Okla. Stat. tit. 52, § 52-570.8 — OK Code / Title 52 / Section 52-570.8
Working interest owner's statement to operator - Nomination of gas for producing
Status: in_force

owner's account - Producing owner's report - Gas meter owner's statement - First purchaser's or

shipper's statement - Records to be maintained - Operator's rights and remedies forNomination of gas for producing owner's account - Producing owner's

report - Gas meter owner's statement - First purchaser's or

shipper's statement - Records to be maintained - Operator's rights

and remedies for noncompliance - Elections and notices - Other

remedies.

A. Within sixty (60) days after receiving a written request

from the operator, each working interest owner in a well producing

gas shall furnish or cause to be furnished to the operator a written

statement showing the name, address, royalty interest, taxpayer

identification number and payment status of owners of royalty

interest to which such working interest is subject. Thereafter,

each working interest owner shall furnish or cause to be furnished

to the operator a written statement showing:

1. Changes in the above specified information within sixty (60)

days of receipt of notification thereof; or

2. Changes in its working interests within sixty (60) days of

the receipt of notice of the change.

B. Each producing owner of gas from a well shall provide to the

operator no later than five (5) business days prior to the month in

which the nomination is to be effective, but earlier if required by

the first purchaser or transporter, the name of the first purchaser

or shipper and the volumes of gas nominated for production for such

producing owner's account. The term "shipper", as used in this

section, shall include any entity who contracts with a transporter

to move gas through the transporter's system. The owner of the gas

meter shall confirm all nominations with the operator of the well no

later than the last business day prior to the month in which

production occurs.

C. Within sixty (60) days after the end of the month of

production, each producing owner shall report and account to the

operator of the well, the identity of the first purchaser or shipper

of the gas and the information specified in Section 570.12 of this

title. Within thirty (30) days after receiving notice of any

Oklahoma Statutes - Title 52. Oil and Gas Page 239

retroactive gas volume adjustment, each producing owner shall

furnish, or cause to be furnished, notice of such retroactive

adjustment to the operator of the well.

D. Within fifteen (15) days after the end of the month of

production, each owner of a gas meter taking gas solely from a

gathering system shall provide upon first request by the owner of

such gathering system and thereafter, the gross volume of gas

measured by such meter both in MCF and British Thermal Unit

equivalent.

Within twenty (20) days after the end of the month of

production, each owner of a gas meter shall provide or cause to be

provided in writing to the operator of the well, the gross volume of

gas measured by such meter, both in MCF and British Thermal Unit

equivalent, and the volume of gas allocated at the meter to each

first purchaser or shipper and each contracted producing owner that

sold gas to the owner of the gas meter. Each meter owner shall,

within the same time period, furnish each first purchaser or shipper

the volume of gas allocated at the meter to that first purchaser or

shipper. However, in the event a gas processing plant operator is

performing the allocations, within ten (10) days after the end of

the production month, the pipeline residue gas meter owner shall

provide, upon first request by the processing plant operator and

thereafter, the volume and British Thermal Unit equivalent measured

through its meter as required by the gas processing plant operator

for its allocations under this subsection.

The owner of a gas meter who has a gas contract, whether one or

more, with one or more producing owners covering all of the gas

flowing through its gas meter, may, as an alternative to supplying

the operator with the information stated in this subsection, furnish

monthly volume statements to the operator of the well, provided it

has already furnished the operator with the names of the producing

owners and the decimal interest owned by each such producing owner

or any method other than by decimal interest then in effect for

allocating gas among the producing owners. Thereafter, the owner of

the gas meter shall only be required to supply the operator with

changes to the name of a producing owner, the decimal interest owned

by a producing owner or the method, other than by decimal interest,

for allocating gas among the producing owners within thirty (30)

days after receiving notice of such change.

Within thirty (30) days after receiving notice of any

retroactive gas volume adjustment, each owner of a gas meter shall

furnish notice of such retroactive adjustment to the operator of the

well.

E. Within thirty-five (35) days after the end of the month of

production each first purchaser or shipper of gas from a gas meter

shall furnish or cause to be furnished to the operator of the well,

a volume allocation statement showing the volume of gas purchased

Oklahoma Statutes - Title 52. Oil and Gas Page 240

from or shipped for each contracted producing owner. Within thirty

(30) days after making any retroactive gas volume adjustment for

such well, the first purchaser or shipper shall furnish notice of

such retroactive gas volume adjustment to the operator of the well.

F. Any owner of a gas meter, first purchaser, or any gas

shipper that does not provide the information required under

subsection D or E of this section shall subject the producing owner

or owners contracted to such entity to the same remedies available

to the operator under subsection H of this section, as if such

producing owner or owners are in noncompliance with subsections A

and C of this section.

G. For production occurring after August 31, 1992, each person

distributing proceeds to a royalty interest owner shall maintain for

a period of not less than five (5) years:

1. Copies of information furnished to the operator pursuant to

the Production Revenue Standards Act; and

2. A record of receipts and payments of proceeds which have

occurred pursuant to the Production Revenue Standards Act.

Such records shall be available for inspection upon reasonable

notice by any affected royalty interest owner in the well.

H. The Production Revenue Standards Act shall not supersede or

limit the operator's right to control gas nominations and

allocations pursuant to the provisions of any joint operating

agreement, gas balancing agreement or other agreement then in effect

between the operator of the well and any producing owner, or any

order of the Oklahoma Corporation Commission. If the operator of

the well is not provided with the information set forth in

subsections A and C of this section within the sixty-day period set

forth in each said subsection, the operator of the well shall have

the right, but not the obligation, to confirm zero volume of gas

sales for such noncomplying producing owner and to make available

for nomination and sale to the producing owners in the well then in

compliance with the provisions of subsections A and C of this

section, all of the noncomplying producing owner's share of

production for the next subsequent calendar month of production and

for each and every month thereafter during which such producing

owner is in noncompliance with provisions of subsections A and C of

this section. If the operator elects to make the noncomplying

producing owner's share of production available for nomination and

sale, the operator shall immediately notify the noncomplying

producing owner, by certified mail, that it shall no longer have the

right to nominate any volume of gas until it is in compliance with

the provisions of subsections A and C of this section, or its first

purchaser, shipper or owner of the gas meter are in compliance with

subsections D and E of this section. Such notice shall contain the

following information:

1. Lease or well identification;

Oklahoma Statutes - Title 52. Oil and Gas Page 241

2. Legal location; and

3. Production months of noncompliance with subsections A, C, D

or E of this section.

The operator shall then immediately notify each producing owner

then in compliance with subsections A and C of this section that

additional gas may be available for nomination and sale. The

operator shall also immediately notify in writing the noncomplying

producing owner's first purchaser or shipper and the owner of the

gas meter that the producing owner, first purchaser, shipper or

owner of the gas meter is in noncompliance with the provisions of

subsections A, C, D or E of this section and thus does not have the

right to nominate and sell or transport any volume of gas until it

is in compliance with this section.

The first purchaser or shipper and the owner of the gas meter

shall be entitled to rely on and shall incorporate on a prospective

basis any nomination or allocation changes pursuant to such

notification from the operator under this section. Changes pursuant

to such notification can be made on a retroactive basis if so agreed

to by the operator, owner of the meter, and first purchaser or

shipper.

As soon as a noncomplying party is in compliance with the

provisions of this section, but no sooner than the next production

month unless otherwise agreed to, the operator of the well shall

give the affected producing owner the opportunity to nominate and

sell gas subject to existing agreements or by common practice within

the oil and gas industry.

Any noncomplying party that disagrees with the information

contained in the operator's written notice required under this

subsection shall have the right to challenge the operator's actions

pursuant to the provisions of subsection J of this section.

I. All elections and notices given pursuant to the provisions

of the Production Revenue Standards Act shall become effective as of

the first day of the month following the end of any time period

specified in the Production Revenue Standards Act.

J. The remedies provided for in this section shall not preclude

any party from pursuing the remedies available to it through the

district courts, as provided by existing law, including the right to

offset.

K. Nothing contained in the Natural Gas Market Sharing Act

shall change the obligations of a purchaser under an existing gas

contract unless otherwise agreed to by the parties.
Okla. Stat. tit. 52, § 52-581.3 — OK Code / Title 52 / Section 52-581.3
Definitions
Status: in_force

As used in the Natural Gas Market Sharing Act:

1. "Designated marketer" means the operator of the well or a

producing owner substituted for the operator as provided in Section

22 of this act;

2. "Electing owner" means any owner who elects to produce and

market its share of production pursuant to the provisions of this

act;

3. "Nonexempt sales" means those gas sales which are subject to

the provisions of this act and do not qualify for exemptions as set

forth in Section 21 of this act;

4. "Overproduced owner" means an owner who has produced and

sold a volume of gas in excess of his working interest percentage of

cumulative sales from a well;

5. "Owner" means a person or persons who own a working interest

in a well;

6. "Producing owner" means an owner who produces and sells gas

from a well for its own account; and

7. "Working interest" means the interest in a well, calculated

prior to deduction for royalty, overriding royalty and other non-

cost-bearing interests burdening production, entitling the owner

thereof to drill for and produce oil and gas, including the interest

of a participating mineral owner to the extent set forth in Section

87.1 of Title 52 of the Oklahoma Statutes.
Okla. Stat. tit. 52, § 52-549.8 — OK Code / Title 52 / Section 52-549.8
Not affected by act
Status: in_force

TITLE

The provisions of this act shall not affect:

1. The time at which legal title to oil and gas may pass by

agreement or operation of law subject to an oil and gas lien;

2. The right of a first purchaser to take or receive oil and

gas under the terms of a division order, provided that such division

order shall not modify, waive or abrogate in any respect the rights

of an interest owner under this act; or

Oklahoma Statutes - Title 52. Oil and Gas Page 227

3. Subject to the provisions of Section 9 of this act, the

right of a first purchaser to take or receive oil and gas under an

agreement to sell.
Okla. Stat. tit. 52, § 52-420.56 — OK Code / Title 52 / Section 52-420.56
Renumbered as § 130.16 of Title 74 by Laws 1991, c
Status: in_force

235, § 24, eff. July 1, 1991.
Okla. Stat. tit. 52, § 52-108 — OK Code / Title 52 / Section 52-108
Oaths - Felony of perjury
Status: in_force

Every person who, having taken an oath that he will testify,

declare or depose before the Commission, in any proceeding, or at

any hearing before said Commission, authorized and provided for

under the provisions of this act, shall willfully and contrary to

such oath state any material matter which he knows to be false, is

guilty of the Class D1 felony offense of perjury, and upon

conviction, shall be punished as provided for in subsections B

through F of Section 20N of Title 21 of the Oklahoma Statutes.
Okla. Stat. tit. 52, § 52-87.5 — OK Code / Title 52 / Section 52-87.5
Applications for approval of increased density wells –
Status: in_force

Notice and hearing.

A. When any application is filed with the Corporation

Commission for approval of an increased density well in any drilling

Oklahoma Statutes - Title 52. Oil and Gas Page 67

and spacing unit, notice of the hearing to be held upon such

application shall be given by the applicant to:

1. Those persons, including government entities, entitled to

oil or gas or the proceeds of oil or gas produced from the common

source of supply in the drilling and spacing unit for which the

application for an increased density well has been filed; and

2. The operator, as shown by the records of the Commission, of

each well which is commencing or currently producing from the same

common source of supply in the drilling and spacing unit or any

separate tract of land immediately surrounding the drilling and

spacing unit for such an increased density well.

B. If the applicant is seeking approval of an increased density

well to be completed in a common source of supply for which the

Commission has established field rules, and for which no application

for an increased density well in such common source of supply has

been approved by the Commission subsequent to January 1, 1998, and

prior to the effective date of this act, notice shall also be given

to the operator, as shown by the records of the Commission, of each

well commencing or currently producing from that same common source

of supply governed by the field rules.

C. If the applicant is the operator of a well commencing or

currently producing from the same common source of supply applicable

to the increased density well in a drilling and spacing unit or a

separate tract of land immediately surrounding the drilling and

spacing unit for such increased density well, notice shall also be

given to each owner, as shown by the records of the operator, with a

working interest in such well in such common source of supply.

D. The notices required by subsections A, B and C of this

section shall be given by mailing by regular mail no less than

fifteen (15) days prior to the date of the hearing.

E. No person except for those persons provided for in this

section shall be entitled to notice of the hearing on an application

for approval of an increased density well in any drilling and

spacing unit.

F. The Commission shall require that notice of the hearing be

published one time at least fifteen (15) days prior to the hearing

in a newspaper of general circulation published in each county in

which the lands embraced in the application are located. If the

increased density well is to be completed in a common source of

supply for which the Commission has established field rules and for

which no application for an increased density well in such common

source of supply has been approved by the Commission subsequent to

January 1, 1998, and prior to the effective date of this act, notice

of the hearing shall also be published one time at least fifteen

(15) days prior to the hearing in a newspaper of general circulation

published in each county in which the lands subject to the field

rules are located.

Oklahoma Statutes - Title 52. Oil and Gas Page 68
Okla. Stat. tit. 52, § 52-34 — OK Code / Title 52 / Section 52-34
Enforcement by Corporation Commission - Appeals
Status: in_force

The Corporation Commission is hereby authorized and empowered to

enforce all the provisions of this act, including the employment of

requisite help and gas experts to carry out the same, except where

jurisdiction is conferred on some other branch of the state

government by the Constitution of this state; appeals may be allowed

from the decision of the Commission to the Supreme Court as now

provided by law for appeals in other cases.
Okla. Stat. tit. 52, § 52-318.2 — OK Code / Title 52 / Section 52-318.2
Definitions
Status: in_force

For purposes of Sections 1 through 8 of this act:

1. "Operator" means a mineral owner or lessee who is engaged in

drilling or preparing to drill for oil or gas; and

2. "Surface owner" means the owner or owners of record of the

surface of the property on which the drilling operation is to occur.
Okla. Stat. tit. 52, § 52-207 — OK Code / Title 52 / Section 52-207
Interstate Oil Compact Fund - Purpose for which used -
Status: in_force

Disposition of unexpended balance.

A. There is hereby created in the Office of the State Treasurer

a special fund to be known as "The Interstate Oil Compact Fund of

Oklahoma". All monies accruing to the fund are hereby appropriated

for the purpose of paying the compensation of the assistant

representative referred to in Section 205 of this title, the

compensation of such clerical, technical, and legal assistants as he

or she, with the consent of the Governor, may employ, the actual and

necessary traveling expenses of the assistant representative and his

or her employees and of the Governor when traveling in his or her

capacity as official representative of this state on "The Interstate

Oil Compact Commission", all items of office expense including the

cost of office supplies and equipment, such contributions as the

Governor shall deem proper to pay to The Interstate Oil Compact

Commission to defray its expenses, such other necessary expenses as

may be incurred in enabling this state to fully cooperate in

accomplishing the objects of "The Interstate Compact to Conserve Oil

and Gas".

B. The maintenance of the Oklahoma Energy Initiative as created

in the Oklahoma Energy Initiative Act is hereby declared to be a

part of the accomplishment of the objects of The Interstate Compact

to Conserve Oil and Gas and the Governor is hereby authorized to

contract with appropriate entities for such purposes and to pay the

obligations thereof from the fund created by this section.

C. The fund shall be disbursed upon warrants issued by the

State Treasurer upon sworn itemized claims approved by the assistant

representative and the Governor. If at the end of any fiscal year

any part of the special fund shall remain unexpended or unobligated,

such balance shall be transferred by the State Treasurer to and

become a part of the General Revenue Fund of the state for the

ensuing fiscal year.Oklahoma Statutes - Title 52. Oil and Gas Page 4
Okla. Stat. tit. 52, § 52-549.11 — OK Code / Title 52 / Section 52-549.11
Rights of operator
Status: in_force

RIGHTS OF OPERATOR NOT IMPAIRED

This act does not impair an operator's right to be paid, set-off

or withhold funds from another interest owner as security for or in

satisfaction of any debt or security interest. In case of a dispute

between an operator and another interest owner, a good-faith tender

of funds by anyone operates as a tender of the funds to both in any

of the following circumstances:

1. To the person who the operator and other interest owner

jointly direct the first purchaser in writing to pay;

2. To a person who otherwise shows himself or herself to be the

one entitled to the funds; or

3. To a court of competent jurisdiction in the event of

litigation or bankruptcy.
Okla. Stat. tit. 52, § 52-570.10 — OK Code / Title 52 / Section 52-570.10
Payment of proceeds from sale of oil and gas
Status: in_force

production.

A. All proceeds from the sale of production shall be regarded

as separate and distinct from all other funds of any person

receiving or holding the same until such time as such proceeds are

paid to the owners legally entitled thereto. Any person holding

revenue or proceeds from the sale of production shall hold such

revenue or proceeds for the benefit of the owners legally entitled

thereto. Nothing in this subsection shall create an express trust.

B. Except as otherwise provided in this section:

1. Proceeds from the sale of oil or gas production from an oil

or gas well shall be paid to persons legally entitled thereto:

a. commencing not later than six (6) months after the

date of first sale, and

b. thereafter not later than the last day of the second

succeeding month after the end of the month within

which such production is sold.

