STATE OF NEW MEXICO GENERAL MINING LEASE SALE
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1 Aubrey Dunn COMMISSIONER State of New Mexico Commissioner of Public Lands 310 OLD SANTA FE TRAIL P.O. BOX 1148 SANTA FE, NEW MEXICO COMMISSIONER'S OFFICE Phone (505) Fax (505) STATE OF NEW MEXICO GENERAL MINING LEASE SALE DECEMBER 15 th, :00 P.M. Notice of Sale of General Mining Leases Office of the Commissioner of Public Lands P. O. Box 1148 Santa Fe, New Mexico
2 PUBLIC NOTICE SALE OF GENERAL MINING LEASE Office of the Commissioner of Public Lands P.O. Box 1148 Santa Fe, New Mexico Public Notice is hereby given pursuant to NMSA 1978, Section (1986), as amended, and rules and regulations of the State Land Office, that the Commissioner of Public Lands will hold an Oral Bid sale of a general mining lease of New Mexico Public (Trust) land located in McKinley County at Morgan Hall, Edward J. Lopez State Land Office Building, Santa Fe, New Mexico, at 2:00 p.m., on December 15 th, 2015 for the tract of land herein described. The sale will be held and conducted in accordance with the following terms and conditions: No bid will be considered for less than the whole of this tract, nor for less than the specified minimum acceptable bid of $ 100, The lease will be awarded to the highest bidder, if the offer made is deemed to be satisfactory. The highest bidder may be disqualified if the commissioner determines that the disclosure statement substantially misrepresents the highest bidder s qualifications or environmental compliance history. Bids are pursuant to law, including but not limited to, NMSA 1978, Section The lessee shall pay royalty on production as determined by the commissioner and as specified in the notice of sale and the lease. For this Special Mineral (Uranium) Lease, the royalty rate shall be five (5%) percent of the gross returns less the actual and reasonable transportation and smelting or reduction costs up to fifty percent of the gross returns. Gross returns shall be based on the arm s-length sales price of the produced minerals and shall include, if applicable, all premiums, bonuses and other consideration of any kind received by the lessee for the minerals produced from the premises. The successful bidder in this oral bid General Mining Lease Sale shall use proper form issued by the New Mexico State Land Office, complete, and notarized, and must be accompanied by a check, money order, or certified check drawn on a solvent bank. This payment must include a bonus equal to or greater than the minimum acceptable bid, plus 1 st years rent equal to $1.00/acre ($640.00), and a separate application fee of $ Lease will be made on the specified Lease Form as approved by the Commissioner in accordance with (B) NMAC. Application forms will be furnished upon request. Form , 16, & 17 Bid Application rev. 11/30/15, is applicable to the tract advertised in this Sale Notice. Disabled individuals who require aids to participate in the General Mining Lease Sale or persons wishing to obtain a Notice of Public Sale package or additional information, may call (505) , Fax #(505) or write to Michael Mariano, Minerals Manager, Oil, Gas, & Minerals Division, P.O. Box 1148 Santa Fe, New Mexico , at least one week before the actual sale date. This document may be made available in alternative formats upon request. The State Land Office makes no warranty as to the conditions of the lands. Lessees must comply with all applicable federal and state laws or regulations. THE COMMISSIONER RESERVES THE RIGHT TO REJECT ANY AND ALL BIDS. - AUBREY DUNN COMMISSIONER OF PUBLIC LANDS SANTA FE, NEW MEXICO
3 NOTICE OF SALE 2:00 PM DECEMBER 15 th, 2015 GENERAL MINING LEASE BY AUTHORITY VESTED IN ME, I, AUBREY DUNN, COMMISSIONER OF PUBLIC LANDS, WILL OFFER FOR SALE BY ORAL BID, TO THE HIGHEST BIDDER, A GENERAL MINING LEASE (SPECIAL MINERAL URANIUM) ON THE TRACT OF LAND LISTED BELOW, UNDER THE FOLLOWING CONDITIONS: 1. BIDDERS SHALL REGISTER WITH THE NMSLO AND OBTAIN AN IDENTIFICATION NUMBER (STID) PRIOR TO THE SALE. 2. THE SUCCESSFUL BIDDER IN THIS ORAL BID WILL BE REQUIRED TO DEPOSIT FORTHWITH, IN CASH OR BY CHECK, MONEY ORDER OR CERTIFIED CHECK DRAWN ON A SOLVENT BANK, THE AMOUNT OF BONUS BID, PLUS FIRST YEARS RENT EQUAL TO $ 1.00/ACRE ($ ), AND AN APPLICATION FEE OF $100.00, AND TO FILE APPLICATION IN DUE FORM BEFORE THE CLOSE OF BUSINESS ON SAID DATE. 3. NO BONUS BIDS WILL BE CONSIDERED FOR LESS THAN THE MINIMUM ACCEPTABLE BID ($ 100,000.00) AS LISTED IN THE SALE NOTICE. 