Sec. 6. Lease terms and conditions
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An oil or gas lease issued pursuant to this Act shall— provide for the payment of a royalty of not less than 12 1/2 percent of the amount or value of the production removed or sold from the lease, as determined by the Secretary in accordance with regulations applicable to other Federal oil and gas leases; provide that the Secretary, after consultation with the State of Alaska, North Slope Borough, Alaska, the City of Kaktovik, Alaska, and the Arctic Slope Regional Corporation, may— close such portions of the Deformed Area of the Coastal Plain to exploratory drilling activities as are necessary to protect caribou calving areas and other species of fish and wildlife; and close, on a seasonal basis only, such portions of the Undeformed Area of the Coastal Plain to exploratory drilling activities as are necessary to protect caribou calving areas and other species of fish and wildlife; require that each lessee of land within the Coastal Plain shall be fully responsible and liable for the reclamation of land that is adversely affected in connection with exploration, development, production, or transportation activities within the Coastal Plain conducted by the lessee or by any of the subcontractors or agents of the lessee; provide that the lessee may not delegate or convey, by contract or otherwise, the reclamation responsibility and liability described in paragraph
(3)to another person without the express written approval of the Secretary; provide that the standard of reclamation for land required to be reclaimed under this Act shall be, to the maximum extent practicable— a condition capable of supporting the uses that the land was capable of supporting prior to any exploration, development, or production activities; or on application by the lessee, to a higher or better standard, as approved by the Secretary; contain terms and conditions relating to protection of fish and wildlife, fish and wildlife habitat, subsistence resources, and the environment as required under section 3(a)(2); and provide that each lessee, and each agent and contractor of a lessee, shall use their best efforts to provide a fair share of employment and contracting for Alaska Natives and Alaska Native Corporations from throughout the State of Alaska, as determined by the level of obligation previously agreed to in the Federal Agreement and Grant Right-of-Way for the Trans-Alaska Pipeline issued on January 23, 1974, in accordance with section 28 of the Mineral Leasing Act ( 30 U.S.C. 185 ) and the Trans-Alaska Pipeline Authorization Act ( 43 U.S.C. 1651 et seq. ). The Secretary, as a term and condition of each lease under this Act, and in recognizing the proprietary interest of the Federal Government in labor stability and in the ability of construction labor and management to meet the particular needs and conditions of projects to be developed under the leases issued pursuant to this Act (including the special concerns of the parties to those leases), shall require that each lessee, and each agent and contractor of a lessee, under this Act negotiate to obtain a project labor agreement for the employment of laborers and mechanics on production, maintenance, and construction under the lease.
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