2. Notwithstanding paragraph 1 of this subsection, royalty

proceeds from the sale of gas production from an oil or gas well

remitted to the operator pursuant to subsection B of Section 570.4

of this title shall be paid to persons legally entitled thereto:

a. commencing not later than six (6) months after the

date of first sale, and

b. thereafter not later than the last day of the third

succeeding month after the end of the month within

which such production is sold; provided, however, when

proceeds are received by the operator in its capacity

as a producing owner, the operator may pay the royalty

share of such proceeds to the royalty interest owners

legally entitled thereto at the same time that it pays

the royalty proceeds received from other producing

owners for the same production month, but not later

than the last day of the third succeeding month after

the end of the month within which such production was

sold.

3. a. Proceeds from production may be remitted to the

persons entitled to such proceeds annually for the

twelve (12) months accumulation of proceeds totaling

at least Ten Dollars ($10.00) but less than One

Hundred Dollars ($100.00). Amounts less than Ten

Dollars ($10.00) may be held but shall be remitted

when production ceases or by the payor upon

relinquishment of payment responsibility.

b. Proceeds totaling less than One Hundred Dollars

($100.00) but more than Twenty-five Dollars ($25.00)

shall be remitted monthly if requested by the person

entitled to the proceeds. Amounts less than Ten

Oklahoma Statutes - Title 52. Oil and Gas Page 244

Dollars ($10.00) shall be remitted annually if

requested by the person entitled to the proceeds.

c. Before proceeds greater than Twenty-five Dollars

($25.00) may be accumulated, payor shall provide

notice to the person owning interest as defined in

Section 570.2 of this title, entitled to such proceeds

that there is an option to be paid monthly for

proceeds greater than Twenty-five Dollars ($25.00).

Such notice to the person shall also provide

directions for requesting monthly payment, and

constitutes notice to all heirs, successors,

representatives, and assigns of the person.

4. Any delay in determining the persons legally entitled to

proceeds from production caused by unmarketable title shall not

affect payments to persons whose title is marketable, or that

portion of a person's interest which is marketable.

C. 1. A first purchaser that pays or causes to be paid

proceeds from production to the producing owner of such production

or, at the direction of the producing owner, pays or causes to be

paid royalty proceeds from production to:

a. the royalty interest owners legally entitled thereto,

or

b. the operator of the well,

shall not thereafter be liable for such proceeds so paid and shall

have thereby discharged its duty to pay those proceeds on such

production.

2. A working interest owner that pays or causes to be paid

royalty proceeds from production to:

a. the royalty interest owners legally entitled thereto,

or

b. the operator of the well,

shall not thereafter be liable for such proceeds so paid and shall

have thereby discharged its duty to pay those proceeds on such

production.

3. An operator that pays or causes to be paid royalty proceeds

from production, received by it as operator, to the royalty interest

owners legally entitled thereto shall not thereafter be liable for

such proceeds so paid and shall have thereby discharged its duty to

pay those proceeds on such production.

4. Where royalty proceeds are paid incorrectly as a result of

an error or omission, the party whose error or omission caused the

incorrect royalty payments shall be liable for the additional

royalty proceeds on such production and all resulting costs or

damages incurred by the party making the incorrect payment.

D. 1. Except as otherwise provided in paragraph 2 of this

subsection, where proceeds from the sale of oil or gas production or

some portion of such proceeds are not paid prior to the end of the

Oklahoma Statutes - Title 52. Oil and Gas Page 245

applicable time periods provided in this section, that portion not

timely paid shall earn interest at the rate of twelve percent (12%)

per annum to be compounded annually, calculated from the end of the

month in which such production is sold until the day paid.

2. a. Where such proceeds are not paid because the title

thereto is not marketable, such proceeds shall earn

interest at the rate of (i) six percent (6%) per annum

to be compounded annually for time periods prior to

November 1, 2018, and (ii) the prime interest rate as

reported in the Wall Street Journal for time periods

on or after November 1, 2018, calculated from the end

of the month in which such production was sold until

such time as the title to such interest becomes

marketable or the holder has received an acceptable

affidavit of death and heirship in conformity with

Section 67 of Title 16 of the Oklahoma Statutes, or as

set forth in subparagraph b of this paragraph.

Marketability of title shall be determined in

accordance with the then current title examination

standards of the Oklahoma Bar Association.

b. Where marketability has remained uncured, or the

holder has not been provided an acceptable affidavit

of death and heirship in conformity with Section 67 of

Title 16 of the Oklahoma Statutes, for a period of one

hundred twenty (120) days from the date payment is due

under this section, any person claiming to own the

right to receive proceeds which have not been paid

because of unmarketable title may require the holder

of such proceeds, or the holder of such proceeds may

elect, to interplead the proceeds and all accrued

interest into court for a determination of the persons

legally entitled thereto. Upon payment into court the

holder of such proceeds shall be relieved of any

further liability for the proper payment of such

proceeds and interest thereon.

E. 1. Except as provided in paragraph 2 of this subsection, a

first purchaser or holder of proceeds who fails to remit proceeds

from the sale of oil or gas production to owners legally entitled

thereto within the time limitations set forth in paragraph 1 of

subsection B of this section shall be liable to such owners for

interest as provided in subsection D of this section on that portion

of the proceeds not timely paid. When two or more persons fail to

remit within such time limitations, liability for such interest

shall be shared by those persons holding the proceeds in proportion

to the time each person held such proceeds.

2. When royalty proceeds on gas production are remitted

pursuant to subsection B of Section 570.4 of this title:

Oklahoma Statutes - Title 52. Oil and Gas Page 246

a. A first purchaser that causes such proceeds to be

received by the operator or by a producing owner in

the well for distribution to the royalty interest

owner legally entitled thereto within the first month

following the month in which such production was sold

shall not be liable for interest on such proceeds.

b. A producing owner receiving royalty proceeds that

causes such proceeds to be received by the royalty

interest owner legally entitled thereto or by the

operator for distribution to the royalty interest

owner legally entitled thereto not later than the end

of the first month following the month in which

proceeds for such production was received by the

producing owner from the purchaser shall not be liable

for interest on such proceeds.

c. An operator receiving royalty proceeds that causes

such proceeds to be received by the royalty interest

owner legally entitled thereto, not later than the end

of the first month following the month in which

proceeds for such production was received by the

operator from the purchaser or producing owner, shall

not be liable for interest on such proceeds.

d. Liability for interest provided in subsection D of

this section shall be borne solely by the person, or

persons, failing to remit royalty proceeds within the

time limitations set forth in subsection B of this

section. When two or more persons fail to remit

within such time limitations, liability for such

interest shall be shared by such persons in proportion

to the time each person held such proceeds.

F. Nothing in this section shall be construed to impair or

amend existing or future contractual rights provided for in gas

balancing agreements or other written agreements which expressly

provide for the taking, sharing, marketing or balancing of gas or

the proceeds therefrom. Any proceeds to be paid pursuant to any

such agreement shall not commence to earn interest until the sooner

of the time provided in such agreement for the payment of such

proceeds or ninety (90) days from the date of the depletion of the

well. Nothing herein shall be deemed to alter or limit the payment

of royalty proceeds as provided in the Production Revenue Standards

Act.

G. All payments under the Production Revenue Standards Act to

owners or any other person or governmental entity legally entitled

to the payment may be made by electronic means including but not

limited to electronic funds transfer, Automated Clearing House

(ACH), direct deposit, wire transfer, or any other similar form of

transfer, upon the mutual written consent of the payor and payee.

Oklahoma Statutes - Title 52. Oil and Gas Page 247
Okla. Stat. tit. 52, § 52-101 — OK Code / Title 52 / Section 52-101
Procedure - Rules of - Enforcement of orders and rules
Status: in_force

The Commission shall have power with or without any notice of

hearing to make and promulgate rules of procedure not inconsistent

with the provisions of this act to govern the filing, prosecution,

hearing, and determination of proceedings authorized to be brought

before the Commission and for the enforcement of its orders, rules

Oklahoma Statutes - Title 52. Oil and Gas Page 85

and regulations made under the provisions of this act; provided,

that no order, rule or regulation of the Commission and no order

made in the enforcement thereof shall be held void or be reversed

merely because the Commission may not have promulgated procedural

rules.
Okla. Stat. tit. 52, § 52-318.3 — OK Code / Title 52 / Section 52-318.3
Notice of intent to drill - Negotiating surface damages
Status: in_force

Before entering upon a site for oil or gas drilling, except in

instances where there are non-state resident surface owners, non-

state resident surface tenants, unknown heirs, imperfect titles,

surface owners, or surface tenants whose whereabouts cannot be

ascertained with reasonable diligence, the operator shall give to

the surface owner a written notice of his intent to drill containing

a designation of the proposed location and the approximate date that

the operator proposes to commence drilling.

Such notice shall be given to the surface owner in any manner as

provided for in paragraph 1 and paragraph 2 of subsection C of

Section 2004 of Title 12 of the Oklahoma Statutes for the service by

Oklahoma Statutes - Title 52. Oil and Gas Page 167

personal delivery or by mail of a summons in a civil action. If the

operator makes an affidavit that he has conducted a search with

reasonable diligence and the whereabouts of the surface owner cannot

be ascertained or such notice cannot be delivered, then constructive

notice of the intent to drill may be given in the same manner as

provided for the notice of proceedings to appoint appraisers.

Within five (5) days of the date of delivery or service of the

notice of intent to drill, it shall be the duty of the operator and

the surface owner to enter into good faith negotiations to determine

the surface damages.
Okla. Stat. tit. 52, § 52-139 — OK Code / Title 52 / Section 52-139
Jurisdiction, powers and authority of Corporation
Status: in_force

Commission and Department of Environmental Quality.

A. The Corporation Commission is vested with exclusive

jurisdiction, power and authority, and it shall be its duty, to make

and enforce such rules and orders governing and regulating the

handling, storage and disposition of saltwater, mineral brines,

waste oil and other deleterious substances produced from or obtained

or used in connection with the drilling, development, producing, and

operating of oil and gas wells and brine wells within this state as

are reasonable and necessary for the purpose of preventing the

pollution of the surface and subsurface waters in the state, and to

otherwise carry out the purpose of this section and Sections 140,

141, 142, 143, and 144 of this title.

B. 1. Except as otherwise provided by this subsection, the

Corporation Commission is hereby vested with exclusive jurisdiction,

power and authority, and it shall be its duty to promulgate and

enforce rules, and issue and enforce orders governing and

regulating:

a. the conservation of oil and gas,

b. field operations for geologic and geophysical

exploration for oil, gas and brine, including seismic

survey wells, stratigraphic test wells and core test

wells,

c. the exploration, drilling, development, producing or

processing for oil and gas on the lease site,

d. the exploration, drilling, development, production and

operation of wells used in connection with the

recovery, injection or disposal of mineral brines,

Oklahoma Statutes - Title 52. Oil and Gas Page 101

e. reclaiming facilities only for the processing of salt

water, crude oil, natural gas condensate and tank

bottoms or basic sediment from crude oil tanks,

pipelines, pits and equipment associated with the

exploration, drilling, development, producing or

transportation of oil or gas,

f. underground injection control pursuant to the federal

Safe Drinking Water Act and 40 C.F.R., Parts 144

through 148, including:

(1) Class II injection wells,

(2) Class V injection wells utilized in the

remediation of groundwater associated with

underground or aboveground storage tanks

regulated by the Corporation Commission,

(3) those wells used for the recovery, injection, or

disposal of mineral brines as defined in the

Oklahoma Brine Development Act, and

(4) any aspect of a CO2 sequestration facility or CO2

storage unit as part of a CO2 sequestration

facility, including associated Class VI CO2

injection wells, pursuant to the Oklahoma Carbon

Capture and Geologic Sequestration Act,

g. tank farms for storage of crude oil and petroleum

products which are located outside the boundaries of

the refineries, petrochemical manufacturing plants,

natural gas liquid extraction plants, or other

facilities which are subject to the jurisdiction of

the Department of Environmental Quality with regard to

point source discharges,

h. the construction and operation of pipelines and

associated rights-of-way, equipment, facilities or

buildings used in the transportation of oil, gas,

petroleum, petroleum products, anhydrous ammonia or

mineral brine, or in the treatment of oil, gas or

mineral brine during the course of transportation but

not including line pipes associated with processing at

or in any:

(1) natural gas liquids extraction plant,

(2) refinery,

(3) reclaiming facility other than for those

specified within subparagraph e of this

paragraph,

(4) mineral brine processing plant, and

(5) petrochemical manufacturing plant,

i. the handling, transportation, storage and disposition

of saltwater, mineral brines, waste oil and other

deleterious substances produced from or obtained or

Oklahoma Statutes - Title 52. Oil and Gas Page 102

used in connection with the drilling, development,

producing and operating of oil and gas wells, at:

(1) any facility or activity specifically listed in

this paragraph and paragraph 2 of this subsection

as being subject to the jurisdiction of the

Commission, and

(2) other oil and gas extraction facilities and

activities,

j. spills of deleterious substances associated with

facilities and activities specified in this paragraph

or associated with other oil and gas extraction

facilities and activities, and

k. subsurface storage of oil, natural gas and liquefied

petroleum gas in geologic strata.

2. The exclusive jurisdiction, power and authority of the

Corporation Commission shall also extend to the construction,

operation, maintenance, site remediation, closure and abandonment of

the facilities and activities described in paragraph 1 of this

subsection.

3. When a deleterious substance from a Commission-regulated

facility or activity enters a point source discharge of pollutants

or storm water from a facility or activity regulated by the

Department of Environmental Quality, the Department shall have sole

jurisdiction over the point source discharge of the commingled

pollutants and storm water from the two facilities or activities

insofar as Department-regulated facilities and activities are

concerned.

4. For purposes of the federal Clean Water Act, any facility or

activity which is subject to the jurisdiction of the Corporation

Commission pursuant to paragraph 1 of this subsection and any other

oil and gas extraction facility or activity which requires a permit

for the discharge of a pollutant or storm water to waters of the

United States shall be subject to the direct jurisdiction of the

United States Environmental Protection Agency and shall not be

required to be permitted by the Department of Environmental Quality

or the Corporation Commission for such discharge.

5. The Corporation Commission shall have jurisdiction over:

a. underground storage tanks that contain antifreeze,

motor oil, motor fuel, gasoline, kerosene, diesel, or

aviation fuel and that are not located at refineries

or at upstream or intermediate shipment points of

pipeline operations, including, but not limited to,

tanks from which these materials are dispensed into

vehicles, or tanks used in wholesale or bulk

distribution activities, as well as leaks from pumps,

hoses, dispensers, and other ancillary equipment

associated with the tanks, whether above the ground or

Oklahoma Statutes - Title 52. Oil and Gas Page 103

below; provided, that any point source discharge of a

pollutant to waters of the United States during site

remediation or the off-site disposal of contaminated

soil, media, or debris shall be regulated by the

Department of Environmental Quality,

b. aboveground storage tanks that contain antifreeze,

motor oil, motor fuel, gasoline, kerosene, diesel, or

aviation fuel and that are not located at refineries

or at upstream or intermediate shipment points of

pipeline operations, including, but not limited to,

tanks from which these materials are dispensed into

vehicles, or tanks used in wholesale or bulk

distribution activities, as well as leaks from pumps,

hoses, dispensers, and other ancillary equipment

associated with the tanks, whether above the ground or

below; provided, that any point source discharge of a

pollutant to waters of the United States during site

remediation or the off-site disposal of contaminated

soil, media, or debris shall be regulated by the

Department of Environmental Quality, and

c. the Petroleum Storage Tank Release Environmental

Cleanup Indemnity Fund and Program and the Oklahoma

Leaking Underground Storage Tank Trust Fund.

6. The Department of Environmental Quality shall have sole

jurisdiction to regulate the transportation, discharge or release of

deleterious substances or hazardous or solid waste or other

pollutants from rolling stock and rail facilities. The Department

of Environmental Quality shall not have any jurisdiction with

respect to pipeline transportation of carbon dioxide.

7. The Department of Environmental Quality shall have sole

environmental jurisdiction for point and nonpoint source discharges

of pollutants and storm water to waters of the state from:

a. refineries, petrochemical manufacturing plants and

natural gas liquid extraction plants,

b. manufacturing of oil and gas related equipment and

products,

c. bulk terminals, aboveground and underground storage

tanks not subject to the jurisdiction of the

Commission pursuant to this subsection, and

d. other facilities, activities and sources not subject

to the jurisdiction of the Corporation Commission or

Oklahoma Department of Agriculture, Food, and Forestry

as specified by this section.

8. The Department of Environmental Quality shall have sole

environmental jurisdiction to regulate air emissions from all

facilities and sources subject to operating permit requirements

under Title V of the federal Clean Air Act, as amended.

Oklahoma Statutes - Title 52. Oil and Gas Page 104

C. The Corporation Commission shall comply with and enforce the

Oklahoma Water Quality Standards.

D. 1. For the purpose of immediately responding to emergency

situations having potentially critical environmental or public

safety impact and resulting from activities within its jurisdiction,

the Commission may take whatever necessary action, without notice

and hearing, including the expenditure of monies from the

Corporation Commission Revolving Fund, to promptly respond to the

emergency. Such emergency expenditure shall be made pursuant to the

provisions of the Oklahoma Central Purchasing Act, upon such terms

and conditions established by the Office of Management and

Enterprise Services to accomplish the purposes of this section.

Thereafter, the Commission shall seek reimbursement from the

responsible person, firm or corporation for all expenditures made

from the Corporation Commission Revolving Fund. Any monies received

as reimbursement shall be deposited to the credit of the Corporation

Commission Revolving Fund.

