Alaska Administrative Code (Last Updated: January 12, 2017) |
Title 11. Natural Resources. |
Part 11.1. Office of the Commissioner. |
Chapter 11.83. Oil and Gas Leasing. |
Article 11.83.1. General Oil and Gas Lease Provisions. |
Section 11.83.212. Development account.
Latest version.
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(a) The beginning balance in the development account for a NPSL at the time the NPSL is issued by the state is zero. For each month thereafter the beginning balance in the development account for the NPSL equals the ending balance in that account for the previous month. (b) The NPSL development account for a month is debited by the amount of the NPSL's development costs under 11 AAC 83.219 during that month less (1) any exploration incentive credits that are applied against oil and gas royalties payable in value, rental payments to the state, or taxes payable under AS 43.55; and (2) development account credits calculated under 11 AAC 83.220. (c) If a credit to the NPSL's development account arises under 11 AAC 83.209(c) from the NPSL's production revenue account, that credit is entered in the development account in the same month as the month in which it arises from the production revenue account. (d) If a month's preliminary ending balance in the NPSL's development account is a debit balance, interest accrues and the amount of that interest is debited that month to the NPSL's development account. A month's preliminary ending balance in the NPSL's development account equals the beginning balance that month in that account together with the debits under (b) of this section and the balance transferred under (c) of this section that are booked to the NPSL's development account for that month. The amount of interest is to be calculated on the basis of the annual rate prescribed by the commissioner in the terms of the sale for the NPSL, using as the principal an amount equal to one half of the absolute value of the sum of the beginning balance and the preliminary ending balance in the NPSL's development account for that month. (e) Each month the ending balance in the development account for a NPSL equals the preliminary ending balance in that account for the month together with the amount of interest, if any, debited to that account for that month under (d) of this section, provided the ending balance in the NPSL's development account is not a credit balance. If the month's ending balance in the NPSL's development account is a credit balance, then that balance is transferred to the NPSL's net profit payment account for that month so that the ending balance that month in the NPSL's development account is zero.
Authorities
38.05.020;38.05.180