5-7-55. Payment of royalty--Amount.
In addition to the annual rental, the lessee shall pay to the commissioner a royalty of not less than two percent of the gross returns from the sale of ores and mineral products derived therefrom, less reasonable transportation and smelting or reduction charges, if any, and such other customary and appropriate charges as determined by the commissioner by rules promulgated pursuant to chapter 1-26, of all ores or materials mined and extracted from the land. In addition, the lessee shall pay to the commissioner as royalty not less than two percent of any premiums and bonuses received in connection with the discovery, production or marketing.
Accounting for all royalties shall be made on the twentieth day of the month following the month of sale or receipt of premium or bonus.
Source: SL 1993, ch 53, ยง11.
Structure South Dakota Codified Laws
Title 5 - Public Property, Purchases and Contracts
Chapter 07 - Minerals On School And Public Lands
Section 5-7-2 - Advertising and auction of mineral leases--Exemptions.
Section 5-7-3 - Lands subject to lease.
Section 5-7-4 - Right of entry to prospect for and remove minerals.
Section 5-7-8 - Priority to receive permit determined by application date.
Section 5-7-16 - Right of lease holder to enter sold or leased lands.
Section 5-7-17.1 - Disposition of payments for damages.
Section 5-7-18 - Oil and gas leases--Casing-head gas included.
Section 5-7-19 - Oil, gas, and geothermal exploration, development and production leases authorized.
Section 5-7-21 - Advertising of oil and gas or geothermal leases--Conduct of auction.
Section 5-7-22 - Withholding of tracts from oil, gas, other mineral or geothermal resources leasing.
Section 5-7-23.1 - Term of geothermal leases.
Section 5-7-24 - Royalty provisions in oil and gas leases--Annual rental.
Section 5-7-24.1 - Royalty provisions in geothermal leases--Renegotiation--Annual rental.
Section 5-7-25.1 - Geothermal resources--Additional provisions applicable to.
Section 5-7-26 - Leases assignable--Minimum tract assignable.
Section 5-7-28 - Grounds for refusal to approve assignment of lease.
Section 5-7-29 - Effect of approved assignment of lease.
Section 5-7-31 - Correction of mistaken land descriptions in leases.
Section 5-7-32 - Pooling agreements on behalf of state authorized.
Section 5-7-33 - Deposit of collections from leases in treasury.
Section 5-7-34 - Apportionment of receipts from leasing of school, indemnity and endowment lands.
Section 5-7-36 - Records of mineral interests and leases maintained by commissioner.
Section 5-7-37 - Rules and regulations governing leasing--Promulgation.
Section 5-7-38 - Water law provisions applicable to certain geothermal leases.
Section 5-7-39 - Validation of oil and gas leases prior to July 1, 1981.
Section 5-7-40 - Limitation of actions to contest validity of oil and gas leases.
Section 5-7-44 - Leases offered only during term of royalty increment status.
Section 5-7-45 - Commissioner authorized to issue leases for prospecting, exploration and mining.
Section 5-7-46 - Penalties for fraud.
Section 5-7-47 - Inspection of records.
Section 5-7-48 - Preferential right of lessee to renew or purchase leased lands.
Section 5-7-50 - Validity of leases prior to 1993 amendments to this chapter.
Section 5-7-51 - Relinquishment of prospecting permit.
Section 5-7-53 - Conditions warranting suspension of license--Effective date--Term of suspension.
Section 5-7-54 - Annual rental--Minimum.
Section 5-7-55 - Payment of royalty--Amount.
Section 5-7-56 - Marketing minerals.
Section 5-7-57 - Bond required--Amount.
Section 5-7-58 - Records furnished within reasonable bounds--Confidentiality of records.
Section 5-7-59 - Relinquishing lease to state.
Section 5-7-60 - Cancellation of lease by commissioner--Notice required.
Section 5-7-61 - Assignment of lease.
Section 5-7-62 - Removal of improvements and equipment upon termination--Time limit.