2. The Commission shall not expend from any fund in the State

Treasury, in any fiscal year, for the purposes herein provided, an

amount of money in excess of the total sum specifically authorized

annually by the Legislature for such purposes. Any monies received

by the Commission through execution on any required surety shall not

be subject to such limitation on expenditure for remedial action.

3. Neither the Commission nor any independent contractor of the

Commission authorized to conduct remedial action under this section

shall be held liable or responsible for any damages resulting from

non-negligent actions reasonably necessary for conducting remedial

work. Nothing in this section shall limit the authority of the

Commission or relieve any person or persons otherwise legally

responsible from any obligation to prevent or remediate pollution.
Okla. Stat. tit. 52, § 52-607 — OK Code / Title 52 / Section 52-607
Fees and costs
Status: in_force

A. Upon filing an application with the Commission for approval

of a transfer under Section 6 of this act, the transferee shall pay

to the Commission:

1. A nonrefundable fee of Five Thousand Dollars ($5,000.00);

and

2. After the hearing, the additional costs actually incurred in

excess of the fee.

B. All payments received from the transferee shall be paid into

an agency special account and any unexpended portion other than the

nonrefundable fee shall be refunded from the account pursuant to the

provisions of Sections 7.1 et seq. of Title 62 of the Oklahoma

Statutes.
Okla. Stat. tit. 52, § 52-610 — OK Code / Title 52 / Section 52-610
Violations - Fines and penalties - Collection of fines
Status: in_force

Any person who shall disobey or violate any of the provisions of

this act or any of the orders, rules, regulations or adjudications

of the Commission made pursuant to this act shall be punished for

contempt. Punishment by the Commission in proceedings for contempt

shall be imprisonment in the county jail of Oklahoma County for not

more than one (1) year and/or a fine not to exceed Fifty Thousand

Dollars ($50,000.00). Each day the disobedience or violation

continues shall constitute a separate and additional contempt and

shall be punished by separate and additional fines each in an amount

not to exceed Fifty Thousand Dollars ($50,000.00). Any fine or

penalty assessed under the provisions of this act shall constitute a

lien upon all the property of the offender within the state, except

the homestead of the offender. Before any fine or penalty shall

become a lien upon any property of the offender as against third

persons, a copy of the order or adjudication of the Commission

assessing the fine or penalty, certified by the Secretary of the

Commission, shall be filed in the offices of the court clerk and the

county clerk of the county where the property of the offender is

located and entered on the judgment docket of the court of said

county. If the fine is not paid to the Commission within thirty

(30) days after the final order or judgment of the Commission

imposing the same, the Commission shall issue an execution directed

Oklahoma Statutes - Title 52. Oil and Gas Page 263

to the Director of the Commission's Oil and Gas Conservation

Division to levy upon any property of the offender found within the

state, and to sell and dispose of the same in the manner now

provided by law and required of sheriffs in this state in the levy

upon and sale of property under an execution upon a judgment of a

district court of the state. All costs incurred in the issuance,

execution and sale under such levy shall be taxed against the

offender and collected in the same manner provided herein for the

collection of such fine. All monies collected as fines or penalties

under the provisions of this act shall, when paid into or received

by the Commission, be paid to the State Treasurer to be deposited to

the credit of the Corporation Commission Revolving Fund.
Okla. Stat. tit. 52, § 52-55 — OK Code / Title 52 / Section 52-55
Chapter inapplicable to businesses not of public
Status: in_force

consequence.

All persons, firms, associations, and corporations are exempt

from the provisions of this article where the nature and extent of

their business are such that the public needs no use in the same and

the conduct of the same is not a matter of public consequence; and

for this purpose the district courts of the state and the

Corporation Commission are vested with jurisdiction to determine

such exemptions in any action or proceeding properly before them, as

provided in this article.

R.L. 1910, § 4308.
Okla. Stat. tit. 52, § 52-271 — OK Code / Title 52 / Section 52-271
Waste prohibited
Status: in_force

The production of crude oil or petroleum in the State of

Oklahoma, in such manner and under such conditions as to constitute

waste, is hereby prohibited.

Added by 1915, c. 25, § 1, emerg. eff. Feb. 11, 1915.
Okla. Stat. tit. 52, § 52-581.4 — OK Code / Title 52 / Section 52-581.4
Exemptions - Owners ineligible to elect to market share
Status: in_force

A. The following sales are exempt from the provisions of the

Natural Gas Market Sharing Act:

1. Sales pursuant to contracts for an initial term of more than

one (1) year entered into prior to January 1, 1985, or any

successor, replacement, or rollover contract thereto entered into

prior to January 1, 1990. This subsection shall not apply to

participating mineral owners who were sharing in any contract on

January 1, 1992 and continue to share in such contract on September

1, 1992. Such participating mineral owners shall be subject to all

other provisions of this act;

2. Sales pursuant to contracts which provide for:

a. an initial term of more than three (3) years,

b. a guarantee or warranty for delivery of fixed volumes

of gas without limitation to specified wells or

reserves, and

c. delivery of such volumes;

Oklahoma Statutes - Title 52. Oil and Gas Page 251

3. Sales of natural gas liquids extracted as a result of

mechanical processing of the natural gas stream for the removal of

liquid components other than methane.

B. Owners in a well shall not be entitled to elect to market

share pursuant to the provisions of the Natural Gas Market Sharing

Act if in such well, such owners:

1. Are subject to a balancing agreement or other written

agreement which expressly provides for the taking, sharing,

marketing or balancing of gas in a manner other than as provided for

in the Natural Gas Market Sharing Act;

2. Have terminated their contract with a purchaser for value

received, until the expiration of the remainder of the term provided

in such contract;

3. Have terminated market sharing within the previous twelve

(12) months; or

4. Are currently overproduced owners.
Okla. Stat. tit. 52, § 52-93 — OK Code / Title 52 / Section 52-93
Operators - Books - Oil produced and sold
Status: in_force

Every operator in any prorated common source of supply shall,

when required by any rule, order, or regulation of the Commission,

keep books showing accurately (a) the amount of oil produced daily

from each lease or property operated by him or it and, if the

Commission shall order, from each well owned or operated by him or

it on each such lease or property, and (b) the amount of oil sold or

otherwise disposed of each day from each of his or its said

properties, and, when so required by the order of the Commission,

from each of his or its wells thereon and to whom the same is sold

and delivered. Said books and all documents and records made by any

such operator relating to the operation of his or its properties or

wells in any such prorated common source of supply shall at all

times be open for the inspection of the Commission or any officer,

agent or employee authorized and directed by the Commission by its

order to inspect or examine the same; and shall, upon the order of

the Commission or the request of any such authorized officer, agent

or employee be made immediately available for such inspection.
Okla. Stat. tit. 52, § 52-106 — OK Code / Title 52 / Section 52-106
Notice on filing of motion or petition
Status: in_force

Upon the filing of any motion or petition for order or orders of

enforcement, as provided in the preceding section of this act, the

Secretary of the Commission, in the name of the Commission and by

him as its Secretary, shall issue a notice to the defendant or

defendants named in such motion or petition, which said notice shall

be addressed to the defendant or defendants in said petition, and

shall state, (a) the filing of such motion or petition; (b) the

order or orders, rule or rules, regulation or regulations of the

Commission, or the provisions of this act, violations of which are

charged therein; (c) the common source of supply in or with respect

to which such violation has occurred or is occurring; (d) the date

on which said motion or petition is set for hearing, which shall be

on such date as shall be provided by order, rule or regulation of

the Commission, but shall not be earlier than ten (10) days from the

date of the issuance of such notice; and (e) a copy of said motion

or petition filed in said cause shall be attached to said notice,

and if any temporary order of enforcement shall have been made by

the Commission in said proceedings, reference to such order shall be

contained in said notice and a copy thereof shall be attached to

said notice, in order that service of the same upon the defendant or

defendants may be made at the same time as the service of said

notice.
Okla. Stat. tit. 52, § 52-318.22 — OK Code / Title 52 / Section 52-318.22
Seismic exploration operations - Registration - Permits
Status: in_force

- Requirements - Penalty.

A. The Corporation Commission is hereby directed and authorized

to promulgate rules governing the operations of seismographic

exploration for the purpose of protecting the interests and property

of the citizens of this state.

B. Any person, firm, corporation or entity desiring to commence

any seismographic exploration in this state shall, prior to any such

activity, be duly registered with the Corporation Commission and

shall be required to apply for a permit for each separate seismic

exploration.

C. Rules promulgated by the Commission governing all seismic

exploration operations shall include, but not be limited to,

requirements for:

1. Applicants to post a form of financial surety guarantee, the

form and amount to be determined by the Commission which shall

remain in effect until release is authorized by the Commission;

2. Applicants to attempt to notify all owners of the surface

estate where the seismic exploration will occur at least fifteen

(15) days prior to commencement of seismic exploration. If the

applicant has the right to conduct seismic exploration and has

attempted to give actual notice of intent to conduct seismic

exploration to the surface owner any time before fifteen (15) days

Oklahoma Statutes - Title 52. Oil and Gas Page 173

prior to conducting seismic exploration, such action shall be

considered sufficient notification for the purposes of this section.

For the purposes of this section, an attempt to notify shall be

considered sufficient when the notification is sent by U.S. mail,

the notice is postmarked at least fifteen (15) days prior to

commencement of any seismic exploration, and has been given at the

last address shown of record for the surface owner in the records of

the county clerk in the county where the surface estate is located,

or an address that is known by applicant to be more accurate than

the foregoing address of record;

3. Applicants to file an affidavit within ninety (90) days of

the last mailing of the notice described herein with the county

clerk in the county where the property is located, setting out that

mailing of the notice has occurred in compliance with this section,

and specifically listing the surface owners which were not locatable

at the addresses required. Further, in the event that any party is

not locatable at said addresses, then such surface owner will be

deemed as having rejected the offer provided in the notice required

under this section; and

4. Applicants to be permitted for each seismic exploration

operation.

D. The notice required in subsection C of this section shall be

sent by U.S. mail, include a copy of the oil or gas lease or seismic

permit authorizing the use of the surface for seismic exploration

and contain the following information:

1. Name of the company conducting seismic exploration;

2. Anticipated date of seismic exploration;

3. A description of the surface estate of the notice recipient

to be entered upon for the seismic exploration to be conducted;

4. If there is not a prior written agreement between the

surface owner and the operator as to seismic exploration, the

following provision with regard to the amount of the damages offered

by the operator to the surface owner shall be included in the

notice:

"Operator will conduct the proposed seismic exploration in

a prudent manner and agrees to indemnify and hold you

harmless from personal injury or property damage claims

that may result from the operator's seismic exploration to

the extent that such damage claims are not the result of

your acts or omissions. Pursuant to the Seismic

Exploration Regulation Act, you, as the surface owner, are

entitled to reasonable damages that will be sustained by

reason of the operator's seismic exploration. The

operator hereby offers you $______ [operator shall fill in

the amount] as compensation for the reasonable damages to

be sustained by reason of the operator's seismic

exploration. If you accept this offer in writing to the

Oklahoma Statutes - Title 52. Oil and Gas Page 174

operator within fifteen (15) days of the postmark of this

letter, you will be deemed to have accepted and agreed to

the amount as full consideration for all reasonable

damages by reason of the operator's seismic exploration.

Operator shall, upon receipt of your timely acceptance of

the offer contained herein, remit to you the consideration

described in this offer. The acceptance of this amount

shall not prohibit you from attempting to recover damages

which are unreasonable and caused by reason of the

operator's seismic exploration on your surface estate.

In the event that you either (a) reject the offer in this

letter in writing to the operator within fifteen (15) days

of the postmark of this letter, or (b) fail to make a

timely acceptance of the offer contained herein, then you

will be deemed to have rejected the offer contained

herein, and pursuant to the Seismic Exploration Regulation

Act, you may initiate an action pursuant to The Small

Claims Procedure Act or a civil action pursuant to the

Oklahoma Pleading Code, as appropriate, to recover the

reasonable damages, if any, actually sustained by reason

of the operator's seismic exploration. If an action to

recover reasonable damages is commenced accordingly and a

judgment is entered in the action for you as to the

damages in an amount in excess of the amount set forth in

this notice for reasonable damages by reason of the

operator's seismic exploration, you shall be considered

the prevailing party. If the judgment entered is for an

amount equal to or less than the amount set forth in this

notice for reasonable damages by reason of the operator's

seismic exploration, although you will be entitled to

receive the judgment amount, if any, the operator shall be

considered the prevailing party. The prevailing party in

any court proceeding brought pursuant to the Seismic

Exploration Regulation Act shall be entitled to recover

the costs of the suit, including but not limited to

reasonable attorney and expert witness fees and litigation

expenses. If the action should be dismissed other than by

way of settlement prior to the entry of judgment, then the

surface owner shall forfeit its right to receive any

consideration for all reasonable damages by reason of the

operator’s seismic exploration.”; and

5. Any other pertinent information the Commission deems

appropriate and relevant for the protection of surface owners.

E. The Commission is further directed to promulgate rules to

implement a system to register complaints against any person, firm

or corporation conducting seismic exploration. The Commission may

determine if and when a complaint has been adequately resolved.

Oklahoma Statutes - Title 52. Oil and Gas Page 175

F. Any person, firm, corporation or entity which conducts any

seismic exploration without a permit by the Commission, or in any

other manner violates the rules of the Commission governing such

exploration shall be subject to a penalty of One Thousand Dollars

($1,000.00) per violation per day by the Commission, in addition to

any other legal remedy provided by law.
Okla. Stat. tit. 52, § 52-320.2 — OK Code / Title 52 / Section 52-320.2
Unlawful use of safety equipment in oil or gas
Status: in_force

production.

After the effective date of this act, it shall be unlawful for

any person to intentionally or maliciously injure, deface, alter,

destroy or tamper with any safety equipment that is not their own

and is used in the drilling or production of an oil or gas well,

unless consent is given by or the person is authorized by the owner

or operator of the safety equipment.
Okla. Stat. tit. 52, § 52-45 — OK Code / Title 52 / Section 52-45
Violations of act misdemeanor - Punishment
Status: in_force

Any person, firm, corporation or other business organization who

shall violate any of the provisions of this act shall be guilty of a

misdemeanor and, upon conviction, shall be fined not less than Five

Dollars ($5.00) nor more than Twenty-five Dollars ($25.00), and each

day of such violation shall be deemed a separate offense.
Okla. Stat. tit. 52, § 52-551 — OK Code / Title 52 / Section 52-551
Definitions
Status: in_force

As used in this act:

1. "Holder" means any person in possession of property subject

to this act, when said property belongs to another person; and

2. "Persons" means any individual, partnership, joint stock

association, trust, cooperative, unincorporated association or

corporation.
Okla. Stat. tit. 52, § 52-306 — OK Code / Title 52 / Section 52-306
Workable coal beds or seams defined
Status: in_force

All coal beds or seams thirty (30) inches to thirty-six (36)

inches in thickness, less than one thousand (1,000) feet below the

surface, and all coal beds or seams more than thirty-six (36) inches

in thickness, less than one thousand five hundred (1,500) feet below

the surface, shall be deemed as workable.

Added by 1955, p. 255, § 2.
Okla. Stat. tit. 52, § 52-570.2 — OK Code / Title 52 / Section 52-570.2
Definitions
Status: reserved

As used in the Production Revenue Standards Act:

Oklahoma Statutes - Title 52. Oil and Gas Page 233

1. "Owner" means a person or governmental entity with a legal

interest in the mineral acreage under a well which entitles that

person or entity to oil or gas production or the proceeds or

revenues therefrom;

2. "Produce", "Producing" and "Production" mean the physical

act of severance of oil and gas from a well by an owner and includes

but is not limited to the sale or other disposition thereof;

3. "Producing owner" means an owner entitled to produce who

during a given month produces oil or gas for its own account or the

account of subsequently created interests as they burden its

interest;

4. "Proportionate production interest" means that interest in

production which a working interest owner is entitled to produce in

order to adjust for shifting of royalty burdens among working

interest owners under the royalty payment provisions of this act,

and is equal to the quotient of:

a. the sum of that working interest owner's net revenue

interests plus the net revenue interests of any

subsequently created interests as they burden such

owner's working interest,

b. divided by the remainder of one (1) less the royalty

share;

5. "Proportionate royalty share" means the percentage of the

royalty share owned by a royalty interest owner calculated by

dividing such owner's royalty interest in a well by the royalty

share;

6. "Royalty interest" means the entirety of the percentage

interest in production or proceeds therefrom:

a. reserved or granted by a mineral interest owner

exclusive of any interest defined as a working

interest or a subsequently created interest, or

b. otherwise provided or ascribed to a mineral interest

owner by statute, rule, order or operation of law.

