How-To Guide

Types of EGA

There are three types of EGA’s: Type I, Type II, and Type III

  • For an EGA Type I, the State will not grant any new seismic agreements or permits in the nominated area during the Initial Term of this seismic agreement, or the Option Term, if activated.  However, the State will exercise its rights and prerogatives to accept any or all nominations for mineral leases within the seismic agreement area during the Initial Term or the Option Term, if activated.  Any new mineral leases granted during the term of the EGA will be subject to the provisions within the agreement and the EGA applicant will not have to deal with any State lessee in order to conduct seismic operations over the leased acreage.

  • For an EGA Type II, the State will not grant any new seismic permits or agreements on, or lease the nominated acreage, or any part thereof, during the Initial Term of this seismic agreement, or the Option Term, if activated, except that a buffer zone of one-half (1/2) mile around each pre-existing lease or Operating Agreement within the nominated area will be in effect.  The buffer zone shall be open for nomination for leasing only during the Initial Term of this seismic agreement, or the Option Term, if activated, and only by the mineral lessee or by the EGA awardee.

    The Type II EGA Grantee may exclusively nominate tracts for leasing for the normal public bid mineral lease sale, which will be limited in size to 1500 acres per tract with an aggregate amount not to exceed one-third (1/3) of all state acreage within the geographical boundaries of the Agreement area, within the Initial Term or within the Option Term, if activated.

  • For an EGA Type III, The State will not grant any new seismic permits or agreements on, or lease the nominated acreage, or any part thereof, during the Initial Term of this seismic agreement, or the Option Term, if activated, except that a buffer zone of one-half (1/2) mile around each pre-existing lease or Operating Agreement within the nominated area will be in effect.  The buffer zone shall be open for nomination for leasing only during the Initial Term of this seismic agreement, or the Option Term, if activated, and only by the mineral lessee or by the EGA awardee.

    The Type III EGA Grantee shall have the exclusive right, prior to the end of the Initial Term or the Option Term, if activated, to select tracts for leasing of not more than 1500 acres per tract each, with the total acreage of all selected tracts not to exceed more than one-third (1/3) of all State acreage within the geographical boundaries of the nominated area.

    The Type III EGA Grantee shall have the exclusive right to enter into lease agreements with the State on each tract for the consideration originally bid (which shall not be less than the minimum acceptable per acre bonus and royalty as determined by the Mineral Board staff) and under the terms of the current Louisiana State Lease Form.  The forms for the agreements set forth above may be modified by the Board, at its option, at any time, but such modifications shall not affect existing agreements.  Potential nominators should check with the OMR for any such modifications.