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Texas State Geothermal Lease (3-TX-a)

This flowchart illustrates the process of obtaining a state geothermal lease from the state of Texas. The Texas General Land Office manages leasing of state lands in Texas through Title 31 of the Texas Administrative Code 31 TAC Chapter 155. The leasing process varies depending on what type of state land the developer seeks to lease. The GLO deals with leases on the following types of state land: Texas Parks & Wildlife Department Land, Land Trade Lands, Relinquishment Act Lands, and Permanent School Fund Land.

State Geothermal Lease Process

3-TX-a.1 – Has the Developer Identified Geothermal Resources on the Land?

If the developer identifies geothermal resources on the land, then they will be required to initiate the leasing process.

If the developer has not identified geothermal resources on the land, then they must initiate the State Exploration Process.

3-TX-a.2 – Initiate State Exploration Process

State Exploration Process:

3-TX-a.3 to 3-TX-a.4 – Will the Lease be on Permanent School Fund Land?

The Texas General Land Office (GLO) is the executive agency for Texas Permanent School Fund (PSF) lands. The GLO is responsible for managing PSF lands, including sales, trades, leases and improvements, as well as administration of contracts, mineral royalty rates, and other transactions.

Lease of Public School Fund Land:

3-TX-a.5 to 3-TX-a.6 – Will the Lease be on TPWD Land?

The Texas Parks and Wildlife Department (TPWD) is entitled to notice and review of the leasing of lands whose minerals are subject to lease, but whose surface is owned or leased by TPWD or is subject to a conservation easement in favor of TPWD. 31 TAC 155.43(b)(3)

Lease of Texas Parks & Wildlife Department Land:

3-TX-a.7 to 3-TX-a.8 – Will the Lease be on Land Trade Lands?

Land Trade Lands are defined as “lands, the surface of which have been sold or traded with both mineral rights and leasing rights retained by the state.” 31 TAC 155.40(a)(3)

Lease of Land Trade Lands:

3-TX-a.9 to 3-TX-a.10 – Will the Lease be on Relinquishment Act Lands?

‘Relinquishment Act Lands’ are defined in the Texas Administrative Code as “any public free school or asylum lands, whether surveyed or unsurveyed, sold with a mineral classification or reservation between September 1, 1895 and August 21, 1931.’ It also encompasses any other lands, including vacancy lands, patented with all minerals reserved to the state and expressly made subject to the leasing terms and procedures governing Relinquishment Act lands. 31 TAC 155.40(a)(6)

The surface owner leases Relinquishment Act Lands to developers as an agent for the state. These leases have different procedures.

Lease of Relinquishment Act Lands:

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