The interest of a participating mineral interest owner shall be

designated in part as a royalty interest and in part as a working

interest as set forth in Section 87.1 of Title 52 of the Oklahoma

Statutes;

7. "Royalty interest in a well" means an owner's royalty

interest multiplied by the quotient of:

a. the gross mineral acres under the well attributable to

such interest, divided by

b. the total mineral acres under the well;

8. "Royalty proceeds" means the share of proceeds or other

revenue derived from or attributable to any production of oil and

gas attributable to the royalty share, but shall not include

payments of bonus, delay rentals, shut-in royalties or any

additional royalty payable to the Commissioners of the Land Office

Oklahoma Statutes - Title 52. Oil and Gas Page 234

or other governmental entity, pursuant to and valued according to

the terms of its oil and gas lease, which is calculated separately

from the royalty portion of actual proceeds from the sale of oil or

gas;

9. "Royalty share" means the percentage of the well equal to

the sum of all royalty interests in a well;

10. "Subsequently created interest" means any interest carved

from a working interest other than a royalty interest. In addition

to the royalty interest contained in a lease, a nonparticipatory

interest created by a working interest owner for the benefit of a

mineral interest owner in excess of a one-eighth (1/8) royalty

interest may, by separate agreement other than the oil and gas

lease, be a subsequently created interest and thereby not be

communitized under the terms of the Production Revenue Standards Act

only if there is clear and unambiguous language expressing that

intent in the creating document. The additional royalty payable to

the Commissioners of the Land Office or other governmental entity,

pursuant to and valued according to the terms of its oil and gas

lease, which is calculated separately from the royalty portion of

actual proceeds from the sale of oil or gas shall also be a

subsequently created interest and thereby shall not be communitized

under the Production Revenue Standards Act;

11. "Well" means an oil or gas well, and shall include:

a. a well having uniform ownership as to all producing

zones,

b. a drilling and spacing unit having uniform ownership

wherein multiple wells producing gas are commonly

metered, and

c. each separately metered producing zone within a single

wellbore wherein ownership varies by zone; and

12. "Working interest" means the interest in a well entitling

the owner thereof to drill for and produce oil and gas, including

but not limited to the interest of a participating mineral owner to

the extent set forth in Section 87.1 of Title 52 of the Oklahoma

Statutes.
Okla. Stat. tit. 52, § 52-279 — OK Code / Title 52 / Section 52-279
Partial invalidity
Status: in_force

The invalidity of any section, subdivision, clause or sentence

of this act shall not in any manner affect the validity of the

remaining portion thereof.
Okla. Stat. tit. 52, § 52-287.6 — OK Code / Title 52 / Section 52-287.6
Procedure - Notice - Appeals
Status: in_force

Except as otherwise herein expressly provided, all proceedings

had under this act including the filing of petitions, the giving of

notices, the conduct of hearings and other action taken by the

Commission shall be in the form and manner and in accordance with

the procedure and procedural requirements provided in Sections 84 to

135, inclusive, Title 52, Oklahoma Statutes, 1941, or any amendment

thereof with reference to proceedings thereunder. Such additional

notice shall be given as may be required by the Commission. The

Conservation Officer, his assistant and deputies and the

Conservation Attorney shall act without additional compensation as

technical advisors to the Commission to the extent that the

Commission may require. Any person aggrieved by any order of the

Commission made pursuant to this act may appeal therefrom to the

Supreme Court of the State of Oklahoma upon the same conditions,

within the same time and in the same manner as is provided in said

Sections 84 to 135, inclusive, Title 52, Oklahoma Statutes, 1941, or

any amendments thereof, for the taking of appeals from the orders of

the Commission made thereunder.
Okla. Stat. tit. 52, § 52-288.12 — OK Code / Title 52 / Section 52-288.12
Act not to preempt or supersede other state or national
Status: in_force

programs - Application to rules and amendment of rules - Support of

national program.

Nothing in this act may be construed to preempt or supersede any

other program relating to oil or natural gas promotion or marketing

organized and operated under the laws of the State of Oklahoma or

the United States. The provisions of this act applicable to the

rules shall be applicable to amendments to the rules. In the event

of the establishment of a national program for an assessment on oil

or natural gas production, the Board, by majority vote, may elect to

designate up to a maximum of fifty percent (50%) of the funds

collected under this act to such a national program in lieu of an

additional assessment as may be required by such national program.Oklahoma Statutes - Title 52. Oil and Gas Page 6
Okla. Stat. tit. 52, § 52-288.5B — OK Code / Title 52 / Section 52-288.5B
Sustaining Oklahoma's Energy Resources Revolving Fund
Status: in_force

There is hereby created in the State Treasury a revolving fund

for the Committee for Sustaining Oklahoma's Energy Resources to be

designated the "Sustaining Oklahoma's Energy Resources Revolving

Fund". The fund shall be a continuing fund, not subject to fiscal

year limitations, and shall consist of all monies transferred to the

Committee for Sustaining Oklahoma's Energy Resources to further the

purposes of this act from any public appropriations and donations,

grants, contributions or gifts from any public or private source.

All monies accruing to the credit of the fund are hereby

appropriated and may be budgeted and expended by the Committee for

Sustaining Oklahoma's Energy Resources for the purpose of

encouraging and funding research and development of new technologies

in the oil and natural gas industry and funding activities to

support marginally producing oil and gas wells. Expenditures from

the fund shall be made upon warrants issued by the State Treasurer

against claims filed as prescribed by law with the Director of the

Oklahoma Statutes - Title 52. Oil and Gas Page 148

Office of Management and Enterprise Services for approval and

payment.
Okla. Stat. tit. 52, § 52-570.7 — OK Code / Title 52 / Section 52-570.7
Out-of-balance wells
Status: in_force

A. For purposes of the Production Revenue Standards Act a well

is out of balance when cumulative gas sales on a volumetric basis

for the account of all owners in a well have not been made in

proportion to the respective net revenue interest of each owner.

B. In a well wherein the cumulative gas production accounts of

royalty interest owners are out of balance, producing owners in that

Oklahoma Statutes - Title 52. Oil and Gas Page 238

well may agree to have the distribution of gas royalty proceeds

among the royalty interest owners made in a manner other than

according to their proportionate royalty shares, provided that:

1. Such variance shall only be permitted to the extent required

to balance the cumulative gas production accounts of the royalty

interest owners; and

2. Prior notice thereof is given to the royalty interest owners

affected thereby, and to the operator along with any ongoing

information necessary for the operator to discharge its duties.

C. Nothing in this section shall be construed to impair any

rights to balancing which may exist by contract or law.
Okla. Stat. tit. 52, § 52-549.5 — OK Code / Title 52 / Section 52-549.5
Oil and gas commingling
Status: in_force

COMMINGLING

If oil or gas in which there exists more than one oil and gas

lien is commingled with other oil or gas in such a manner that the

identity of the specific oil or gas is lost, then the oil and gas

lien continues without interruption into and attaches to any such

resulting commingled product and is perfected automatically as of

the date of its original perfection but only as to volumes out of

the commingled product equal to the volume of product to which the

oil and gas lien originally attached. In such event, the oil and

gas lien in the commingled product has priority over any security

interest or other lien that is not an oil and gas lien or permitted

lien, whether or not the security interest or other lien has been

properly perfected. If more than one oil and gas lien attaches to

the commingled product, then the oil and gas liens rank equally in

the proportion that the respective sales prices secured by each oil

and gas lien bears as a percentage of the total of the sales prices

secured by all oil and gas liens applicable to the production at the

time the production was commingled. This section is intended to

Oklahoma Statutes - Title 52. Oil and Gas Page 226

recognize the continuation of oil and gas lien rights of an interest

owner in the commingled product stream only as to a volume of oil or

gas proportionate to the volume of oil or gas that originated from

such interest owner, with that volume of the commingled product

being considered to have maintained a distinct identity as being

available for sale or transportation under the specific contractual

arrangements applicable to the production at the time it entered the

commingled product stream.
Okla. Stat. tit. 52, § 52-420.20 — OK Code / Title 52 / Section 52-420.20
Short title
Status: in_force

This act shall be known and may be cited as the "Oklahoma

Liquefied Petroleum Gas Research, Marketing and Safety Act".
Okla. Stat. tit. 52, § 52-251 — OK Code / Title 52 / Section 52-251
Prices, terms and conditions - Determination
Status: in_force

The prices, terms and conditions upon which natural gas shall be

made available under this act shall be determined by negotiation

between the parties. In the event of their inability to agree as to

any or all of such prices, terms and conditions, either party to the

negotiation may apply to the Corporation Commission to fix the same.

In reaching its determination, the Corporation Commission shall

consider the necessity of the applicant for the gas for the purposes

specified herein, the value of such gas and its components, the

efficient operation of the wells of the producer of the gas, the

obligations assumed by such producer in the sale or other

disposition of such gas, and all other factors relevant to the

Oklahoma Statutes - Title 52. Oil and Gas Page 127

effectuation of the policy and purposes of this act with justice to

all concerned.
Okla. Stat. tit. 52, § 52-257 — OK Code / Title 52 / Section 52-257
Order granting emergency relief
Status: in_force

The Oklahoma Corporation Commission shall issue an order

determining the merits of any application for emergency relief

relating to a conservation docket proceeding within thirty (30) days

from the filing of the application. In the event the Commission

issues an order granting emergency relief, the order shall be

effective for a period not to exceed ninety (90) days.
Okla. Stat. tit. 52, § 52-140 — OK Code / Title 52 / Section 52-140
Earthen storage ponds - Remedial action
Status: in_force

A. The Corporation Commission shall not, by a rule or order,

prohibit the storage in earthen ponds of the deleterious substances

described in Section 139 of this title, but shall by rule or order

prescribe standards, conditions, or limitations for the use of such

ponds, and shall by rule or order prohibit the storage of such

substances in earthen ponds in areas, fields, or instances found to

be required to prevent pollution.

B. If, after notice and hearing, the Commission finds that:

Oklahoma Statutes - Title 52. Oil and Gas Page 105

1. An earthen pond is subject to the provisions of this

section;

2. It is a facility constructed or used for permanent storage

or disposal of deleterious substances;

3. It is causing or is likely to cause the discharge of

deleterious substances to the environment; and

4. The operator of such facility or any other person

responsible for repairing or closing of such facility in such manner

as is necessary to prevent further or future pollution cannot be

found or is financially unable to pay the cost of performing

remediation work, the Commission or any person authorized by the

Commission may enter upon the land upon which the facility is

located and repair, close or take such other steps as may be

reasonably necessary to remedy the condition.

C. If an emergency exists or if it otherwise appears to the

Commission that irreparable injury will result if immediate remedial

action is not taken, said entry upon the land may be made or

authorized by the Commission without notice or hearing, for the

purpose of taking such temporary remedial action as the Commission

considers necessary to prevent or minimize the injury, pending the

giving of notice and hearing.

D. For the purpose of immediately responding to emergency

situations having potentially critical environmental or public

safety impact, the Commission may take whatever necessary action,

without notice and hearing, including the expenditure of monies from

the Corporation Commission Revolving Fund, to promptly respond to

the emergency. Such emergency expenditure shall be made pursuant to

the provisions of The Oklahoma Central Purchasing Act, upon such

terms and conditions established by the Office of Management and

Enterprise Services to accomplish the purposes of this section.

Thereafter, the Commission shall seek reimbursement from the

responsible person, firm or corporation for all expenditures made

from the Corporation Commission Revolving Fund. Any monies received

as reimbursement shall be deposited to the credit of the Corporation

Commission Revolving Fund.

E. When the Commission undertakes any remedial action pursuant

to this section, all such remedial work shall be done by contracts

let upon competitive bids; provided further that the Commission

shall not expend from any fund in the State Treasury, in any fiscal

year, for the purposes herein provided, an amount of money in excess

of the total sum specifically authorized annually by the Legislature

for such purposes. Any monies received by the Commission through

execution on any required surety shall not be subject to such

limitation on expenditure for remedial action.

F. Neither the Commission nor any independent contractor of the

Commission authorized to conduct remedial action under this section

Oklahoma Statutes - Title 52. Oil and Gas Page 106

shall be held liable or responsible for any damages resulting from

operations reasonably necessary to:

1. Contain or remove deleterious substances discharged from a

facility;

2. Repair a facility; or

3. Close a facility for abandonment.

G. Nothing in this section shall limit the authority of the

Commission or relieve any person or persons otherwise legally

responsible from any obligation to:

1. Properly contain and dispose of deleterious substances;

2. Repair an earthen pond; or

3. Properly close an earthen pond before abandonment. It is

intended that the provisions of this section shall serve as a

supplemental remedy when any person or persons obligated to do so

fail or cannot be made to do so.
Okla. Stat. tit. 52, § 52-570.13 — OK Code / Title 52 / Section 52-570.13
Promulgation of rules
Status: in_force

The Corporation Commission shall promulgate rules, as needed, in

furtherance of the purposes of the Production Revenue Standards Act,

including but not limited to a schedule of equitable fees and

expense reimbursements from working interest owners sufficient to

cover the actual costs incurred by the operator to perform duties

required by the Production Revenue Standards Act not assumed by

private agreement.
Okla. Stat. tit. 52, § 52-316 — OK Code / Title 52 / Section 52-316
Proceedings
Status: in_force

All proceedings under this act including the filing of

applications, giving of notices, the conduct of hearings and other

action taken by the Commission, and appeals therefrom shall be in

the form and manner and in accordance with the procedure provided in

Sections 84 to 135, inclusive, Title 52 O.S. 1961, or any amendment

thereof.
Okla. Stat. tit. 52, § 52-87.9 — OK Code / Title 52 / Section 52-87.9
Horizontal well unitization for targeted reservoirs
Status: in_force

A. Horizontal Well Unitization for Targeted Reservoirs.

Under limited circumstances and conditions contained in this

section, the Corporation Commission is authorized to unitize a

Oklahoma Statutes - Title 52. Oil and Gas Page 74

targeted reservoir for the drilling of horizontal wells to the end

that a greater ultimate recovery of oil and gas may be had

therefrom, waste is prevented, and the correlative rights of the

owners are protected. Unless and until a unit created pursuant to

this section is effective, nothing in this section shall prohibit

the drilling of a horizontal well within a drilling and spacing unit

created pursuant to Section 87.1 of this title.

B. Prerequisites for Unitization.

Upon the filing of an appropriate application, and after notice

and hearing, the Commission shall determine if:

1. The proposed unitization of the targeted reservoir is

reasonably calculated to increase the ultimate recovery of oil and

gas from the targeted reservoir through the use of horizontal well

technology to drill one or more horizontal wells in the unit;

2. The use of horizontal well technology to drill the

horizontal well or wells in the targeted reservoir is feasible, will

prevent waste, will protect correlative rights and will with

reasonable probability result in the increased recovery of

substantially more oil and gas from the targeted reservoir within

the unit than would otherwise be recovered;

3. The estimated additional cost, if any, of conducting the

horizontal well operations is not anticipated to exceed the value of

the additional oil and gas to be recovered; and

4. The unitization and the use of horizontal well technology to

drill one or more horizontal wells is for the common good and will

result in the general advantage of the owners of the oil and gas

rights within the unit.

Upon making these findings, the Commission may enter an order

creating the unit and providing for the unitized operation of the

targeted reservoir described in the order, all upon terms and

conditions as may be shown by the evidence to be fair, reasonable,

equitable and which are necessary or proper to protect and safeguard

the respective rights and obligations of the several persons

affected, including royalty owners, owners of overriding royalties

and others, as well as the lessees. The application shall set forth

a description of the proposed unit with a map or plat thereof

attached, shall allege the existence of the facts required to be

found by the Commission as provided in this subsection and shall

have attached thereto a recommended plan of development which is

applicable to the proposed unit and which is fair, reasonable and

equitable.

C. Size of the Unit.

Each unit shall be two governmental sections. However, the

Commission may expand the size of the unit by including additional

governmental sections up to a maximum unit size of four governmental

sections, if for good cause shown the Commission finds the expansion

of the unit size beyond two governmental sections is necessary to

Oklahoma Statutes - Title 52. Oil and Gas Page 75

prevent waste, to protect correlative rights and will result in the

increased recovery of substantially more oil and gas from the

targeted reservoir than would otherwise be recovered based upon, but

not necessarily limited to:

1. Geological features existing within the proposed unit;

2. The proposed location or orientation of the horizontal

wells;

3. The length of the laterals of the proposed horizontal wells;

4. The proposed use of multilateral wells; or

5. Any combination thereof.

D. Ownership of Oil and Gas Rights within the Unit.

Where there are, or may thereafter be, two or more separately

owned tracts within the unit, each owner of oil and gas rights

within the unit shall own an interest in the unit of the same

character as the ownership of the owner in the separately owned

tract. From and after the effective date of the order of the

Commission creating the unit and subject to the provisions of any

pooling order covering the unit, the interest of each owner in the

unit shall be defined as the percentage of interest owned in each

separate tract by the owner, multiplied by the proportion that the

acreage in each separately owned tract bears to the entire acreage

of the unit. The costs incurred in connection with and the

production and proceeds from the wells in the unit shall be

allocated to each separate tract in the unit and shall be borne or

shared by the owners in each separate tract based upon and

determined by the interest of each owner in the tract. However, if

a well or wells already exist within the area of the proposed unit

which are producing or have produced or appear to be productive from

the targeted reservoir being unitized, the Commission may adjust the

sharing of future costs incurred in connection with and future

production and proceeds from any existing well or any subsequent

well in the proposed unit in any manner deemed necessary by the

Commission in order to protect the correlative rights of the owners

within any existing well or any subsequent well or within the unit,

including providing for the sharing of future costs incurred in

connection with and future production and proceeds from any existing

well or any subsequent well in a manner different from any other

well in the unit so long as the various methods of sharing future

costs, production and proceeds from the existing and subsequent

wells in the unit prevents waste and protects the correlative rights

of all the affected owners. For the purpose of this section, any

owner or owners of oil and gas rights in and under an unleased tract

of land within the unit, unless the owner has relinquished the

drilling rights or working interest of the owner in the applicable

targeted reservoir in the tract of land under a pooling order

entered by the Commission which order remains in effect, shall be

regarded as a lessee to the extent of a seven-eighths (7/8) interest

Oklahoma Statutes - Title 52. Oil and Gas Page 76

in and to the rights and a lessor to the extent of the remaining

one-eighth (1/8) interest therein.

