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This entry was published on 2014-09-22
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SECTION 23-0701
Voluntary integration and unitization in oil and natural gas pools and fields
Environmental Conservation (ENV) CHAPTER 43-B, ARTICLE 23, TITLE 7
§ 23-0701. Voluntary integration and unitization in oil and natural gas

pools and fields.

1. Voluntary integration and unitization in oil pools or fields and in
natural gas pools or fields shall be subject to the provisions of this
section. When two or more separately owned tracts are embraced within a
spacing unit, or when there are separately owned interests in all or a
part of a spacing unit, the interested persons may integrate their
tracts or interests for the development and operation of the spacing
unit. An agreement for the unit or for the cooperative development and
operation of a field, pool, or part thereof, may be submitted to the
department for approval as being in the public interest or reasonably
necessary to prevent waste. Such approval shall constitute a complete
defense to any suit charging violation of any statute of this state
relating to trusts and monopolies on account thereof or on account of
operations conducted pursuant thereto. Failure to submit such an
agreement to the department for approval shall not for that reason imply
or constitute evidence that the agreement or operations conducted
pursuant thereto are in violation of laws relating to trusts and
monopolies.

2. Upon twenty-one days notice to the fee owners of oil and gas
interests under lease in a spacing unit, a well operator may record as
to each tract for which notice has been given a declaration of voluntary
integration. The declaration of voluntary integration shall include the
acreage applicable to each tract so integrated and the proportion such
acreage bears to the entire spacing unit. The declaration of voluntary
integration shall be final and binding upon all persons and their heirs,
successors and assigns, and all persons who take title by operation of
law.