| Show government STATES OIL PERMIT POLICY secretary hay lyman wilbur of the department of the interior has issued a departmental order appointing a committee of three to pass upon outstanding out standing permits to prospect tor oil and gas on government lands and to make recommendations as to which of these permits should be cancelled the members of that committee are the commissioner of the general land office the director of the geological survey and the solicitor of the department the order also lays down the general policy with relation to these permits to be followed by the department the departmental order in full follows the federal oil conservation policy announced by president hoover will ace energetically evened by th interior department there are more than applications for oil and gas permits on public lands pending in general land office in washington and an unknown number in the field offices steps were taken several days ago toward the rejection of all such applications and registers of local land offices have been instructed not to receive new applications probably in none of the cases on hand has the appU cant expended money tor development purposes although he may have gone to some expense in opposing conflicting claims or furnishing additional evidence in support of his application where land covered byi pending applications Is likely to be drained by wells on privately owned lands the question of granting permits on government land will be considered in the light of facts developed by departmental part mental investigation with regard to the outstanding permits on public lands the department will deal fairly with holders who have been diligent in maintaining their equities where actual drilling operations have been started and are being continued opportunity will be given to carry on development work to finally determine the character of the land immediate steps will be taken however to cancel all permits where no drilling has been done or money spent in development to determine the facts in connection with existing oil and gas permits I 1 have named a committee consisting of the commissioner of the general land office the director of the geological survey and the solicitor for the department they will con sider the extent of operations which have been prosecuted under out standing permits to determine cheth er permit tees have acquired equities which should be recognized and to make appropriate recommendations where permits are now in gloo standing either because of recent issue or previous extension of time n action will be taken during the remaining period covered by the permit when that time has expired however and the has failed to corn ply with the terms of his permit h will be called upon immediately tc show cause why the permit should not be canceled this includes so called group developments heretofore approved and in which extension have been allowed where permit tees are engaged in a joint drilling pro gram test wells being drilled by a responsible drilling company on some of the public lands in the area cov bied by the permits so long as this program Is being diligently prosecuted no adverse action will be taken no leases will be issued for oil and gas production unless required by mandate of such as discovery under existing permits as provided by the mineral leasing act or through the advertisement of a minimum ol 01 25 acres of osage indian lands annually as directed by the act of congress approved march 2 1929 |
