---
kind: "section"
citation: "43 C.F.R. § 3583.4-2"
title: "43"
number: "3583.4-2"
heading: "Royalties, rentals and minimum royalties."
url: "https://uscodex.org/cfr/43/3583.4-2"
---

# §3583.4-2. Royalties, rentals and minimum royalties.


Rentals and royalties shall be determined by the authorized officer on the basis of the fair market value, but in no event shall be less than:

- (a) **A rental of 50 cents per acre or fraction thereof payable in advance until production is obtained.**
- (b) **A minimum royalty of $1 per acre or fraction thereof payable in advance after production is obtained.**
- (c) A production royalty of 2 percent of the amount or value of the minerals mined, the exact amount of royalty to be fixed prior to the issuance of the lease.

## Notes

### Authority

Authority: 16 U.S.C. 90c-1, 460n-5, 460q-5, 460dd-2, 460mm-4; 30 U.S.C. 189, 293, 359; 31 U.S.C. 9701; 43 U.S.C. 1201, 1732(b), 1733, 1740; 47 Stat. 1487.

### Source

Source: 51 FR 15256, Apr. 22, 1986, unless otherwise noted.