The commissioner is authorized to issue leases for the development, exploration and production of potassium, sodium, phosphorus and other minerals of similar occurrence and their salts and compounds, including chlorides, sulphates, carbonates, borates, silicates, nitrates and any and all other salts and compounds of the minerals on any lands of the state upon such terms and conditions as he may deem to be for the best interests of the state and conformable to Sections 19-8-4 through 19-8-7 NMSA 1978. The minimum first year's rental for such leases shall be one hundred dollars ($100), and in all cases there shall be reserved to the state a royalty to be established by regulation issued under the provisions of Section 19-8-7 NMSA 1978. The commissioner may amend any lease in existence on the effective date of this amendment to reflect any regulation in effect at the time of the amendment to the lease.

History: Laws 1929, ch. 140, § 1; C.S. 1929, § 111-501; 1941 Comp., § 8-909; 1953 Comp., § 7-9-9; Laws 1984, ch. 13, § 1.

Compiler's notes. — The reference to "effective date of this amendment" in the last sentence refers to the effective date of Laws 1984, ch. 13, § 1, which was May 17, 1984.

The 1984 amendment, effective May 17, 1984, added the section heading, substituted "The commissioner is authorized" for "That the commissioner of public lands be and he is hereby authorized," "the minerals on any lands of the state" for "the said minerals, of any lands of the state of New Mexico" and "Sections 19-8-4 through 19-8-7 NMSA 1978" for "this act" in the first sentence, transposed "dollars" and "($100)" and substituted "to be established by regulation issued under the provisions of Section 19-8-7 NMSA 1978" for "of not less than five (5%) percent of the amount or value of minerals produced, such royalty to be computed upon the value of said minerals delivered at the nearest or most accessible railroad shipping point" in the second sentence and added the third sentence.

Royalties. — Mineral content of state lands is to be disposed of only on lease, from which state is to derive royalties. State ex rel. Otto v. Field, 1925-NMSC-019, 31 N.M. 120, 241 P. 1027.

Am. Jur. 2d, A.L.R. and C.J.S. references. — 53A Am. Jur. 2d Mines and Minerals §§ 121 et seq., 142 et seq.