CFR > Title 30 - Mineral Resources > CHAPTER II—MINERALS MANAGEMENT SERVICE, DEPARTMENT OF THE INTERIOR > SUBCHAPTER B—OFFSHORE (parts 250 to 285) > PART 260—OUTER CONTINENTAL SHELF OIL AND GAS LEASING > SUBPART B—Bidding Systems (§260.101 to §260.130) > 260.112—How do royalty suspension volumes apply to eligible leases?

260.112—How do royalty suspension volumes apply to eligible leases?

Royalty suspension volumes, as specified in section 304 of the Act, apply to eligible leases that meet the criteria in § 260.113. For purposes of this section and §§ 260.113 through 260.117:
(a) Any volumes of production that are not normally royalty-bearing under the lease or the regulations (e.g., fuel gas) do not count against royalty suspension volumes; and
(b) Production includes volumes allocated to a lease under an approved unit agreement.