---identifier: "/us/cfr/t30/s581.31"source: "ecfr"legal_status: "authoritative_unofficial"title: "30 CFR § 581.31 - Overriding royalties."title_number: 30title_name: "Mineral Resources"section_number: "581.31"section_name: "Overriding royalties."chapter_name: "BUREAU OF OCEAN ENERGY MANAGEMENT, DEPARTMENT OF THE INTERIOR"subchapter_number: "B"subchapter_name: "OFFSHORE"part_number: "581"part_name: "LEASING OF MINERALS OTHER THAN OIL, GAS, AND SULPHUR IN THE OUTER CONTINENTAL SHELF"positive_law: falsecurrency: "2026-04-05"last_updated: "2026-04-05"format_version: "1.1.0"generator: "[email protected]"authority: "Section 104, Public Law 97-451, 96 Stat. 2451 (30 U.S.C. 1714), Public Law 109-432, Div C, Title I, 120 Stat. 3000; 30 U.S.C. 1751; 31 U.S.C. 9701; 43 U.S.C. 1334; 33 U.S.C. 2704, 2716; E.O. 12777, as amended; 43 U.S.C. 1331 43 U.S.C. 1337."regulatory_source: "76 FR 64623, Oct. 18, 2011, unless otherwise noted."cfr_part: "581"---
Identifier
/us/cfr/t30/s581.31
Currency
2026-04-05
Positive Law
No
Updated
2026-04-05
Chapter
Bureau of Ocean Energy Management, Department of the Interior
Authority
Section 104, Public Law 97-451, 96 Stat. 2451 (30 U.S.C. 1714), Public Law 109-432, Div C, Title I, 120 Stat. 3000; 30 U.S.C. 1751; 31 U.S.C. 9701; 43 U.S.C. 1334; 33 U.S.C. 2704, 2716; E.O. 12777, as... Section 104, Public Law 97-451, 96 Stat. 2451 (30 U.S.C. 1714), Public Law 109-432, Div C, Title I, 120 Stat. 3000; 30 U.S.C. 1751; 31 U.S.C. 9701; 43 U.S.C. 1334; 33 U.S.C. 2704, 2716; E.O. 12777, as amended; 43 U.S.C. 1331 43 U.S.C. 1337.
# 581.31 Overriding royalties.(a) Subject to the approval of the Secretary, an overriding royalty interest may be created by an assignment pursuant to section 8(e) of the Act. The Secretary may deny approval of an assignment which creates an overriding royalty on a lease whenever that denial is determined to be in the interest of conservation, necessary to prevent premature abandonment of a producing mine, or to make possible the mining of economically marginal or low-grade ore deposits. In any case, the total of applicable overriding royalties may not exceed 2.5 percent or one-half the base royalty due the Federal Government, whichever is less.(b) No transfer or agreement may be made which creates an overriding royalty interest unless the owner of that interest files an agreement in writing that such interest is subject to the limitations provided in § 581.30 of this part, paragraph (a) of this section, and § 581.32 of this part.