4. BIDS WILL ONLY BE CONSIDERED FOR THE WHOLE OF ANY TRACT HEREIN DESCRIBED. 5. IN ALL CASES, LEASES WILL BE ISSUED ON THE LEASE FORM AS SET FORTH IN (B) NMAC. 6. THE LEASE ROYALTY RATE FOR THIS SPECIAL MINERAL (URANIUM) TRACT SHALL BE FIVE PERCENT (5%). 7. SALE WILL BE HELD IN MORGAN HALL, EDWARD J. LOPEZ STATE LAND OFFICE BUILDING, 310 OLD SANTA FE TRAIL, SANTA FE, NEW MEXICO. 8. THE COMMISSIONER OF PUBLIC LANDS RESERVES THE RIGHT TO REJECT ANY AND ALL BIDS. - AUBREY DUNN COMMISSIONER OF PUBLIC LANDS SANTA FE, NEW MEXICO
4 NEW MEXICO STATE LAND OFFICE LEASE SALE NOTICE 2:00 PM - December 15th, 2015 ***** ORAL BID TRACT ***** Lease Sale - Deadline for Oral Bid is 2:00 PM - December 15th, 2015 TRACT No. Lease No. COUNTY SEC TWN RGE DESCRIPTION ACRES (MORE OR LESS) MINIMUM BONUS BID BIDDER AMOUNT BONUS BID $/ACRE BENEF ICIAR Y 1 McKinley 16 13N 08W All $100, C.S Page 1 of 1
5 TO: Commissioner of Public Lands Post Office Box 1148 Santa Fe, New Mexico I/We, NEW MEXICO STATE LAND OFFICE BID APPLICATION FOR A GENERAL MINING LEASE ON STATE TRUST LAND (Company / Corporation Name), whose address is, City and State of Zip, a citizen, or eligible to become a citizen of the United States, over the age of twenty-one years (or a corporation qualified to do business in New Mexico) do hereby make application for a general mining lease for the exploration, development and production of minerals thereon, upon the following described lands, or such portion thereof as may be available for leasing, situated in the County of, State of New Mexico, towit: TRACT NUMBER SUBDIVISION SEC TWP RGE N.M.P.M. containing of $ acres, more or less. Tendered herewith is the initial bonus and first year s rental and the non-refundable application fee Application Fee (Non-Refundable) $ (Oral Auction / To be filled in by High Bidder on day of lease sale) Rent (1 st $ 1.00/acre Bonus Bid Total Tendered Cultural Resource Protection: (Oral Auction / To be filled in by High Bidder on day of lease sale) (Oral Auction / To be filled in by High Bidder on day of lease sale) (Oral Auction / To be filled in by High Bidder on day of lease sale) Please indicate that you (Applicant) have read the T&E and Cultural Resources Notice to Applicants (attached) and that you understand and agree to abide by the terms and conditions set forth therein. Yes No The winning bidder will be expected to ensure compliance with the NMSLO Historic and Cultural Resources Policy ADM An Archaeological Survey is strongly recommended. If no survey is provided an Archaeological Records Management Section Inspection (ARMS Inspection) in accordance with NMAC is required. If the ARMS Inspection is not provided by the applicant, the Land Office will provide the ARMS Inspection in the order applications are received. I,, do solemnly swear, or (Please print name of applicant or of the attorney in fact/authorized agent) affirm, that each and every statement made in this application is true and correct to the best of my knowledge and belief. Applicant By: Attorney in Fact or Authorized Agent (Title of Authorized Agent) FORM , 16, & 17 Bid Application rev. 11/30/2015
6 Complete this section if representing yourself as an individual. ACKNOWLEDGMENT IN AN INDIVIDUAL CAPACITY State of County of This instrument was acknowledged before me on 20 by (date) (name(s) of person(s)) Signature of Notarial Officer (Seal) Printed Name: (Notary) My commission expires: Complete this section if representing another individual or company. ACKNOWLEDGMENT IN A REPRESENTATIVE CAPACITY State of County of This instrument was acknowledged before me on (date) by (name(s) of person(s)) as (type of authority, e.g., officer, trustee, etc.) of (name of party on behalf of whom instrument was executed.) Signature of Notarial Officer (Seal) Printed Name: (Notary) My commission expires: FORM , 16, & 17 Bid Application rev. 11/30/2015
