Page:United States Statutes at Large Volume 76.djvu/952

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PUBLIC LAW 87-796~OCT. 11, 1962

[76 STAT.

Public Law 87-796 October 11, 1962 [H. R. 5423]

Navy. Naval oil shale reserves, Ipossession. 70A Stat. 457.

41 Stat. 437. Administration. Post, p. 906.

AN ACT To amend title 10^ United States Code, to authorize the Secretary of the Navy to take possession of the naval oil shale reserves, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That title 10, United States Code, is amended as follows: (1) Section 7421 is amended to read as follows: " (a) The Secretary of the Navy shall take possession of all properties inside the naval petroleum and oil shale reserves that are or may become subject to the control of and use by the United States for naval purposes, except as otherwise provided in section 7438 hereof. "(b) The Secretary has exclusive jurisdiction and control over those lands inside naval petroleum reserves numbered 1 and 2 that are covered by leases granted under sections 181-184,185-188,189-194, 201, 202-209, 211-214, 223, 224-226, 226d, 226e, 227-229a, 241, 251, and 261-263 of title 30, and shall administer those leases." (2) Section 7422 is amended to read as follows: " (a) Except as otherwise provided in section 7438 hereof, the Secretary of the Navy, directly or by contract, lease, or otherwise, shall explore, prospect, conserve, develop, use, and operate the naval petroleum and oil shale reserves in his discretion, subject to approval )y the President. "(b) The naval petroleum and oil shale reserves and lands outside naval petroleum reserve numbered 1 covered by contracts under section 7426 of this title, shall be used and operated for— "(1) the protection, conservation, maintenance, and testing of those reserves; or "(2) the production of petroleum, gas, oil shale and products thereof whenever and to the extent that the Secretary, with the approval of the President, finds that it is needed for national defense and the production is authorized by a joint resolution of Congress." (3) Section 7423 is amended to read as follows: "The Secretary of the Navy shall from time to time reexamine the need for the production of petroleum or products from oil shale for national defense when that production is authorized under section 7422 of this title. If he finds that the authorized quantity is no longer needed, he shall reduce production to the amount currently needed for national defense." (4) Section 7424 is amended to read as follows: " (a) To consolidate and protect the oil lands owned by the United States, the Secretary of the Navy may— "(1) contract with owners and lessees of land inside or adjoining naval petroleum and oil shale reserves for— " (A) conservation in the ground of oil and gas; and ' '' " (B) compensation for estimated drainage in lieu of drilling or operating offset wells; and "(2) acquire privately owned lands or leases inside naval petroleum reserve numbered 1 by exchange of— " (A) lands of the United States inside naval petroleum reserve numbered 1; " (B) the right to royalty production from any of the naval petroleum reserves; and " (C) the right to any money due the United States as a result of the wrongful extraction of petroleum products from lands inside naval petroleum reserve numbered 1,

{ 70A Stat. 459.

Production requirements. Rexamination.

Oil reserves, contracts with owners, etc.

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