Arkansas Code
Subchapter 8 - Mineral, Timber, and Other Resources
§ 22-5-806. Leases and permits — Offer to pay minimums — Notice — Award

(a) Any person applying for a lease or permit under the provisions of this section and §§ 22-5-801 — 22-5-805 and 22-5-807 — 22-5-813 shall offer in the application to pay at least the minimums prescribed in the schedule for the lease or permit.
(b)
(1) Upon receipt of an application for a lease or permit, the office of the Commissioner of State Lands shall determine whether issuing a permit or lease would be in the best interests of the State of Arkansas. If so, the Commissioner of State Lands, within ten (10) days after that determination, shall cause to be published in a newspaper of general circulation in this state for no fewer than three (3) consecutive days, and in a newspaper of general circulation in the county or counties in which the property is located for not less than one (1) day, a notice that an application has been filed.
(2) The notice shall contain a description of the permit or lease sought, the minimum fee or royalty, and the terms and conditions prescribed for the permit or lease and shall state that persons may bid on the lease or permit by filing a sealed bid in writing with the office of the Commissioner of State Lands within the time specified in the publication.
(3) All bids shall be submitted not less than twenty (20) days from the last day of publication.

(c)
(1) If no other bids for the lease or permit are filed with the Commissioner of State Lands within the specified time period, the lease or permit may be awarded to the person applying therefor.
(2) If other bids are received, the lease or permit may be awarded to the highest bidder, but if two (2) or more bids are, in the judgment of the Commissioner of State Lands, reasonably close, the Commissioner of State Lands may require an open auction between the high bidders.
(3) After the bidding process is completed, the Commissioner of State Lands, with the recommendations of the Natural Resources Committee, may reject all offers considered unreasonable or may establish terms considered reasonable and in the best interest of the state, which the highest bidder may accept, without further advertising by the state.