- Alaska Statutes.
- Title 38. Public Land
- Chapter 5. Alaska Land Act
- Section 133. License Procedures.
previous: Section 132
. Exploration License For Oil and Gas or Gas Only.
next: Section 134
. Conversion to Lease.
AS 38.05.133. License Procedures.
- (a) The procedures in this section apply to the issuance of an exploration license under AS 38.05.132
- (b) The licensing process is initiated by the commissioner preparing, or a prospective licensee submitting to the
commissioner, a proposal that identifies a specific area to be subject to the exploration license, proposes specific
minimum work commitments, and states the minimum qualifications for a licensee as established by regulations adopted by
the commissioner. A prospective licensee may initiate a proposal only in response to a call for proposals by the
commissioner or during a period specified in regulations adopted by the commissioner. The regulations must provide for
at least one period for that purpose during each calendar year.
- (c) If the commissioner initiates the licensing process under (b) of this section, the commissioner shall publish notice
of the commissioner's proposal in order to solicit comments and competing proposals.
- (d) Within 30 days after receipt of a proposal from a prospective licensee under (b) of this section, the commissioner
shall either reject it in a written decision or give public notice of the intent to evaluate the acceptability of the
proposal. The commissioner shall solicit comments on a proposal for which public notice is given under this subsection,
and shall request competing proposals.
- (e) The commissioner may make a written request to a prospective licensee for additional information on the prospective
licensee's proposal. The commissioner shall keep confidential information described in AS 38.05.035
(a)(8) that is voluntarily provided if the prospective licensee has made a written request that the information remain
- (f) After considering proposals not rejected under (d) of this section and public comment on those proposals, the
commissioner shall issue a written finding addressing all matters set out in AS 38.05.035
(e) and (g), except for AS 38.05.035
(g)(1)(B)(xi). If the finding concludes that the state's best interests would be served by issuing an exploration
license, the finding must (1) describe the limitations, stipulations, conditions, or changes from the initiating
proposal or competing proposals that are required to make the issuance of the exploration license conform to the best
interests of the state, and (2) if only one proposal was submitted, identify the prospective licensee whom the
commissioner finds should be issued the exploration license. The commissioner shall attach to the finding a copy of the
exploration license to be issued and the form of lease that will be used for any portion of the exploration license
area subsequently converted to a lease under AS 38.05.134
- (g) If only one prospective licensee submits a proposal and the finding under (f) of this section concludes that an
exploration license should be issued to that prospective licensee, the prospective licensee has 30 days after issuance
of the finding within which to accept or reject the issuance of the exploration license, as limited or conditioned by
the terms contained in the finding. The exploration license to be issued and the form of lease that will be used must
be attached to that finding. The prospective licensee must accept or reject the issuance of the exploration license in
- (h) If competing proposals are submitted, and the commissioner's finding under (f) of this section concludes that an
exploration license should be issued, the commissioner shall issue a request for competitive sealed bids, under
procedures adopted by the commissioner by regulation, to determine which prospective licensee should be issued the
exploration license. The finding provided to the prospective licensees and the public under (f) of this section must
contain notice that (1) the commissioner intends to request competitive sealed bids, (2) a prospective licensee who
intends to participate in the bidding must notify the commissioner in writing by the date specified in the notice, and
(3) a prospective licensee's notice of intent to participate in the bidding constitutes acceptance of issuance of the
exploration license, as limited or conditioned by the terms contained in the finding and by the exploration license to
be issued and the form of lease to be used that have been attached to that finding, if the prospective licensee is the
successful bidder. The successful bidder is the prospective licensee who submits the highest bid in terms of the
minimum work commitment dollar amount.
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