Arizona Laws 27-255. Bonds
A. The commissioner, in his discretion, may require the applicant for a mineral exploration permit, prior to issuance of such permit, to file with the commissioner a surety bond, in form and amount and with surety approved by the commissioner, conditioned upon the prompt payment to the owner and lessee of the surface of state land to be covered by the permit, or across which the permittee exercises the right of ingress or egress, for any loss to such owner or lessee from damage or destruction caused by the permittee or his or its agents or employees to grasses, forage, crops and improvements upon such state lands.
Terms Used In Arizona Laws 27-255
- exploration: means activity conducted upon the state land covered by an exploration permit to determine the existence or nonexistence of a valuable mineral deposit, including but not limited to geological, geochemical or geophysical surveys conducted by qualified experts, and drilling, sampling and excavation, together with the costs of assay and metallurgical testing of samples from such land. See Arizona Laws 27-252
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
B. The commissioner may also require the permittee to furnish a bond, in a reasonable amount to be fixed by the commissioner, conditioned that the permittee will guarantee restoration of the surface of the land described in the mineral exploration permit to its former condition upon any partial or total relinquishment of such lands, or the cancellation or expiration of the permit other than by issuance of a mineral lease.
C. On default, the commissioner may use the proceeds of the bond for the purposes described in subsection A or B.