Senate Bill No. [insert bill number] aims to authorize the leasing of state lands for the underground storage of gas or liquefied gas, expanding the definition of eligible substances to include not only natural gas but also various other gases such as carbon dioxide and methane. The bill amends several sections of the Montana Code Annotated (MCA), specifically Sections 77-3-501, 77-3-502, 77-3-505, and 77-3-507. Key changes include the removal of the term "natural" from references to gas, the introduction of a broader definition of "gas or liquefied gas," and the clarification of the board's authority to lease state lands for these purposes. Additionally, the bill specifies that the lessee must pay for any remaining native gas in the leased lands and establishes rules for the leasing process.

The bill also addresses the requirements for lessees, including the necessity of providing a bond to indemnify the state against potential losses, with a cap of $20,000 on the bond amount for gas or liquefied gas storage. Furthermore, it emphasizes the lessee's responsibility to prevent waste during the storage process and outlines the grounds for lease forfeiture in the event of violations. Overall, this legislation seeks to modernize and expand the state's approach to underground gas storage, ensuring compliance with existing laws while promoting responsible management of state resources.

Statutes affected:
LC Text: 77-3-501, 77-3-502, 77-3-505, 77-3-507
SB0081_1(1): 77-3-501, 77-3-502, 77-3-505, 77-3-507
SB0081_1(2): 77-3-501, 77-3-502, 77-3-505, 77-3-507
SB0081_1(3): 77-3-501, 77-3-502, 77-3-505, 77-3-507
SB0081_1(4): 77-3-501, 77-3-502, 77-3-505, 77-3-507
SB0081_1(5): 77-3-501, 77-3-502, 77-3-505, 77-3-507
SB0081_1(6): 77-3-501, 77-3-502, 77-3-505, 77-3-507
SB0081_1: 77-3-501, 77-3-502, 77-3-505, 77-3-507