7 NEW MEXICO STATE LAND OFFICE DISCLOSURE STATEMENT and NMAC Please submit one original Disclosure Statement per lease. SUBDIVISION SEC TWP RGE BENEFICIARY ACRES This disclosure statement dated this day of, is provided by [correct legal name of individual or business organization submitting statement], hereinafter referred to as applicant to the Commissioner of Public Lands in accordance with and NMAC, as a prerequisite to securing a general mining lease as authorized by NMSA 1978, Section through Applicant (Name of the legal entity and its authorized signatory, or if applying as an individual, the personal name): Company Name: Company Contact: Title: Street Address: Mailing Address: City: State: Zip Code: Phone: Mobile: Address: IF YOU NEED ADDITIONAL SPACE IN WHICH TO ANSWER ANY OF THESE QUESTIONS, PLEASE ATTACH ADDITIONAL SHEETS AND INDICATE WHAT QUESTION YOU ARE RESPONDING TO. A. Names and addresses of all predecessor or parent organizations or affiliates, if any. Please also include, if the applicant is an entity: (i) the state in which such entity was
8 formed; (ii) the nature of the legal entity (partnership, LLC, etc.); (iii) the address of the principal place of business in New Mexico and/or the registered agent in New Mexico: B. Previous mining experience, including a list of mines currently or previously operated. For each mine, please state type of mine, mineral(s) mined, its location (county and state or foreign country), and any name by which the mine is or was known. Include mines operated by any of the organizations you have listed in Paragraph A above. C. List any and all financial assurances designed to assure performance of an obligation that you have forfeited in the past ten years. For each forfeiture, state the date or approximate date and the reason for the forfeiture, and the address of each entity to whom the forfeiture was made. (Include all forfeitures by entities identified in Paragraph A.) D. List any and all penalties and fines in excess of five hundred dollars ($500.00) that you have paid in the past ten years for violating or allegedly violating any permit or law whose primary purpose is to protect or assure reclamation of the environment. For each such penalty or fine, please state its amount, the date or approximate date it was paid, and describe the violation or alleged violation that resulted in the penalty or fine. (Include any such penalties paid by any entities listed in Paragraph A above.) Revision
9 E. List all persons by name and title or position who could exercise management control over how mining activities would be conducted: F. Type of minerals in the geological area of interest and basis for believing a successful mine can be established in the geological area of interest: G. Proposed methods of exploration and extraction: H. Descriptions of any mitigating circumstances that may help explain negative information (such as payment of penalties, etc): I. Please set forth any additional information for the Commissioner the applicant believes would help the Commissioner assess the applicant s qualifications, environmental and mining track records, and intentions regarding the area proposed to be covered by a general mining lease: J. Executive Summary - Outline the major reasons why the bidder, together with any joint venture parties, is qualified to carry out mining on the lease site: Revision
10 K. Organizational Information for Bidding Entity - Identify the bidding entity and provide copies of organizational documents (e.g. Articles of Incorporation and Bylaws, Articles of Organization): L. Please answer if the applicant or any related business entity filed bankruptcy in the past five years. List entities, place and date of filing: M. Please provide applicant s net worth in dollars to the nearest million. Applicant may include related business entities in total: N. Are you capable of creating Mine Operation and Closure (Reclamation) Plans which include but are not limited to the following items: a list and description of improvements to be installed on the leased premises; site and building plans; boundary and topographic surveys, environmental impact statements, cultural properties surveys, biological assessments, hazardous material storage/handling plans, and any other land use plans required to bring the mine into conformity, with the requirements of governmental regulatory agencies. Yes No The Commissioner retains the right to request additional information pertinent to assessing your qualifications, environmental record, mining record, and intentions regarding the area to be covered by a proposed lease, which he deems necessary. I, do hereby certify that I have personal knowledge of the information supplied and, to the best of my knowledge, all the statements made in this Disclosure Statement are true and complete. Revision