E. The Plan of Development.

The application shall include a proposed plan of development.

Based upon the facts and conditions found to exist with respect to a

proposed unit, the Commission shall determine the necessary terms,

provisions, conditions and requirements to be included in the plan

of development for the unit. If a well or wells already exist

within the area of the proposed unit which are producing or have

produced or appear to be productive from the targeted reservoir

being unitized, the plan of development shall also include:

1. Any adjustments to the sharing of future costs incurred in

connection with future development and production, and the sharing

of proceeds, from any existing well or any subsequent well which the

Commission determines to be necessary in order to be fair,

reasonable and equitable, and to protect the correlative rights of

the owners, considering the existing development in and the prior

and anticipated future production from the targeted reservoir within

the unit; and

2. The procedure and basis upon which existing wells, equipment

and other properties of the several lessees within the unit area are

to be taken over and used for the unit operations, including the

method of arriving at the compensation therefor, or of otherwise

proportionately equalizing or adjusting the investment of the

several lessees in the project as of the effective date of unit

operation.

F. Order of the Commission.

The order of the Commission creating the unit shall:

1. Designate the size and shape of the unit;

2. Set forth the drilling pattern and setbacks for the unit,

including the permitted well location tolerances for the permitted

wells within the unit;

3. Approve and adopt the plan of development for the unit, with

a copy thereof attached to the order and include any necessary

special allocation factors for allocating the costs, production and

proceeds from the proposed unit resulting from existing wells or

subsequent wells, or both;

4. Designate the unit operator; and

5. Provide for the conditions upon which the unit, and the

order creating the unit, shall terminate.

G. Consent by Owners.

No order of the Commission creating a unit pursuant to this

section shall become effective unless and until the proposed

unitization has been consented to in writing, and the written

consent submitted to the Commission, by lessees of record of not

less than sixty-three percent (63%) of the working interest in the

targeted reservoir in each spacing unit in the area to be included

Oklahoma Statutes - Title 52. Oil and Gas Page 77

in the unit and by owners of record of not less than sixty-three

percent (63%), exclusive of any royalty interest owned by any lessee

or by any subsidiary of any lessee, of the one-eighth (1/8) royalty

interest in the targeted reservoir in each spacing unit in the area

to be included in the unit in an express writing separate from the

oil and gas lease. The Commission shall make a finding in the order

creating the unit as to whether the requisite consent has been

obtained. Where the requisite consent has not been obtained at the

time the order creating the unit is entered, the Commission shall,

upon application and notice, hold any additional and supplemental

hearings as may be requested or required to determine if and when

the requisite consent has been obtained and the date the unitization

will become effective. In the event lessees and royalty owners, or

either, owning the required percentage interest in and to the unit

area have not so consented to the unitization within a period of six

(6) months from and after the date on which the order creating the

unit is entered, the order creating the unit shall cease to be of

further force and effect and shall be revoked by the Commission.

H. Notice.

The application for the creation of a horizontal well

unitization under this section, and the notice of hearing on the

application, shall be served no less than fifteen (15) days prior to

the date of the hearing, by regular mail, upon each person or

governmental entity having the right to share in production from the

proposed unit covered by the application, as well as other persons

or governmental entities required by Commission rules. Any person

aggrieved by any order of the Commission made pursuant to this

section may appeal therefrom to the Supreme Court of the State of

Oklahoma upon the same conditions, within the same time and in the

same manner as is provided for in this title, for the taking of

appeals from the orders of the Commission made thereunder.

I. Pooling of the Unit.

From and after the effective date of an order creating a unit

pursuant to this section and subject to the provisions of the order

in regard to the matters to be found by the Commission in the

creation of the unit and the provisions of the applicable plan of

development, an owner of the right to drill for and produce oil or

gas from the unit may request the Commission to pool the oil and gas

interests of the owners in the unit on a unitwide basis pursuant to

the provisions of subsection (e) of Section 87.1 of this title in

regard to the development of the unit.

J. Effect on Existing Spacing Units and Pooling Orders.

From and after the effective date of an order creating a unit

pursuant to this section, the operation of any well producing from

the targeted reservoir within the unit defined in the order by

persons other than the unit operator, or except in the manner and to

the extent provided in the order creating the unit shall be unlawful

Oklahoma Statutes - Title 52. Oil and Gas Page 78

and is hereby prohibited. Once the order of the Commission creating

a unit pursuant to this section becomes effective, the unit so

created shall supersede any drilling and spacing unit previously

formed by the Commission pursuant to Section 87.1 of this title for

the same targeted reservoir within the area of the new unit. Any

pooling order which was entered by the Commission pursuant to

subsection (e) of Section 87.1 of this title covering any drilling

and spacing unit superseded by a unit created pursuant to this

section and which was in effect at the time of the creation of the

unit shall remain in full force and effect as to any oil and gas

interests in the targeted reservoir which were relinquished and

transferred by operation of law under the pooling order. However,

further development of the targeted reservoir in the area of the

unit created pursuant to this section shall not be subject to any of

the other provisions of any prior pooling order, but shall be

governed by and pursuant to the order creating the unit, including

the applicable plan of development, and any subsequent pooling order

covering the unit.

K. Payment of Proceeds.

Units created pursuant to this section shall be subject to the

terms and provision of the PRSA.

L. The Commissioners of the Land Office.

The Commissioners of the Land Office, or other proper board or

officer of the state having the control and management of state

land, and the proper board or officer of any political, municipal,

or other subdivision or agency of the state, are hereby authorized

and shall have the power on behalf of the state or of any political,

municipal, or other subdivision or agency thereof, with respect to

land or oil and gas rights subject to the control and management of

the respective body, board, or officer, to consent to or participate

in any unitization created pursuant to the Extended Horizontal Well

Development Act.

M. Retained Jurisdiction.

Upon the creation of a unit pursuant to this section, and

approval of the plan of development in connection therewith, the

Commission shall retain jurisdiction over the unit and the plan of

development. The retained jurisdiction of the Commission set forth

herein shall neither preclude nor impair the right of any affected

party to obtain through the district courts of this state any remedy

or relief available at law or in equity for injuries caused by any

action or inaction of the applicant, operator or any other affected

party.
Okla. Stat. tit. 52, § 52-143 — OK Code / Title 52 / Section 52-143
Penalties
Status: in_force

Any person, firm or corporation violating any rule, regulation

or order of the Commission authorized by this act shall be deemed

guilty of a misdemeanor and upon conviction may be punished by a

fine not less than One Hundred Dollars ($100.00) or exceeding Two

Hundred Fifty Dollars ($250.00). Each day such a violation

continues shall constitute a separate offense.
Okla. Stat. tit. 52, § 52-240 — OK Code / Title 52 / Section 52-240
"Common purchaser" - Discrimination in purchases
Status: in_force

prohibited - Regulation of purchases.

Every person, firm or corporation, now or hereafter engaged in

the business of purchasing and selling natural gas in this state,

shall be a common purchaser thereof, and shall purchase all of the

natural gas which may be offered for sale, and which may reasonably

be reached by its trunk lines, or gathering lines without

discrimination in favor of one producer as against another, or in

favor of any one source of supply as against another save as

authorized by the Corporation Commission after due notice and

hearing; but if any such person, firm or corporation, shall be

unable to purchase all the gas so offered, then it shall purchase

natural gas from each producer ratably. It shall be unlawful for

any such common purchaser to discriminate between like grades and

pressures of natural gas, or in favor of its own production, or of

production in which it may be directly or indirectly interested,

either in whole or in part, but for the purpose of prorating the

natural gas to be marketed, such production shall be treated in like

manner as that of any other producer or person, and shall be taken

only in the ratable proportion that such production bears to the

total production available for marketing. The Corporation

Commission shall have authority to make regulations for the

delivery, metering and equitable purchasing and taking of all such

gas and shall have authority to relieve any such common purchaser,

after due notice and hearing, from the duty of purchasing gas of an

inferior quality or grade.
Okla. Stat. tit. 52, § 52-64 — OK Code / Title 52 / Section 52-64
Suspension of penalty, when
Status: in_force

Whenever the operation of a valid order of a competent court or

the Corporation Commission is duly suspended, according to law, the

punitive provisions of this article shall likewise be suspended in

their operation as to the transactions adjudicated in said court;

and, further, any court having jurisdiction of an action brought by

the state to punish for a violation under the terms of this article,

shall not impose a punishment therefor greater than Five Hundred

Dollars ($500.00) against any person or corporation, if it finds

from the evidence that the violation was made solely with the object

of testing according to law the validity of any of the provisions of

Oklahoma Statutes - Title 52. Oil and Gas Page 47

this article, or of the order of any competent court or of the

Corporation Commission, in any proceeding to carry out the

provisions hereof.

R.L. 1910, § 4316.
Okla. Stat. tit. 52, § 52-318.1a — OK Code / Title 52 / Section 52-318.1a
Confidentiality of financial statement
Status: in_force

Pursuant to the Oklahoma Open Records Act, the Commission is

authorized to provide for the confidentiality of any financial

statement filed pursuant to Section 318.1 of Title 52 of the

Oklahoma Statutes. Copies of such financial statements may only be

obtained upon written request to the Director of the Oil and Gas

Division. Upon good cause shown, upon the discretion of the

Director, copies of such financial statements may be released.
Okla. Stat. tit. 52, § 52-206 — OK Code / Title 52 / Section 52-206
Clerical, technical and legal assistants - Expenses -
Status: in_force

Office.

The assistant representative referred to in Section 205 of this

title is hereby authorized with the consent of the Governor to

employ such clerical, technical and legal assistants as may be

necessary for him to properly perform the duties assigned him, and

to incur such other expenses as may be necessary to enable the State

of Oklahoma to fully cooperate in accomplishing the objects of "The

Interstate Compact to Conserve Oil and Gas." Said assistant

representative and his assistants, and the Governor when acting in

his capacity as official representative of the State of Oklahoma on

"The Interstate Oil Compact Commission," shall receive their actual

and necessary traveling expenses when away from the State Capitol in

the performance of their duties, which shall be paid from the

special fund hereinafter created. The Office of Management and

Oklahoma Statutes - Title 52. Oil and Gas Page 119

Enterprise Services shall provide and furnish an office in the State

Capitol for said assistant representative.

Added by 1935, p. 241, § 2, emerg. eff. April 19, 1935. Amended by
Okla. Stat. tit. 52, § 52-274 — OK Code / Title 52 / Section 52-274
Common source of supply - Restrictions on production when
Status: in_force

full production would cause waste - Powers of Corporation Commission

- Discrimination prohibited.

Whenever the full production from any common source of supply of

crude oil or petroleum in this state can only be obtained under

conditions constituting waste, as herein defined, then any person,

firm or corporation, having the right to drill into and produce oil

from any such common source of supply, may take therefrom only such

proportion of all crude oil and petroleum that may be produced

therefrom, without waste, as the production of the well or wells of

Oklahoma Statutes - Title 52. Oil and Gas Page 130

any such person, firm or corporation, bears to the total production

of such common source of supply. The Corporation Commission is

authorized to so regulate the taking of crude oil or petroleum from

any or all such common sources of supply, within the State of

Oklahoma, as to prevent the inequitable or unfair taking, from a

common source of supply, of such crude oil or petroleum, by any

person, firm, or corporation, and to prevent unreasonable

discrimination in favor of any one such common source of supply as

against another.Oklahoma Statutes - Title 52. Oil and Gas Page 5
Okla. Stat. tit. 52, § 52-570.9 — OK Code / Title 52 / Section 52-570.9
Production rights of owner - Ownership and payment of
Status: in_force

proceeds - Working interest owner's rights, duties and liability -

Effect of act.

Oklahoma Statutes - Title 52. Oil and Gas Page 242

A. Each owner entitled to produce shall at a minimum have the

right to produce separately its proportionate production interest in

monthly production, subject to balancing restrictions created by

statute, rule, agreement or operation of law; provided, however, no

provision of the Production Revenue Standards Act shall create a new

right for any owner to produce in excess of its proportionate

production interest share of the total recoverable reserves from a

well. As used herein, an owner is entitled to produce when by right

of contract, lease, mineral ownership, Corporation Commission order

or operation of law, such owner has acquired or retained a current

right to separately contract for, dispose of or sell oil or gas from

a well. Nothing in the Production Revenue Standards Act shall

prevent any owner having the right to take production in kind,

including a royalty interest owner, from so taking its share of

production in kind or create a right to take in kind or use

production, which right did not previously exist.

B. Except as otherwise provided by statute, rule, agreement or

operation of law, proceeds from production, after deduction of

royalty proceeds, shall be separately owned by the producing owner

and any subsequently created interests attributable to the interests

of such owner. A working interest owner shall be responsible for

payment and reporting to any subsequently created interest which

burdens its working interest.

C. All rights, burdens, duties and undertakings attributable to

working interest other than the duty to pay royalty proceeds shall

remain with such working interest and shall not be communitized

pursuant to the Production Revenue Standards Act.

D. Notwithstanding any other provisions of the Production

Revenue Standards Act, any working interest owner that pays or

causes to be paid royalty proceeds for gas production in accordance

with the Production Revenue Standards Act valued according to the

terms of such working interest owner's lease shall be relieved from

all liability to royalty interest owners for any further payment of

proceeds from such production.

E. Nothing in the Production Revenue Standards Act shall:

1. Prevent any working interest owner entitled to produce gas

from receiving the price agreed upon by contract;

2. Eliminate or otherwise affect the rights and remedies

available to any operator or working interest owner against any

other working interest owner, including but not limited to an

operator, that defaults or fails to pay its proportionate share of

the well cost; or

3. Set the price, terms or conditions under which a purchaser

takes the production or set any restrictions, limitations, floor or

ceiling on the price to be paid for such production.
Okla. Stat. tit. 52, § 52-318 — OK Code / Title 52 / Section 52-318
Remedial work - Contracts upon competitive bids
Status: in_force

When the Corporation Commission undertakes to plug, replug, or

repair any well or wells as authorized and provided in Sections 309

and 310 of this title, all such remedial work shall be done by

contracts let upon competitive bids. Except for expenditures made

from the Corporation Commission Plugging Fund, the Commission shall

not expend from the Oil and Gas Revolving Fund or any other fund in

the State Treasury, in any fiscal year, for the purposes herein

provided, an amount of money in excess of the total sum specifically

authorized annually by the Legislature for such purposes. Provided

any monies received by the Commission through execution on any

required surety shall not be subject to such limitation on

expenditure for plugging, replugging or repairing any well or wells.

Oklahoma Statutes - Title 52. Oil and Gas Page 163
Okla. Stat. tit. 52, § 52-803 — OK Code / Title 52 / Section 52-803
Surface estate – Interference with solar energy agreement
Status: in_force

– Notice

A. Unless specifically provided otherwise in an instrument

transferring or retaining title to the mineral estate separate from

the surface estate, and subject to, and consistent with, the

provisions of the surface damages statutes and all other applicable

laws, rules and regulations, within a tract of real property, the

mineral owner has had, and shall hereafter continue to have, the

right to make reasonable use of the surface estate, including the

right of ingress and egress therefor, for the purpose of exploring,

severing, capturing and producing the minerals underlying the tract

of real property or lands spaced or pooled therewith.

B. Notwithstanding any provision in a wind or solar energy

agreement in effect on, or entered into after, May 10, 2011, or the

provisions of the Oklahoma Wind Energy Development Act, as the same

is in effect or hereafter amended, the lessee of a wind or solar

energy agreement or the wind energy developer shall not unreasonably

interfere with the mineral owner's right to make reasonable use of

the surface estate, including the right of ingress and egress

therefor, for the purpose of exploring, severing, capturing and

producing the minerals.

C. It is the intent of the Exploration Rights Act of 2011 to

confirm the mineral owner's historical right to make reasonable use

of the surface estate, including the right of ingress and egress

therefor, for the purpose of exploring, severing, capturing and

producing the minerals, and nothing in this act is intended to

expand or diminish those historical rights. Further, nothing in

this act shall amend or modify the surface damages statutes or be

interpreted to grant, expand or diminish any person's rights

therein.

