, or lease provision will govern to the extent of the inconsistency. (d) ONRR or Indian Tribes, which have a cooperative agreement with ONRR to audit under 30 U.S.C. 1732, may audit, or perform other compliance reviews, and require a lessee to adjust royalty payments and reports. ## Nearby sections - [30 CFR § 206.253 § 206.253 Coal subject to royalties—general provisions.](https://www.frixlaw.com/law-library/statutes/ecfr-30-206.253.md) - [30 CFR § 1206.10 § 1206.10 Has the Office of Management and Budget (OMB) approved the information collection requirements in this part?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.10.md) - [30 CFR § 1206.20 § 1206.20 What definitions apply to this part?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.20.md) - [30 CFR § 1206.50 § 1206.50 What is the purpose of this subpart?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.50.md) - [30 CFR § 1206.51 § 1206.51 What definitions apply to this subpart?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.51.md) - [30 CFR § 1206.52 § 1206.52 How do I calculate royalty value for oil that I or my affiliate sell(s) or exchange(s) under an arm's-length contract?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.52.md) - [30 CFR § 1206.53 § 1206.53 How do I calculate royalty value for oil that I or my affiliate do(es) not sell under an arm's-length contract?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.53.md) - [30 CFR § 1206.54 § 1206.54 How do I fulfill the lease provision regarding valuing production on the basis of the major portion of like-quality oil?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.54.md) - [30 CFR § 1206.55 § 1206.55 What are my responsibilities to place production into marketable condition and to market production?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.55.md) - [30 CFR § 1206.56 § 1206.56 What general transportation allowance requirements apply to me?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.56.md) - [30 CFR § 1206.57 § 1206.57 How do I determine a transportation allowance if I have an arm's-length transportation contract?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.57.md) - [30 CFR § 1206.58 § 1206.58 How do I determine a transportation allowance if I have a non-arm's-length transportation contract or have no contract?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.58.md) - [30 CFR § 1206.59 § 1206.59 What interest applies if I improperly report a transportation allowance?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.59.md) - [30 CFR § 1206.60 § 1206.60 What reporting adjustments must I make for transportation allowances?](https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.60.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-30-1206.50. Check the current official text before relying on it. Not legal advice.