Alaska Statutes
Alaska Stat. § 38.05.130 (2026)
Damages and posting of bond
✓ current as of July 2026
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Sec. 38.05.130. Damages and posting of bond.
Article 6. Oil and Gas Exploration Licenses; Leases.
Rights may not be exercised by the state, its lessees, successors, or assigns under the reservation as set out in AS 38.05.125 until the state, its lessees, successors, or assigns make provision to pay the owner of the land full payment for all damages sustained by the owner, by reason of entering onto the land. If the owner for any cause refuses or neglects to settle the damages, the state, its lessees, successors, assigns, or an applicant for a lease or contract from the state for the purpose of prospecting for valuable minerals, or option, contract, or lease for carbon storage or mining coal or a lease for extracting geothermal resources, petroleum, or natural gas, may enter onto the land in the exercise of the reserved rights after posting a surety bond determined by the director, after notice and an opportunity to be heard, to be sufficient as to form, amount, and security to secure to the owner payment for damages, and may institute legal proceedings in a court where the land is located, as may be necessary to determine the damages that the owner may suffer.
Rights may not be exercised by the state, its lessees, successors, or assigns under the reservation as set out in AS 38.05.125 until the state, its lessees, successors, or assigns make provision to pay the owner of the land full payment for all damages sustained by the owner, by reason of entering onto the land. If the owner for any cause refuses or neglects to settle the damages, the state, its lessees, successors, assigns, or an applicant for a lease or contract from the state for the purpose of prospecting for valuable minerals, or option, contract, or lease for carbon storage or mining coal or a lease for extracting geothermal resources, petroleum, or natural gas, may enter onto the land in the exercise of the reserved rights after posting a surety bond determined by the director, after notice and an opportunity to be heard, to be sufficient as to form, amount, and security to secure to the owner payment for damages, and may institute legal proceedings in a court where the land is located, as may be necessary to determine the damages that the owner may suffer.
Notes of Decisions
Cited in 4
cases, 1993–2016 · leading case: Hayes v. A.J. Assocs., Inc., 960 P.2d 556 (Alaska 1998).
Hayes v. A.J. Assocs., Inc., 960 P.2d 556 (Alaska 1998). “The trial court denied Hayes's motions for reconsideration and Rule 60(b) relief and granted attorney's fees to the landowners. Hayes appeals in S-6736 from those rulings.”
City of Kenai v. Cook Inlet Nat. Gas Storage Alaska, LLC, 373 P.3d 473 (Alaska 2016). “125(a) and AS 38.05.130, "largely because we consider[ed] Alaska's statutory scheme sufficiently clear" on the point at issue: the viability of trespass claims by someone who has staked a mining claim but failed to proceed with exploration or discovery.”
Hayes v. A.J. Assocs., Inc., 846 P.2d 131 (Alaska 1993). “” The court also pointed to Hayes’ violation of AS 38.05.130 and 11 AAC 96.140(10) which require posting of a bond to protect the owner of the surface estate prior to mining-related activity.”
Parker v. Alaska Power Auth., 913 P.2d 1089 (Alaska 1996). “” AS 38.05.130. Thus, Parker’s surface right is a limited one.”
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