Section 11 AAC 84.745 - Geothermal lease renewal and extension(a) If, at the expiration of the 10-year primary term of a geothermal lease, the lessee has begun operations necessary to drill a geothermal well using equipment located at the lease area of sufficient size and capacity to drill to the total depth proposed in the plan of exploration for the well, the commissioner will, in his discretion, extend the geothermal lease for one five-year term. In this subsection, "operations necessary to drill a geothermal well" includes drilling, redrilling, sidetracking, or other techniques necessary to reach the bottom hole location proposed in the plan of exploration.(b) Upon notice to the state that commercial production of geothermal resources from the lease has begun, the commissioner will extend the lease for the duration of commercial production.Eff. 8/22/82, Register 83; am 3/30/84, Register 89Authority:AS 38.05.020
AS 38.05.035
AS 38.05.145
AS 38.05.181