---
urn: urn:us-la:rs:30:806
citation: "R.S. 30:806"
status: active
breadcrumb: "Title 30 › Subtitle I › Chapter 8"
acts_citations:
  - { year: 1975, number: 784, section: 1, effective_date: null, role: enactment }
  - { year: 1976, number: 134, section: 1, effective_date: null, role: amendment }
---

# Terms; rentals; royalties

A. All state geothermal leases shall be granted for a maximum primary term of ten years and so long thereafter as geothermal operations are being conducted or geothermal resources are being produced or utilized in commercial quantities.

B. Where a state geothermal lease provides for delay rentals, the annual rental shall be for not less than one dollar per acre or one-half the cash bonus, whichever is greater.

C. Royalties on production obtained from a state geothermal lease shall be not less than the following:

(1) A royalty of not less than ten percent of the price received for all geothermal resources produced and saved or utilized.

(2) A royalty of not less than five percent of the value of any byproduct produced and saved or utilized.

D. The term rental or royalty obtained by the state from a geothermal lease shall not affect or limit the compensation negotiated by the owners of adjoining or nearby property which may be affected or exploited by the lessee.