11 ACKNOWLEDGMENT IN AN INDIVIDUAL CAPACITY State of County of This instrument was acknowledged before me on by (date) (name(s) of person(s)). NOTARY PUBLIC (Seal) Printed Name: My commission expires: ACKNOWLEDGMENT IN A REPRESENTATIVE CAPACITY State of County of This instrument was acknowledged before me on by (date) (name(s) of person(s)). as (type of authority, e.g., officer, trustee, etc.) of (name of party on behalf of whom instrument was executed.) NOTARY PUBLIC (Seal) Printed Name: My commission expires: Revision
12 Aubrey Dunn, Commissioner of Public Lands State of New Mexico T & E AND CULTURAL RESOURCES NOTICE TO APPLICANTS Prior to approval of any application, all applicants requesting permission to conduct any project or activity on state trust land must acknowledge receipt and acceptance of the following instruction and notification: Lessees are expected to know and abide by the laws related both to threatened and endangered species, and to the protection of cultural properties. Threatened and Endangered Species Plant and animal species may be listed with various state and federal agencies as threatened or endangered. Each agency designation carries specific prohibitions against take which may result in distinct regulatory impacts on land use within the range of each species. Take is defined and interpreted differently across jurisdictional boundaries. It is the lessee s obligation to know, understand and abide by the laws related to threatened and endangered species. Protection of Cultural Resources The New Mexico Historic Preservation Division maintains records of all cultural resource surveys through its Archaeological Records Management Section (ARMS). An ARMS Inspection of Records in compliance with NMAC will be included with all applications. To minimize processing delays, applicants are strongly encouraged to supply an ARMS Inspection with their applications. If no ARMS Inspection is provided by the applicant, the Land Office will provide the ARMS Inspection in the order applications are received. NMSA 1978, (A) states Any person who knowingly excavates, injures or destroys cultural property located on state land without a permit is guilty of criminal damage to property. Further, NMSA 1978, (B) states Any person who solicits, employs or counsels another person to excavate injure or destroy cultural property located on state land without a permit is guilty of criminal damage to property. Applicants and lessees should always exercise due caution to ensure that cultural properties are not inadvertently excavated, injured or destroyed by any person. The State Land Office recommends that a survey be conducted to current standards, as defined by NMAC , prior to any activity in the proposed project area. If a survey is produced in conjunction
13 Aubrey Dunn, Commissioner of Public Lands State of New Mexico with the application, the applicant will design the project so as to avoid any cultural properties found by the survey. As a condition of this permit and pursuant to NMAC , any project or lease activities that reveal or result in discovery of a previously undocumented significant cultural property or archaeological site on state trust land shall result in immediate cessation of activities and immediate notification of the State Land Office and SHPO. Activities shall remain suspended until SHPO and the State Land Office approve resumption of activities. Furthermore, if activity is conducted without the benefit of a survey and any cultural property is damaged in the process, the lessee will be subject to a fine of no less than $100, at the discretion of the Commissioner of Public Lands. The lessee will also be held liable for the cost of an archaeological damage assessment, plus the remediation value of said property as determined by that damage assessment. For further information, please contact New Mexico Historic Preservation Division: ; or New Mexico State Land Office: Commercial Resources Division: (Business Leases and Rights of Way) Oil & Gas Division: Mineral Leasing Division: Agricultural Leasing: Field Operations Division:
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