---
kind: "range"
citation: "43 C.F.R. §§ 3173.22–3173.26"
title: "43"
from: "3173.22"
to: "3173.26"
count: 5
url: "https://uscodex.org/cfr/43/3173.22..3173.26"
---

# §3173.22. Requirements for off-lease measurement.


The BLM will consider granting a request for off-lease measurement if the request:

- (a) Involves only production from a single lease, unit PA, CA, or CAA;
- (b) Provides for accurate production accountability;
- (c) Is in the public interest (considering factors such as BMPs, topographic and environmental conditions that make on-lease measurement physically impractical, and maximum ultimate economic recovery); and
- (d) **Occurs at an approved FMP.** A request for approval of an FMP (see [§ 3173.12](/cfr/43/3173.12.md)) may be filed concurrently with the request for off-lease measurement.

# §3173.23. Applying for off-lease measurement.


To apply for approval of off-lease measurement, the operator must submit the following to the BLM office having jurisdiction over the leases, units, or communitized areas:

- (a) A completed Sundry Notice;
- (b) Justification for off-lease measurement (considering factors such as BMPs, topographic and environmental issues, and maximum ultimate economic recovery);
- (c) **A topographic map or maps of appropriate scale showing the following—**
  - (1) The boundary of the lease, unit, unit PA, or communitized area from which the production originates; and
  - (2) The location of existing or planned facilities and the relative location of all wellheads (including the API number for each well) and piping included in the off-lease measurement proposal, and existing FMPs or FMPs proposed to be installed to the extent known or anticipated;
- (d) The surface ownership of all land on which equipment is, or is proposed to be, located;
- (e) If any of the proposed off-lease measurement facilities are located on non-federally owned surface, a written concurrence signed by the owner(s) of the surface and the owner(s) of the measurement facilities, including each owner's name, address, and telephone number, granting the BLM unrestricted access to the off-lease measurement facility and the surface on which it is located, for the purpose of inspecting any production, measurement, water handling, or transportation equipment located on the non-Federal surface up to and including the FMP, and for otherwise verifying production accountability. If the ownership of the non-Federal surface or of the measurement facility changes, the operator must obtain and provide to the AO the written concurrence required under this paragraph from the new owner(s) within 30 days of the change in ownership;
- (f) A right-of-way grant application (Standard Form 299), filed under [43 CFR part 2880](/cfr/43/part2880.md), if the proposed off-lease FMP is on a pipeline, or under [43 CFR part 2800](/cfr/43/part2800.md), if the proposed off-lease FMP is a meter or storage tank. This requirement applies only when new surface disturbance is proposed for the FMP and its associated facilities are located on BLM-managed land;
- (g) A right-of-way grant application, filed under [25 CFR part 169](/cfr/25/part169.md) with the appropriate BIA office, if any of the proposed surface facilities are on Indian land outside the lease, unit, or communitized area from which the production originated;
- (h) Written approval from the appropriate surface-management agency, if new surface disturbance is proposed for the FMP and its associated facilities are located on Federal land managed by an agency other than the BLM;
- (i) An application for approval of off-lease royalty-free use (if required under applicable rules), if the operator proposes to use production from the lease, unit, or CA as fuel at the off-lease measurement facility without payment of royalty;
- (j) A statement that indicates whether the proposal includes all, or only a portion of, the production from the lease, unit, or CA. (For example, gas, but not oil, could be proposed for off-lease measurement.) If the proposal includes only a portion of the production, identify the FMP(s) where the remainder of the production from the lease, unit, or CA is measured or is proposed to be measured; and
- (k) If the operator is applying for an amendment of an existing approval of off-lease measurement, the operator must submit a completed Sundry Notice required under [paragraph (a)](#a) of this section, and information required under [paragraphs (b) through (j)](#b..j) of this section to the extent the information previously submitted has changed.

# §3173.24. Effective date of an off-lease measurement approval.


If the BLM approves off-lease measurement, the approval is effective on the date that the approval is issued, unless the approval specifies a different effective date.


# §3173.25. Existing approved off-lease measurement.

- (a) Upon receipt of an operator's request for assignment of an FMP number to a facility associated with an off-lease measurement approval existing on January 17, 2017, the AO will review the existing approved off-lease measurement for consistency with the minimum standards and requirements for an off-lease measurement approval under [§ 3173.22](/cfr/43/3173.22.md). The AO will notify the operator in writing of any inconsistencies or deficiencies.
- (b) The operator must correct any inconsistencies or deficiencies that the AO identifies, provide any additional information the AO requests, or request an extension of time from the AO, within 20 business days after receipt of the AO's notice. The extension request must explain the factors that will prevent the operator from complying within 20 days and provide a timeframe under which the operator can comply.
- (c) The AO may terminate the existing off-lease measurement approval and grant a new off-lease measurement approval with new or amended COAs to make the approval consistent with the requirements for off-lease measurement under [§ 3173.22](/cfr/43/3173.22.md) in connection with approving the requested FMP. If the operator appeals the new off-lease measurement approval, the existing off-lease measurement approval will continue in effect during the pendency of the appeal.
- (d) If the existing off-lease measurement approval does not meet the standards and requirements of [§ 3173.22](/cfr/43/3173.22.md) and the operator does not correct the deficiencies, the AO may terminate the existing off-lease measurement approval under [§ 3173.27](/cfr/43/3173.27.md) and deny the request for an FMP number for the facility associated with the existing off-lease measurement approval.
- (e) If the existing off-lease measurement approval under this section is consistent with the requirements under [§ 3173.22](/cfr/43/3173.22.md), then that existing off-lease measurement is grandfathered and will be part of its FMP approval.
- (f) If the BLM grants a new off-lease measurement approval to replace an existing off-lease measurement approval, the new approval is effective on the first day of the month following its approval.

# §3173.26. Relationship of off-lease measurement approval to royalty-free use of production.


Approval of off-lease measurement does not constitute approval of off-lease royalty-free use of production as fuel in facilities located at an FMP approved under the off-lease measurement approval.