Oklahoma Statutes - Title 52. Oil and Gas Page 267

D. For any alleged breach or violation of the Exploration

Rights Act of 2011, any affected person may petition the district

court in the county in which the real property is located for either

declaratory relief pursuant to Sections 1651 through 1657 of Title

12 of the Oklahoma Statutes, or injunctive relief pursuant to

Sections 1381 through 1397 of Title 12 of the Oklahoma Statutes, or

both, in addition to any other remedies at law or in equity that may

otherwise be available.
Okla. Stat. tit. 52, § 52-291 — OK Code / Title 52 / Section 52-291
Confinement of gas until used
Status: in_force

Any person, co-partnership, or corporation in possession, either

as owner, lessee, agent or manager of any well producing natural

gas, in this state in order to prevent the said gas wasting by

escape, shall immediately after penetrating the gas-bearing rock, in

any well hereafter drilled, shut in and confine the gas in said well

until and during such time as the gas therein shall be utilized for

lights, fuel or power purposes: Provided, that this section shall

not apply to any well operated for oil: Provided, further, that

when in the course of drilling, gas production is developed, four

(4) days' free time shall be allowed in which to determine whether

the well shall be shut and saved for a gas well or drilled further

for the purpose of producing oil.
Okla. Stat. tit. 52, § 52-134 — OK Code / Title 52 / Section 52-134
Partial invalidity - Effect
Status: in_force

If any section, paragraph, sentence or phrase of this act shall

be declared unconstitutional, or void for any other reason by any

court of final jurisdiction, such fact shall not in any manner

invalidate or affect any other section, paragraph, sentence or

phrase of this act, but the same shall continue in full force and

effect.
Okla. Stat. tit. 52, § 52-318.1 — OK Code / Title 52 / Section 52-318.1
Agreement as to compliance with drilling and plugging
Status: in_force

regulations - Evidence of financial responsibility - Bond - Cost of

plugging - Notice - Remedial operations.

A. Any person who drills or operates any well for the

exploration, development or production of oil or gas, or as an

injection or disposal well, within this state, shall furnish in

writing, on forms approved by the Corporation Commission, his or her

agreement to drill, operate and plug wells in compliance with the

rules of the Commission and the laws of this state, together with

evidence of financial ability to comply with the requirements for

plugging, closure of surface impoundments, removal of trash and

equipment as established by the rules of the Commission and by law.

To establish evidence of financial ability, the Commission shall

require:

1. Category A surety which shall include a financial statement

listing assets and liabilities and including a general release that

the information may be verified with banks and other financial

institutions. The statement shall prove a net worth of not less

than Fifty Thousand Dollars ($50,000.00). Category A surety will no

longer be accepted as valid form of surety for new operators to

select beginning November 1, 2025. All current operators who have

valid Category A surety and are in good standing with the Commission

will be able to retain their Category A surety for the time they are

a valid operator in the State of Oklahoma; or

2. Category B surety which shall include an irrevocable

commercial letter of credit, cash, a cashier's check, a Certificate

of Deposit, other negotiable instrument, or a blanket surety bond.

Except as provided in paragraph 1 of subsection B or subsection C of

this section, amount of such letter of credit, cash, cashier's

check, certificate, bond, receipt or other negotiable instrument

shall be based on the number of wells that the person operates as

follows:

a. for one to ten wells, Twenty-five Thousand Dollars

($25,000.00),

b. for eleven to fifty wells, Fifty Thousand Dollars

($50,000.00),

c. for fifty-one to one hundred wells, One Hundred

Thousand Dollars ($100,000.00), and

d. for more than one hundred wells, One Hundred Fifty

Thousand Dollars ($150,000.00).

The Commission is authorized to determine a higher amount of

Category B surety based upon the past performance of the operator

Oklahoma Statutes - Title 52. Oil and Gas Page 164

and its insiders and affiliates regarding compliance with the laws

of this state, and any rules promulgated thereto including but not

limited to the drilling, operation and plugging of wells, closure of

surface impoundments or removal of trash and equipment, provided

that such higher amount shall not exceed One Hundred Fifty Thousand

Dollars ($150,000.00). Any instrument shall constitute an

unconditional promise to pay and be in a form negotiable by the

Commission.

B. 1. The Commission upon certification by any operator

subject to Category B surety that its plugging liability statewide

is less than the amount based on the number of wells operated as

specified in this section may allow said operator to provide

Category B type surety in an amount less than the amount required by

this section, but at least sufficient to cover the estimated cost of

all plugging, closure, and removal operations currently the

responsibility of that operator. The liability certification

referred to in this subsection shall take the form of an affidavit

from a licensed well plugger estimating the costs of all plugging,

closure, and removal operations of the operator requesting such

relief. This alternative amount shall be modified upward upon the

assumption of additional operations by such operator, the maximum

amount of Category B surety to be posted not to exceed One Hundred

Fifty Thousand Dollars ($150,000.00).

2. New operators, operators who have outstanding fines or

contempt citations and operators whose insiders or affiliates have

outstanding contempt citations or fines as of June 7, 1989, shall be

required to post Category B surety.

3. Operators using Category A surety who are assessed a fine of

Two Thousand Dollars ($2,000.00) or more and who do not pay the fine

within the specified time shall be required to post a Category B

surety within thirty (30) days of notification by the Commission.

C. For good cause shown concerning pollution or improper

plugging of wells by the operator posting either Category A or B

surety or by an insider or affiliate of such operator, the

Commission, upon application of the Director of the Oil and Gas

Conservation Division, after notice and hearing, may require the

filing of additional Category B surety in an amount greater than

Twenty-five Thousand Dollars ($25,000.00) but not to exceed One

Hundred Fifty Thousand Dollars ($150,000.00).

D. If the Commission determines that a blanket surety bond is

required, the bond shall be conditioned on the fact that the

operator shall cause the wells to be plugged and abandoned surface

impoundments to be closed, and trash and equipment to be removed in

accordance with the laws of this state and the rules of the

Commission. Each bond shall be executed by a corporate surety

authorized to do business in this state and shall be renewed and

Oklahoma Statutes - Title 52. Oil and Gas Page 165

continued in effect until the conditions have been met or release of

the bond is authorized by the Commission.

E. The agreement provided for in subsection A of this section

shall provide that if the Commission determines that the person

furnishing the agreement has neglected, failed, or refused to plug

and abandon, or cause to be plugged and abandoned, or replug any

well or has neglected, failed or refused to close any surface

impoundment or removed or cause to be removed trash and equipment in

compliance with the rules of the Commission, then the person shall

forfeit from his or her bond, letter of credit or negotiable

instrument or shall pay to this state, through the Commission, for

deposit in the State Treasury, a sum equal to the cost of plugging

the well, closure of any surface impoundment or removal of trash and

equipment. The Commission may cause the remedial work to be done,

issuing a warrant in payment of the cost thereof drawn against the

monies accruing in the State Treasury from the forfeiture or

payment. Any monies accruing in the State Treasury by reason of a

determination that there has been a noncompliance with the

provisions of the agreement or the rules of the Commission, in

excess of the cost of remedial action ordered by the Commission,

shall be credited to the Oil and Gas Revolving Fund. The Commission

shall also recover any costs arising from litigation to enforce this

provision. Provided, before a person is required to forfeit or pay

any monies to the state pursuant to this section, the Commission

shall notify the person at his or her last-known address of the

determination of neglect, failure or refusal to plug or replug any

well, or close any surface impoundment or remove trash and equipment

and said person shall have ten (10) days from the date of

notification within which to commence remedial operations. Failure

to commence remedial operations shall result in forfeiture or

payment as provided in this subsection.

F. It shall be unlawful for any person to drill or operate any

oil or gas well subject to the provisions of this section, without

the evidence of financial ability required by this section. The

Commission shall shut in, without notice, hearing or order of the

Commission, the wells of any such person violating the provisions of

this subsection and such wells shall remain shut in for

noncompliance until the required evidence of Category B surety is

obtained and verified by the Commission.

G. If title to property or a well is transferred, the

transferee shall furnish the evidence of financial ability to plug

the well and close surface impoundments required by the provisions

of this section, prior to the transfer.

H. As used in this section:

1. "Affiliate" means an entity that owns twenty percent (20%)

or more of the operator, or an entity of which twenty percent (20%)

or more is owned by the operator; and

Oklahoma Statutes - Title 52. Oil and Gas Page 166

2. "Insider" means officer, director, or person in control of

the operator; general partners of or in the operator; general or

limited partnership in which the operator is a general partner;

spouse of an officer, director, or person in control of the

operator; spouse of a general partner of or in the operator;

corporation of which the operator is a director, officer, or person

in control; affiliate, or insider of an affiliate as if such

affiliate were the operator; or managing agent of the operator.
Okla. Stat. tit. 52, § 52-570.4 — OK Code / Title 52 / Section 52-570.4
Sharing of and payment of proceeds - Operator's capacity
Status: in_force

and duties - Alternative royalty disbursement procedure.

A. In each month, each royalty interest owner shall share in

all proceeds derived from the sale of gas production from a well to

the extent of such owner's royalty interest in that well without

regard to the identity of the producing owners during that period.

B. Each producing owner shall pay or cause to be paid to the

operator the royalty share of its gas sales proceeds, valued

according to such producing owner's lease terms or Corporation

Commission forced pooling order, from all gas produced from the well

by such owner during any month. The operator shall thereupon pay or

cause to be paid such royalty proceeds to each royalty interest

owner in the well in accordance with the proportionate royalty share

owned by each royalty interest owner. The payment of such proceeds

shall be accompanied by the information set out in Section 12 of

this act.

C. The operator shall act solely in a ministerial capacity when

performing functions on behalf of others pursuant to this act. The

operator shall have discharged its duties to pay royalty proceeds

under this act when it remits to the royalty interest owner such

royalty proceeds that the operator has received from an owner

pursuant to this act. In the absence of a division order signed by

a royalty interest owner, an operator in distributing or causing to

be distributed the royalty proceeds on gas production to that

royalty interest owner shall be entitled to rely on royalty

ownership and remittance information provided by the working

interest owner burdened by such royalty interest. Working interest

owners shall be solely liable for mispayments caused by their errors

in or omissions of royalty ownership and remittance information on

the royalty interests burdening them. When collecting and

disbursing royalty funds and reporting pursuant to Section 12 of

this act, the operator shall be entitled to rely on information

provided to it by or on behalf of another producing owner.

D. As an alternative to the royalty disbursement procedure set

forth in subsection B of this section, a producing owner shall have

the right to pay or cause to be paid the royalty share of its gas

sales from gas produced by such owner during any month directly to

all royalty interest owners according to their proportionate royalty

shares in such well, contingent upon the following:

1. Such producing owner shall be solely liable for all errors

in and omissions of payment that it makes of royalty proceeds;

2. Such producing owner shall make written report to the

operator within thirty (30) days of the date of such payment of all

information relating to such payments, including the information

specified by Section 12 of this act;

Oklahoma Statutes - Title 52. Oil and Gas Page 236

3. Such producing owner shall give to the operator not less

than sixty (60) days' written notice prior to initiating or

terminating this alternate royalty disbursement procedure; provided,

however, any owner terminating this alternate royalty disbursement

procedure may not reinitiate such procedure for twelve (12) months

from the effective date of such termination;

4. Such producing owner shall solely bear all additional costs

incurred by the operator or itself because of its initiation,

utilization or termination of this alternative royalty payment

procedure; and

5. Such producing owner shall provide or cause to be provided

to the royalty interest owners for each month such producing owner's

proportionate production interest, and the information required

under Section 12 of this act.Oklahoma Statutes - Title 52. Oil and Gas Page 11
Okla. Stat. tit. 52, § 52-318.5 — OK Code / Title 52 / Section 52-318.5
Negotiating surface damages - Appraisers - Report and
Status: in_force

exceptions thereto - Jury trial.

A. Prior to entering the site with heavy equipment, the

operator shall negotiate with the surface owner for the payment of

any damages which may be caused by the drilling operation. If the

parties agree, and a written contract is signed, the operator may

enter the site to drill. If agreement is not reached, or if the

operator is not able to contact all parties, the operator shall

petition the district court in the county in which the drilling site

is located for appointment of appraisers to make recommendations to

the parties and to the court concerning the amount of damages, if

any. Once the operator has petitioned for appointment of

appraisers, the operator may enter the site to drill.

B. Ten (10) days' notice of the petition to appoint appraisers

shall be given to the opposite party, either by personal service or

by leaving a copy thereof at the party’s usual place of residence

with some family member over fifteen (15) years of age, or, in the

case of nonresidents, unknown heirs or other persons whose

whereabouts cannot be ascertained, by publication in one issue of a

newspaper qualified to publish legal notices in said county, as

provided in Section 106 of Title 25 of the Oklahoma Statutes, said

ten-day period to begin with the first publication.

C. The operator shall select one appraiser, the surface owner

shall select one appraiser, and the two selected appraisers shall

select a third appraiser for appointment by the court, which such

third appraiser shall be a state-certified general real estate

appraiser and be in good standing with the Oklahoma Real Estate

Appraisal Board. Unless for good cause shown, additional time is

allowed by the district court, the three (3) appraisers shall be

selected within twenty (20) days of service of the notice of the

petition to appoint appraisers or within twenty (20) days of the

first date of publication of the notice as specified in subsection B

of this section. If either of the parties fails to appoint an

appraiser or if the two appraisers cannot agree on the selection of

the third appraiser within the required time period, the remaining

required appraisers shall be selected by the district court upon

application of either party of which at least one shall be a state-

certified general real estate appraiser and be in good standing with

the Oklahoma Real Estate Appraisal Board. Before entering upon

their duties, such appraisers shall take and subscribe an oath,

Oklahoma Statutes - Title 52. Oil and Gas Page 169

before a notary public or some other person authorized to administer

oaths, that they will perform their duties faithfully and

impartially to the best of their ability. They shall inspect the

real property and consider the surface damages which the owner has

sustained or will sustain by reason of entry upon the subject land

and by reason of drilling or maintenance of oil or gas production on

the subject tract of land. The appraisers shall then file a written

report within thirty (30) days of the date of their appointment with

the clerk of the court. The report shall set forth the quantity,

boundaries and value of the property entered on or to be utilized in

said oil or gas drilling, and the amount of surface damages done or

to be done to the property. The appraisers shall make a valuation

and determine the amount of compensation to be paid by the operator

to the surface owner and the manner in which the amount shall be

paid. Said appraisers shall then make a report of their proceedings

to the court. The compensation of the appraisers shall be fixed and

determined by the court. The operator and the surface owner shall

share equally in the payment of the appraisers' fees and court

costs.

D. Within ten (10) days after the report of the appraisers is

filed, the clerk of the court shall forward to each attorney of

record, each party, and interested party of record, a copy of the

report of the appraisers and a notice stating the time limits for

filing an exception or a demand for jury trial as provided for in

this section. The operator shall provide the clerk of the court

with the names and last-known addresses of the parties to whom the

notice and report shall be mailed, sufficient copies of the notice

and report to be mailed, and pre-addressed, postage-paid envelopes.

1. This notice shall be on a form prepared by the

Administrative Director of the Courts, approved by the Oklahoma

Supreme Court, and supplied to all district court clerks.

2. If a party has been served by publication, the clerk shall

forward a copy of the report of the appraisers and the notice of

time limits for filing either an exception or a demand for jury

trial to the last-known mailing address of each party, if any, and

shall cause a copy of the notice of time limits to be published in

one issue of a newspaper qualified to publish legal notices as

provided in Section 106 of Title 25 of the Oklahoma Statutes.

3. After issuing the notice provided herein, the clerk shall

endorse on the notice form filed in the case the date that a copy of

the report and the notice form was forwarded to each attorney of

record, each party, and each interested party of record, or the date

the notice was published.

E. The time for filing an exception to the report or a demand

for jury trial shall be calculated as commencing from the date the

report of the appraisers is filed with the court. Upon failure of

the clerk to give notice within the time prescribed, the court, upon

Oklahoma Statutes - Title 52. Oil and Gas Page 170

application by any interested party, may extend the time for filing

an exception to the report or filing a demand for trial by jury for

a reasonable period of time not less than twenty (20) days from the

date the application is heard by the court. Appraisers' fees and

court costs may be the subject of an exception, may be included in

an action by the petitioner, and may be set and allowed by the

court.

F. The report of the appraisers may be reviewed by the court,

upon written exceptions filed with the court by either party within

thirty (30) days after the filing of the report. After the hearing

the court shall enter the appropriate order either by confirmation,

rejection, modification, or order of a new appraisal for good cause

shown. Provided, that in the event a new appraisal is ordered, the

operator shall have continuing right of entry subject to the

continuance of the bond required herein. Either party may, within

sixty (60) days after the filing of such report, file with the clerk

a written demand for a trial by jury, in which case the amount of

damages shall be assessed by a jury. The trial shall be conducted

and judgment entered in the same manner as railroad condemnation

actions tried in the court. A copy of the final judgment shall be

forwarded to the county assessor in the county or counties in which

the property is located. If the party demanding the jury trial does

not recover a more favorable verdict than the assessment award of

the appraisers, all court costs including reasonable attorney fees

shall be assessed against the party.
Okla. Stat. tit. 52, § 52-420.27 — OK Code / Title 52 / Section 52-420.27
Assessment on first sale or import of odorized LP gas -
Status: in_force

Records of remitted fees - Entry upon business premises - Suspension

or revocation of registration permit.

A. To fund the activities of the Commission an assessment shall

be imposed on the first sale of odorized LP gas or at the time of

import of odorized LP gas into the State of Oklahoma. Each operator

of a loading rack on delivery into any cargo container shall collect

from the person who purchases the odorized LP gas an assessment in

an amount of one-half cent ($0.005) per gallon. Each owner of

odorized LP gas, at the time of import into this state, shall be

Oklahoma Statutes - Title 52. Oil and Gas Page 204

responsible for the payment of the one-half cent ($0.005) per gallon

assessment on the volume of LP gas at the time of import.

B. The assessment shall be computed on the net amount of

odorized LP gas delivered into a cargo container.

