Sec. 109.65. SEPARATE BIDS; MINIMUM ROYALTY; DELAY RENTAL

(a) A separate bid shall be made for each tract or subdivision of a tract.

(b) No bid shall be accepted which offers a royalty of less than one-eighth of the gross production of oil, gas, sulphur, and other minerals in the land bid upon, and this minimum royalty may be increased at the discretion of the board.

(c) Every bid shall carry the obligation to pay an amount not less than $1 per acre for delay in drilling or development. The amount shall be fixed by the board in advance of the advertisement. The amount fixed shall be paid every year for five years unless in the meantime production in paying quantities is had upon the land or the land is released by the lessee.

Acts 1971, 62nd Leg., p. 3262, ch. 1024, art. 1, Sec. 1, eff. Sept. 1, 1971.