NTL 1998-N18 - Supplemental Bond Procedures - December 28, 1998

This NTL informs lessees how MMS will implement the requirements for supplemental bonds. The MMS may require additional security(s) in the form of a supplemental bond or bonds when the cost to meet all potential present and future lease obligations exceeds the amount of the general bond unless one of the current lessee(s) can demonstrate the financial capability to meet these obligations. These obligations include rents, royalties, and amount of plugging and abandonment costs necessary to ensure performance of regulatory requirements