PUBLIC LAW 109–58—AUG. 8, 2005
119 STAT. 761
‘‘(C) would not include lands or deposits that can be developed as part of another potential or existing operation. ‘‘(3) In no case shall the total area added by modifications to an existing coal lease under paragraph (1)— ‘‘(A) exceed 960 acres; or ‘‘(B) add acreage larger than that in the original lease.’’. SEC. 433. APPROVAL OF LOGICAL MINING UNITS.
Section 2(d)(2) of the Mineral Leasing Act (30 U.S.C. 202a(2)) is amended— (1) by inserting ‘‘(A)’’ after ‘‘(2)’’; and (2) by adding at the end the following: ‘‘(B) The Secretary may establish a period of more than 40 years if the Secretary determines that the longer period— ‘‘(i) will ensure the maximum economic recovery of a coal deposit; or ‘‘(ii) the longer period is in the interest of the orderly, efficient, or economic development of a coal resource.’’. SEC. 434. PAYMENT OF ADVANCE ROYALTIES UNDER COAL LEASES.
Section 7(b) of the Mineral Leasing Act (30 U.S.C. 207(b)) is amended— (1) in the first sentence, by striking ‘‘Each lease’’ and inserting the following: ‘‘(1) Each lease’’; (2) in the second sentence, by striking ‘‘The Secretary’’ and inserting the following: ‘‘(2) The Secretary’’; (3) in the third sentence, by striking ‘‘Such advance royalties’’ and inserting the following: ‘‘(3) Advance royalties described in paragraph (2)’’; (4) in the seventh sentence, by striking ‘‘The Secretary’’ and inserting the following: ‘‘(6) The Secretary’’; (5) in the last sentence, by striking ‘‘Nothing’’ and inserting the following: ‘‘(7) Nothing’’; (6) by striking the fourth, fifth, and sixth sentences; and (7) by inserting after paragraph (3) (as designated by paragraph (3)) the following: ‘‘(4) Advance royalties described in paragraph (2) shall be computed— ‘‘(A) based on— ‘‘(i) the average price in the spot market for sales of comparable coal from the same region during the last month of each applicable continued operation year; or ‘‘(ii) in the absence of a spot market for comparable coal from the same region, by using a comparable method established by the Secretary of the Interior to capture the commercial value of coal; and ‘‘(B) based on commercial quantities, as defined by regulation by the Secretary of the Interior. ‘‘(5) The aggregate number of years during the period of any lease for which advance royalties may be accepted in lieu of the condition of continued operation shall not exceed 20 years. ‘‘(6) The amount of any production royalty paid for any year shall be reduced (but not below 0) by the amount of any advance royalties paid under a lease described in paragraph (5) to the
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