C. Loading rack operators and importers shall maintain

sufficient records regarding their LP gas operations to enable the

Commission to determine whether the loading rack operators and

importers have remitted all fees due under the provisions of

subsection A of this section. Loading rack operators and importers

shall make such records available to the Commission for inspection

and shall maintain such records for the minimum period of time that

business records are required to be maintained by the Internal

Revenue Service.

D. Upon a determination by a majority vote of the Commission

that just cause exists, a representative of the Commission may, at

reasonable times and after reasonable notice to the loading rack

operator and importer, enter an office, premises or place of

business of a loading rack operator or importer to inspect, examine

and obtain copies of the LP gas operation records maintained

pursuant to subsection C of this section, for the purpose of

conducting an audit or investigation or enforcing or administering

this act. The loading rack operator or importer or their

representative is entitled to be present when the Commission

representative enters to make inspections and examinations on the

premises of the loading rack operator or importer.

E. The Commission shall serve notice to the Oklahoma Liquefied

Petroleum Gas Administrator regarding any importer who fails to

remit the assessment as required under the provisions of this

section. Upon notice and hearing, the Oklahoma Liquefied Petroleum

Gas Board may suspend or revoke any registration permit issued to

the loading rack operator or importer by the Oklahoma Liquefied

Petroleum Gas Board until all assessments and penalties are paid in

full.
Okla. Stat. tit. 52, § 52-231 — OK Code / Title 52 / Section 52-231
Ownership of gas
Status: in_force

All natural gas under the surface of any land in this state is

hereby declared to be and is the property of the owners, or gas

lessees, of the surface under which gas is located in its original

state.
Okla. Stat. tit. 52, § 52-420.10 — OK Code / Title 52 / Section 52-420.10
Appointment of administrative staff
Status: in_force

The Administrator is empowered and authorized to appoint from

time to time such administrative staff as the Administrator

reasonably determines is necessary to assist the Administrator and

the Board in the performance of their functions.
Okla. Stat. tit. 52, § 52-242 — OK Code / Title 52 / Section 52-242
Appeals to Supreme Court
Status: in_force

Appellate jurisdiction is hereby conferred upon the Supreme

Court of this state to review the orders of said Commission made

under this act. Such appeal may be taken by any person, firm or

corporation, shown by the record to be interested therein, in the

same manner and time as appeals are allowed by law from other orders

of the Corporation Commission. Said orders so appealed from, may be

superseded by the Commission or by the Supreme Court upon such terms

and conditions as may be just and equitable.
Okla. Stat. tit. 52, § 52-420.62 — OK Code / Title 52 / Section 52-420.62
Renumbered as § 130.22 of Title 74 by Laws 1991, c
Status: in_force

235, § 24, eff. July 1, 1991.
Okla. Stat. tit. 52, § 52-287.12 — OK Code / Title 52 / Section 52-287.12
Receipts as income
Status: in_force

Neither the unit production or proceeds from the sale thereof,

nor other receipts shall be treated, regarded, or taxed as income or

profits of the unit; but instead, all such receipts shall be the

income of the several persons to whom or to whose credit the same

Oklahoma Statutes - Title 52. Oil and Gas Page 141

are payable under the plan of unitization. To the extent the unit

may receive or disburse said receipts it shall only do so as a

common administrative agent of the persons to whom the same are

payable.
Okla. Stat. tit. 52, § 52-41 — OK Code / Title 52 / Section 52-41
Gas from interstate pipelines - License from Corporation
Status: in_force

Commission.

All domestic gas pipeline corporations in this state, which are

now, or shall hereafter fully comply with the laws of this state,

and all municipal corporations, owning or operating a gas plant, or

which may hereafter own or operate a gas plant, may contract with

and secure from foreign corporations, operating interstate gas

pipelines, the supply of gas for said domestic gas companies. And

said interstate gas pipeline companies or foreign corporations may

enter into said contract and deliver said gas, upon obtaining a

license from the Corporation Commission, which is hereby authorized

to grant a license to do and transact that particular business of

supplying domestic corporations with natural gas, and the taking out

of said license and the conduct of said business with domestic

pipeline companies, shall not prejudice the said interstate pipeline

companies, or foreign corporations in the transaction and conducting

of their interstate business; provided, the Corporation Commission

may revoke said license when, in its discretion, the public interest

may be best subserved thereby.
Okla. Stat. tit. 52, § 52-33 — OK Code / Title 52 / Section 52-33
Evidence - Certified transcripts of reports of gas
Status: in_force

companies.

A properly certified transcript of the report of any such

corporation, association, or person, shall, as against the makers

thereof, be prima facie evidence of the truth of any matter therein

contained.
Okla. Stat. tit. 52, § 52-606 — OK Code / Title 52 / Section 52-606
Valid transfers - Application for approval of transfer -
Status: in_force

Standards for approval - Waiver - Hearings, adjudications and

appeals - Contracts for certain services.

A. A transfer shall not be valid or effective unless exempted

under Section 5 of this act or approved by the Commission.

B. Prior to or simultaneous with the making of an offer,

solicitation of an offer, or agreement to effect a transfer, the

transferee shall file with the Commission an application for

approval in compliance with subsection C of this section, and the

transferor shall have received a copy of such application not later

than two (2) business days after the filing date of the application.

C. The application for approval of transfer shall be filed on

forms prescribed by rule of the Commission, and shall contain, as

applicable, the following information:

1. As to the transferor: The full name, state of residence or

jurisdiction and date of organization, form of organization, address

and telephone number of principal executive office, address and

telephone number of the principal place of business within the State

of Oklahoma, the name and address of any person who holds a

partnership or other managing interest in the transferor or who

directly or indirectly owns five percent (5%) or more of any class

of any outstanding equity securities of transferor, the name and

address of any agent of transferor for service of process within the

State of Oklahoma, a valuation and description, insofar as

practicable, of the energy resource assets owned by transferor and

the business operations conducted by transferor in the State of

Oklahoma relating to such energy resource assets, information as to

any existing contractual obligations of transferor to explore,

produce, purchase, sell, gather, refine, process, deliver,

transport, or transmit hydrocarbons or hydrocarbon products gathered

or produced within the state, and information as to current

financial condition of transferor; and

2. As to the transferee: Full name, state of residence or

year, form, and jurisdiction of organization, address and telephone

number of principal executive office, address and telephone number

of principal place of business within the State of Oklahoma, the

name and address of any person who holds a partnership or other

managing interest in the transferee or who directly or indirectly

owns five percent (5%) or more of any class of any outstanding

Oklahoma Statutes - Title 52. Oil and Gas Page 259

equity securities of transferee, a description of any and each class

of equity securities or long-term debt of transferee, the extent of

any equity or creditor position transferee holds as to transferor,

the name and address of any agent of transferee for service of

process within the State of Oklahoma, a description of the business

operations of transferee and any material changes therein during the

past three (3) years, a description of any material pending legal or

administrative proceedings in which transferee is a party,

information as to the manner and financing of the proposed transfer

and the financial condition of the transferee, the names of any and

all directors, executive officers, or partners of the transferee and

their material business activities and affiliations during the past

three (3) years, a description of transferee's relevant experience

and familiarity with the management of energy resource assets, a

description of transferee's future business plans for management of

the energy resource assets owned by transferor including any plans

for the further disposition or division of such assets, or any plans

to make material changes in the organization of transferor or to

materially alter transferor's relationships with suppliers,

customers, or other businesses with which it conducts business,

information as to the background, business experience, character and

integrity of the transferee and persons proposed to be responsible

for future management and development of such assets, and evidence

of transferee's ability following the proposed transfer to meet any

contractual obligations assumed by transferee as a result of the

proposed transfer.

D. A transfer shall be approved only if the Commission

determines that the transfer satisfies the following standards:

1. That it is reasonable to expect that the proposed transfer

will not adversely impact or retard the timely and efficient

development of the energy resource assets proposed to be

transferred;

2. That the proposed transfer will not, as a result of changes

in managing personnel, policy or practices, or financial ability,

adversely affect the public interest in orderly future exploration,

development, production, refining, processing, transportation or

transmission of hydrocarbons or hydrocarbon products gathered or

produced within the state;

3. That it is reasonable to expect that transferee will manage

and develop such energy resource assets in compliance with all

applicable statutes, and the rules and regulations of the Commission

governing the management and development of such assets;

4. That the proposed transfer will not interfere with or impair

any contractual obligations to explore, produce, sell, purchase,

gather, refine or process, deliver, transport or transmit

hydrocarbons or hydrocarbon products gathered or produced within the

state; and

Oklahoma Statutes - Title 52. Oil and Gas Page 260

5. That the proposed transfer will not impede conservation of

energy resource assets, promote or result in waste or inefficient

use of energy resource assets, interfere with correlative rights in

underground mineral resources, or disrupt collection or realization

of state tax revenues derived from the orderly and efficient

development, management and production of the state's energy

resource assets.

E. 1. The Commission shall waive the requirements of this act

relating to application and hearing if:

a. the transferee and transferor file affidavits with

the Commission attesting their belief that there are

no substantial issues requiring an application and

hearing; and

b. the Commission determines on the basis of the

affidavits and any accompanying supporting data that

there are no substantial issues requiring an

application and hearing.

The Commission shall act within seven (7) calendar days of the

filing of such affidavits.

2. In all other cases, a hearing shall be held within ten (10)

calendar days of the date a filing is made pursuant to this section.

Unless otherwise specified in this act, all hearings and proceedings

shall be conducted in accordance with the rules and regulations of

the Commission.

3. Any person aggrieved by any order of the Commission made

pursuant to this act may appeal therefrom to the Supreme Court of

Oklahoma upon the same conditions, within the same time, and in the

same manner, as is provided in Sections 86.1 to 135, inclusive, of

Title 52 of the Oklahoma Statutes, for the taking of appeal from the

orders of the Commission made thereunder.

F. Final adjudications made pursuant to this section shall be

made within twenty (20) calendar days after filing of the

application. Upon request of either the transferor or the

transferee and a showing that no significant harm to the public

interest or to either party to the transfer will result, the hearing

and adjudication process may be expedited. The hearing and

adjudication process may be extended upon agreement of both parties

to the transfer.

G. If, upon initial review of the application, or immediately

following the hearing on the application, the Commission shall

determine that a substantial likelihood exists that the proposed

transfer will not meet the standards set forth in subsection D of

this section, or that the application is materially deficient in

some respect, the public interest in the protection of the energy

resource assets is significantly threatened by the proposed transfer

and that such threat substantially outweighs the interest of the

parties in effecting such a transfer, the Commission may order

Oklahoma Statutes - Title 52. Oil and Gas Page 261

either party to defer, cease and desist from taking any action to

effect such a transfer, pending final determination or additional

hearings on the application.

H. If, upon hearing, the Commission finds that the proposed

transfer does not or reasonably cannot be expected to meet the

standards of subsection D of this section, the Commission shall so

adjudicate. If the Commission finds that the proposed transfer

would comply with subsection D of this section if amended in certain

respects, including personnel qualifications and policies and

practices affecting the exploration, development and production of

energy resource assets, the Commission may approve the transfer

subject to certain conditions. If the Commission finds that the

proposed transfer meets the standards of subsection D of this

section the Commission shall approve the transfer.

I. For the purposes of complying with and performing its

responsibilities within the time limits prescribed by this act, the

Commission may contract for such professional and technical services

as are necessary to complete the hearing and determination process

in accordance with the provisions of the act. In contracting for

such necessary services the Commission shall be exempt from the

competitive bidding requirements of Section 85.7 of Title 74 of the

Oklahoma Statutes.
Okla. Stat. tit. 52, § 52-288.5 — OK Code / Title 52 / Section 52-288.5
Board - Powers, duties and responsibilities
Status: in_force

The Oklahoma Energy Resources Board shall have the following

powers, duties and responsibilities:

1. To administer and enforce the provisions of the Oklahoma

Energy Education and Marketing Act;

2. To establish an office for the Board within the State of

Oklahoma;

3. To elect a chairperson and whatever other officers may be

necessary to direct operations of the Board;

4. To employ personnel as shall be deemed necessary to carry

out the purpose and provisions of the Oklahoma Energy Education and

Marketing Act, including but not limited to an attorney to provide

Oklahoma Statutes - Title 52. Oil and Gas Page 145

legal assistance to the Board, and to prescribe their duties and fix

their compensation;

5. To establish and administer the Energy Resources Revolving

Fund;

6. To approve or disapprove the budget of the Board;

7. To promulgate rules as it deems necessary to carry out the

provisions of the Oklahoma Energy Education and Marketing Act;

8. To enter into contracts or agreements for studies, research

projects, experimental work, supplies or other services to carry out

the purposes of the Oklahoma Energy Education and Marketing Act, and

incur those expenses necessary to carry out those purposes. Any

such contract or agreement shall provide that:

a. the person entering the contract or agreement on

behalf of the Board shall develop and submit to the

Board a plan or project together with a budget or

budgets that shows estimated costs to be incurred for

the plan or project, and

b. the person entering the contract or agreement shall

keep accurate records of all of its transactions,

account for funds received and expended, and make

periodic reports to the Board of activities conducted,

and such other reports as the Board may require;

9. To keep accurate records of all financial transactions

performed pursuant to the Oklahoma Energy Education and Marketing

Act. These records shall be subject to an annual audit, as defined

by paragraph 4 of subsection B of Section 212 of Title 74 of the

Oklahoma Statutes, by an independent auditor and an annual report

shall be compiled and presented to the Governor;

10. To cooperate with any private, local, state or national

commission, organization, agency or group and to make contracts and

agreements for joint programs beneficial to the oil industry;

11. To accept donations, grants, contributions and gifts from

any public or private source and deposit such in the Energy

Resources Revolving Fund;

12. To approve or disapprove the investment of any monies in

the Energy Resources Revolving Fund; and

13. To keep an accurate record of all assessments collected.
Okla. Stat. tit. 52, § 52-602 — OK Code / Title 52 / Section 52-602
Legislative intent
Status: in_force

The Legislature recognizes that hydrocarbons are a limited

natural resource and that their exploration, production and

development contribute significantly to the general welfare of the

people of the State of Oklahoma through the creation of jobs, the

development of economic growth and stability, and the collection of

gross production taxes, petroleum excise taxes, and other sources of

revenue.

Therefore, the Legislature finds it is in the public interest to

protect its energy resource assets from transfers that may retard

the timely and efficient development of such assets, or transfers

that may interfere with the production, sale, purchase, refining or

processing, delivery, transportation or transmission of hydrocarbons

or hydrocarbon products gathered or produced for sale, purchase,

refining or processing, delivery, transport, transmission or use

pursuant to existing contracts within this state. The Legislature

further finds it is in the public interest to encourage orderly

future exploration, development, production, refining, processing,

transportation, or transmission of hydrocarbons and hydrocarbon

products gathered or produced within the state, to conserve and

prevent waste of energy resource assets, to protect correlative

rights in underground mineral resources, and to protect and preserve

sources of tax revenue derived from the orderly and efficient

Oklahoma Statutes - Title 52. Oil and Gas Page 256

development, management and production of the state's energy

resource assets.
Okla. Stat. tit. 52, § 52-396 — OK Code / Title 52 / Section 52-396
Aiding violations of act
Status: in_force

It shall be unlawful for any person, firm or corporation to aid

or assist any other person in the violation of the provisions of

this act by depositing or delivering into a tank, receptacle, or any

other container, a liquid fuel, lubricating oils, greases or similar

products, other than those intended to be stored therein and

distributed therefrom, as indicated by the name of the manufacturer

or distributor or the trade name, trademark or distinguishing mark,

of the product displayed on the container itself or on the pump or

other distributing device used in connection therewith, or shall by

any other means, aid or assist another in the violation of any of

the provisions of this act.

Added by 1933, c. 165, p. 382, § 6, emerg. eff. May 1, 1933.
Okla. Stat. tit. 52, § 52-250 — OK Code / Title 52 / Section 52-250
Natural gas - Pumping of water for irrigation - Preferred
Status: in_force

use.

From and after the effective date of this act, every person

owning or operating any well from which natural gas is produced,

sold or used off the premises on which such well is located shall

make available, from the production of such well, to the person or

persons engaged in agricultural activities upon such premises, if

requested to do so, sufficient gas for the operation of pumps

necessary for the pumping of such amount of water, produced from

wells on such premises, as may be necessary and proper for the

irrigation of such portion of said premises as may be devoted to the

growth of agricultural products or to pasture or orchard uses. Such

gas shall be made available for such use in preference to any other

use. The person at whose request the gas is furnished shall pay

therefor a reasonable price, not less than the price at which the

gas is sold at the wellhead, and the use shall be upon such

reasonable terms and conditions as will safeguard the owner or

operator of the well in his interests therein and in his off-

premises market for the gas produced therefrom.
Okla. Stat. tit. 52, § 52-87.3 — OK Code / Title 52 / Section 52-87.3
Application or petition for location exception - Notice
Status: in_force

of hearing.

A. When any petition or application is filed with the

Corporation Commission for a location exception from any spacing or

drilling unit, the Commission shall give notice of the hearing to be

held upon such petition or application, as provided in Section 87.1

of Title 52 of the Oklahoma Statutes. Such notice shall

specifically identify the proposed well location, by legal

description, in order to give proper notice to owners of land

adjacent to the proposed well location whether within or without the

same spacing or drilling unit as such proposed well location.

