Department of Energy and Environment will oversea a hearing with an administrative judge over royalty payments to the Lithium mineral owners in October. The O & G Comm. will then meet Nov. 4-5 to decide.
from https://www.arkansasonline.com/news/2024/oct/02/prehearing-regarding-lithium-royalties/
“An Arkansas Oil and Gas Commission spokesperson confirmed Wednesday the prehearing for the lithium royalties application, where applicants and objectors to the application will make their arguments before an administrative law judge, will take place at 9 a.m. Oct. 11.
The meeting will be at the Department of Energy and Environment headquarters in North Little Rock, and will be streamed online via the department’s YouTube channel.
The prehearing will be held “like any other hearing,” spokesperson Carol Booth said in an email.
Administrative Law Judge Charles Moulton will then make a recommendation on a course of action to the Oil and Gas Commission, which will consider it at the two-day hearing scheduled for Nov. 4 and 5 in El Dorado.
At least 74 mineral rights owners are formally opposed to the royalties application submitted by the five companies, with one of the common arguments being the 1.82% royalty is too low compared to the potential profits the companies stand to make.
On the flip side, applicants say the royalty meets the “fair and equitable” standard enshrined in state law, saying in the application that the companies will have to take on significant risk and capital expenditures to make a lithium extraction industry in Arkansas a reality.”