Reservation of rights in state land leases

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37-287. Reservation of rights in state land leases

A. Unless the rights and interests described in this section are specifically included in a particular lease, all leases of state lands shall expressly except and reserve to the state:

1. All oils, gases, geothermal resources, coal, ores, minerals, fertilizer and fossils of every kind, which may be in or upon the land leased.

2. Any legal claim existing or which may be established under the mineral land laws of the United States or the state.

3. The right to enter upon the land for the purpose of exploring for those commodities or extracting any or all of such commodities from the land.

4. The right to relinquish to the United States lands needed for irrigation works in connection with a government reclamation project, and to grant or dispose of rights-of-way and sites for canals, reservoirs, dams, power or irrigating plants or works, railroads, tramways, transmission lines or any other purpose or use on or over the land.

B. The reservations of rights required in subsection A do not apply to existing or future leases under article 5.1 of this chapter, except as required by the state constitution, the enabling act or the commissioner acting in the best interests of the state lands.

C. If the state reserves the rights described in subsection A, the lease shall provide for reasonable compensation to the lessee for any damage resulting from the exercise of those rights.


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