A bill to facilitate and encourage the production of oil from tar sand and other hydrocarbon deposits.

Amends the Mineral Land Leasing Act of 1920 and the Mineral Leasing Act for Acquired Lands to expand the application of such Acts to include gilsonite and all vein-type solid hydrocarbons.

Authorizes the Secretary of the Interior to establish a lower aggregate acreage limitation for oil and gas leases in designated tar sand areas. Increases the size of units which may be leased within producing oil or gas fields if such fields are in designated tar sand areas.

Directs the Secretary, under specified conditions, to extend a lease for not less than five years beyond its primary term in designated tar sand areas.

Directs the Secretary to review, prior to the commencement of commercial operations, the royalty rates in each combined hydrocarbon lease issued in designated tar sand areas.

Entitles the owner of an oil and gas lease issued prior to the date of enactment of the Combined Hydrocarbon Leasing Act of 1980 to convert such lease to a combined hydrocarbon lease for a primary term of five years.

Authorizes the Secretary to permit the horizontal segregation of a combined hydrocarbon lease.