43 C.F.R. § 3162.2-4   What protective action may BLM require the lessee to take to protect the leases from drainage?


Title 43 - Public Lands: Interior


Title 43: Public Lands: Interior
PART 3160—ONSHORE OIL AND GAS OPERATIONS
Subpart 3162—Requirements for Operating Rights Owners and Operators

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§ 3162.2-4   What protective action may BLM require the lessee to take to protect the leases from drainage?

We may require you to:

(a) Drill or modify and produce all wells that are necessary to protect the leased mineral resources from drainage;

(b) Enter into a unitization or communitization agreement with the lease containing the draining well; or

(c) Pay compensatory royalties for drainage that has occurred or is occurring.

[66 FR 1893, Jan. 10, 2001]

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