B. If the location exception allows a proposed well location to

be placed closer than one thousand three hundred twenty (1,320) feet

to a section line for a gas well or closer than three hundred thirty

(330) feet to a section line for an oil well, the notice specified

in subsection A of this section shall identify, by legal

description, the land sections adjacent to the area within the

location exception.
Okla. Stat. tit. 52, § 52-527 — OK Code / Title 52 / Section 52-527
Method of measuring amount of gas
Status: in_force

It shall be permissible, when agreeable to all parties mentioned

in Sections 2 and 3 of this act, to substitute an hour meter on such

engine in lieu of a natural gas meter as a method of measuring the

amount of the gas so used.
Okla. Stat. tit. 52, § 52-570.1 — OK Code / Title 52 / Section 52-570.1
Short title
Status: in_force

Sections 1 through 15 of this act shall be known and may be

cited as the "Production Revenue Standards Act".
Okla. Stat. tit. 52, § 52-53 — OK Code / Title 52 / Section 52-53
Foreign corporations
Status: in_force

Corporations of other states or territories, or of the United

States, otherwise admissible to do business in this state, may get

the benefit of this article upon compliance with the laws and

Constitution of this state, including the provisions of Section 31,

of Article IX, of the Constitution, but until such compliance they

shall have no right in, on or under the highways.

R.L. 1910, § 4306.
Okla. Stat. tit. 52, § 52-47.1 — OK Code / Title 52 / Section 52-47.1
Short title
Status: in_force

Sections 1 through 8 of this act shall be known and may be cited

as the "Hazardous Liquid Transportation System Safety Act".
Okla. Stat. tit. 52, § 52-420.31 — OK Code / Title 52 / Section 52-420.31
Oklahoma Propane Education and Safety Council – Powers
Status: in_force

and duties.

A. Effective November 1, 2015, the Oklahoma Liquefied Petroleum

Gas Research, Marketing and Safety Commission, created pursuant to

Section 420.22 of Title 52 of the Oklahoma Statutes, shall be

terminated and re-created as a private nonprofit successor

organization herein referred to as the "Oklahoma Propane Education

and Safety Council" or "Council". Members serving on the Oklahoma

Liquefied Petroleum Gas Research, Marketing and Safety Commission on

November 1, 2015, shall serve as the governing board of the Oklahoma

Propane Education and Safety Council and shall hold office until a

successor is elected and qualified. Future members of the Council

shall be elected by the membership of the organization pursuant to

qualifications and procedures adopted by the Council.

B. The Oklahoma Propane Education and Safety Council shall

perform the same duties and functions as required by the provisions

of the Oklahoma Liquefied Petroleum Gas Research, Marketing and

Safety Act, Section 420.20 et seq. of Title 52 of the Oklahoma

Statutes, subject to modifications authorized by this act, and shall

have the power and duty to:

1. Employ personnel deemed necessary by the Council, fix the

amount and manner of their compensation, and incur other expenses

that are necessary and proper to enable the Council to effectively

carry out the purposes of the Oklahoma Liquefied Petroleum Gas

Research, Marketing and Safety Act and the provisions of this act;

Oklahoma Statutes - Title 52. Oil and Gas Page 208

2. Adopt and amend bylaws as necessary to promptly and

effectively administer the Oklahoma Liquefied Petroleum Gas

Research, Marketing and Safety Act and the provisions of this act;

3. Retain legal counsel as required;

4. Sue and be sued;

5. Initiate prosecution and civil remedies necessary to collect

any assessments due and owing to the Council;

6. Cooperate with local, state, national or international

organizations, whether public or private, to promote the liquefied

petroleum gas industry;

7. Make such reasonable expenditures of funds as are necessary

to carry out the provisions of the Oklahoma Liquefied Petroleum Gas

Research, Marketing and Safety Act and the provisions of this act;

8. Call and conduct such meetings and elections as may be

necessary in carrying out the provisions of the Oklahoma Liquefied

Petroleum Gas Research, Marketing and Safety Act and the provisions

of this act;

9. Keep minutes of its meetings and other books and records

that clearly reflect all acts and transactions of the Council,

including an annual financial report in accordance with general

accounting practices;

10. Set the rate of assessment and penalties to be assessed and

collected in the same manner as provided in Sections 420.27 and

420.28 of Title 52 of the Oklahoma Statutes;

11. Deposit all monies received by the Council including, but

not limited to, assessments, donations and grants in a bank selected

by the Council and invest in securities of the state or federal

government, certificates of deposit or certificates of any bank,

trust company or savings and loan association insured by a federal

agency;

12. Establish an office or headquarters as necessary;

13. Purchase, lease, sell, exchange or dispose of real or

personal property;

14. Formulate general policies and programs for the education,

discovery, promotion and development of markets and industries for

the utilization of liquefied petroleum gas;

15. Hire or retain legal counsel to represent the Council in

any matter;

16. Borrow money for any lawful purpose;

17. Act separately or in cooperation with any person in

developing, carrying out and participating in programs of research,

education and promotion designed to encourage the production,

marketing and use of liquefied petroleum gas; and

18. Exercise such other powers as necessary to carry out the

purpose of the Oklahoma Liquefied Petroleum Gas Research, Marketing

and Safety Act and the provisions of this act.

Oklahoma Statutes - Title 52. Oil and Gas Page 209

C. 1. The Oklahoma Propane Education and Safety Council is

authorized to receive assessments as provided for in the Oklahoma

Liquefied Petroleum Gas Research, Marketing and Safety Act and the

provisions of this act and donations and grants from any source.

2. Money received by the Council may be expended for the

purpose of implementing the provisions of the Oklahoma Liquefied

Petroleum Gas Research, Marketing and Safety Act and the provisions

of this act.

3. The Council shall follow the assessment requirements and

procedures established in the statutory provisions of the Oklahoma

Liquefied Petroleum Gas Research, Marketing and Safety Act and the

provisions of this act.

D. Funds assessed and collected under this act shall not be

expended for use directly or indirectly to promote or oppose the

election of any candidate for public office.

E. The Council may investigate conditions that relate to the

prompt remittance of the assessment. If the Council determines that

a person or company has failed to remit to the Council the required

assessment, the Council may independently institute proceedings for

recovery of the amount due to the Council or for injunctive or other

appropriate relief.

F. A violation of any provision of the Oklahoma Liquefied

Petroleum Gas Research, Marketing and Safety Act or the provisions

of this act is unlawful and may be enjoined by a district court of

competent jurisdiction. In any action brought by the Council which

results in an injunction against a person and the court determines

that such person has violated any provision of the Oklahoma

Liquefied Petroleum Gas Research, Marketing and Safety Act or the

provisions of this act, the court shall award costs and attorney

fees to the Council.

G. 1. All funds accredited to the LP Gas Research, Marketing

and Safety Revolving Fund, established pursuant to Section 420.26 of

Title 52 of the Oklahoma Statutes, including any encumbered

assessments due to the Oklahoma Liquefied Petroleum Gas Research,

Marketing and Safety Commission, equipment and all other property

shall transfer from the possession and control of the Oklahoma

Liquefied Petroleum Gas Research, Marketing and Safety Commission

created pursuant to Section 420.22 of Title 52 of the Oklahoma

Statutes to the possession and control of the private nonprofit

organization, Oklahoma Propane Education and Safety Council, created

pursuant to subsection A of this section.

2. All funds, equipment and other property so transferred shall

no longer be considered state funds or state property and may be

transferred or disposed of by the Council without regard to state

surplus property laws.

3. Contracts and financial obligations of the Oklahoma

Liquefied Petroleum Gas Research, Marketing and Safety Commission in

Oklahoma Statutes - Title 52. Oil and Gas Page 210

effect upon the effective date of this act shall remain in effect

until fulfilled.
Okla. Stat. tit. 52, § 52-36.5 — OK Code / Title 52 / Section 52-36.5
Petition to district court - Examination and
Status: in_force

determination - Subsequent proceedings.

Any public utility having first obtained a certificate from the

Commission as hereinbefore provided, desiring to exercise the right

of eminent domain for the purpose of acquiring property for the

underground storage of natural gas shall do so in the manner

hereinafter provided. Such public utility shall present to the

district court of the county wherein the land is situated, or to the

Oklahoma Statutes - Title 52. Oil and Gas Page 35

judge thereof, a petition setting forth the purpose for which the

said property is sought to be acquired, a description of the

property sought to be appropriated and the names of the owners

thereof as shown by the records of such county. The petitioner

shall file the certificate of the Commission as a part of its

petition and no order by the court granting said petition shall be

entered without such certificate being filed therewith. The court

or the judge thereof shall examine said petition and determine

whether the petitioner has the power of eminent domain and whether

said property is necessary to its lawful purposes, and if found in

the affirmative, such finding shall be entered in the record and

subsequent proceedings shall follow the procedure now provided by

law in the exercise of the rights of eminent domain by railroads.
Okla. Stat. tit. 52, § 52-288.8A — OK Code / Title 52 / Section 52-288.8A
Levy of assessment - Remitting - Rate - Collection
Status: in_force

Oklahoma Statutes - Title 52. Oil and Gas Page 152

A. To fund the activities of the Oklahoma Energy Resources

Board, an assessment shall be levied in the amount of one-tenth of

one percent (1/10 of 1%) of the gross revenues received at the

wellhead for oil, natural gas, casinghead gas or condensate produced

from each well in the State of Oklahoma except for production exempt

from the payment of gross production tax pursuant to Section 1001 of

Title 68 of the Oklahoma Statutes.

B. The assessment levied by subsection A of this section shall

be deducted from the proceeds of production by the person remitting

gross production tax to the Oklahoma Tax Commission pursuant to

Section 1001 of Title 68 of the Oklahoma Statutes. Such assessment

shall be remitted to the Oklahoma Tax Commission in the same manner

as is provided by law for the payment of gross production tax.

Provided, the person remitting the assessment may remit cumulative

amounts of Twenty-five Dollars ($25.00) or less quarterly. To

defray the costs of receiving and depositing the assessments levied

by this section, the Oklahoma Tax Commission shall retain Two

Thousand Dollars ($2,000.00) per month of the assessments received

for deposit in the Oklahoma Tax Commission Revolving Fund created

pursuant to Section 113 of Title 68 of the Oklahoma Statutes. The

remaining monies received by the Oklahoma Tax Commission pursuant to

this section shall be deposited in the Energy Resources Revolving

Fund.

C. The Board shall be responsible for taking appropriate legal

actions to collect any assessment which is not paid or is not

properly paid. The Oklahoma Tax Commission shall not be responsible

for collecting any assessment not remitted to the Oklahoma Tax

Commission for deposit in the Energy Resources Revolving Fund. The

Oklahoma Tax Commission shall report to the Board any information it

obtains regarding failure of any person to properly pay the

assessment due, including any documentation it may have of such

failure.
Okla. Stat. tit. 52, § 52-36.4 — OK Code / Title 52 / Section 52-36.4
Certificate of Commission
Status: in_force

Any public utility desiring to exercise the right of eminent

domain as to any property for use for underground storage of natural

gas shall, as a condition precedent to the filing of its petition in

the district court, obtain from the Commission a certificate setting

out findings of said Commission (a) that the underground stratum or

formation sought to be acquired is suitable for the underground

storage of natural gas and that its use for such purposes is in the

public interest; (b) the amount of recoverable oil and native gas,

if any, remaining therein; provided, that the Commission shall issue

no such certificate until after public hearing is had on

application, pursuant to notice served in compliance with notice in

civil actions in the district court, together with notice published

at least once each week for two (2) successive weeks in some

newspaper of general circulation in the county or counties where the

gas is proposed to be stored, the first publication to be at least

ten (10) days prior to the date of the hearing.
Okla. Stat. tit. 52, § 52-208 — OK Code / Title 52 / Section 52-208
Duration of Act - Withdrawal from Compact - Credit of
Status: in_force

funds to General Revenue Fund.

Oklahoma Statutes - Title 52. Oil and Gas Page 120

The provisions of this act, Section 201 et seq, of this title,

shall be in force and effect so long as the State of Oklahoma shall

be and remain a party to "The Interstate Compact to Conserve Oil and

Gas." In the event the State of Oklahoma withdraws from said

Compact, the provisions of this act shall cease to operate and any

unencumbered monies in "The Interstate Oil Compact Fund of Oklahoma"

shall be credited to the General Revenue Fund of the State of

Oklahoma.
Okla. Stat. tit. 52, § 52-60 — OK Code / Title 52 / Section 52-60
Eminent domain extended to oil pipelines same as railroads
Status: in_force

Any oil pipeline company, organized under the laws of this state

shall have power to exercise the right of eminent domain in like

manner as railroad companies for the purpose of securing rights-of-

way and sites for pumping stations, storage tanks and depots.

R.L. 1910, § 3186.
Okla. Stat. tit. 52, § 52-203 — OK Code / Title 52 / Section 52-203
Interstate Compact ratified and confirmed
Status: in_force

The "Interstate Compact to Conserve Oil and Gas" entered into by

the Governor of this state and the representatives of certain other

oil-producing states at Dallas, Texas, on the 16th day of February,

1935, is hereby ratified, approved and confirmed by the State of

Oklahoma.
Okla. Stat. tit. 52, § 52-57 — OK Code / Title 52 / Section 52-57
Oil carriers not to be interested in producing
Status: in_force

It shall be unlawful for any corporation, joint-stock company,

partnership or person, engaged in the business of carrying or

transporting crude oil or petroleum, or any of the products thereof,

for hire or otherwise, within the limits of this article, and not

becoming a common purchaser as defined by, and accepting the

provisions of this article, to own or operate, directly or

indirectly, any oil well, oil leases or oil holdings or interests in

this state, and each of said corporations, joint stock companies,

partnerships or persons, shall divest themselves of all legal or

equitable ownership, interest or control, directly or indirectly, in

oil wells, oil leases or oil holdings or interests in this state.

R.L. 1910, § 4310.
Okla. Stat. tit. 52, § 52-149.1 — OK Code / Title 52 / Section 52-149.1
Oil and gas referees
Status: in_force

The Commission is hereby authorized to employ three oil and gas

referees who shall be in the unclassified service. Any person

filling the position of oil and gas referee shall be a graduate of

an accredited college or university with a degree in law, geology,

petroleum engineering or similar fields related to hydrocarbon

extraction, or possesses significant experience in the practice of

law or the exploration, production or supervision of oil or gas

operations. Each oil and gas referee shall also be familiar with

state statutes and Commission rules and regulations governing oil

and gas operations. The oil and gas referees shall hear such cases

and exercise such powers as the Commission shall direct. The

Commission may establish such rules and regulations as are necessary

to implement this section. The referees shall be subject to the

overall supervision and direction of the General Administrator.
Okla. Stat. tit. 52, § 52-605 — OK Code / Title 52 / Section 52-605
Exempted transfers
Status: in_force

The following transfers are exempted from the provisions of this

act:

Oklahoma Statutes - Title 52. Oil and Gas Page 257

1. Transfers in the ordinary course of business. For the

purposes of this act, transfers in the ordinary course of business

shall include but not be limited to:

a. the granting of a lease to explore and produce an

energy resource asset,

b. the assignment of a lease or leases to explore and

produce an energy resource asset by or to a person

engaged in the business of buying and selling such

leases,

c. the sale by a natural person of fee mineral rights,

d. the transfer by conveyance or decree pursuant to a

private trust, gift, will, or intestate succession,

e. any transfer pursuant to a compulsory pooling order

of the Commission,

f. any transfer of hydrocarbons pursuant to a contract

for the purchase, sale, or delivery of such

hydrocarbons at or beyond the wellhead or other point

of production,

g. the transfer, sale, condemnation or conveyance of

surface use rights for the purposes of ingress,

egress, easement and right-of-ways, and

h. sales in the ordinary course of business of pipeline

equipment, oil and gas equipment and mineral

equipment as defined in Section 371 of Title 52 of

the Oklahoma Statutes;

2. The granting or assignment of a mortgage, security interest

or other contractual lien in an energy resource asset as security

for an indebtedness or the foreclosure, enforcement or realization

thereof;

3. The granting or assignment of a royalty interest,

overriding royalty interest, production payment, or other nonworking

interest form of right to receive hydrocarbon production, or

proceeds therefrom;

4. A transfer, as defined in subparagraph b of paragraph 4 of

Section 3 of this act, where, after giving effect to the proposed

transfer, the transferee would beneficially own less than ten

percent (10%) of the ownership interest in the transferor;

5. A transfer, as defined in subparagraph a of paragraph 4 of

Section 3 of this act, where the value of the energy resource assets

at date of transfer is less than Seventy-five Million Dollars

($75,000,000.00);

6. A transfer, as defined in subparagraph b of paragraph 4 of

Section 3 of this act, where the value at date of transfer of the

energy resource assets owned by the transferor is less than Seventy-

five Million Dollars ($75,000,000.00);

Oklahoma Statutes - Title 52. Oil and Gas Page 258

7. A transfer of a "domestic public utility" or an ownership

interest in a "domestic public utility", as defined in Section 191.1

of Title 17 of the Oklahoma Statutes; and

8. Any other exemptions as may be granted pursuant to the

rules, regulations and orders of the Commission reasonably

prescribed in the furtherance of this act.
Okla. Stat. tit. 52, § 52-47.7 — OK Code / Title 52 / Section 52-47.7
Action to redress or restrain violation
Status: in_force

The Commission may request the Attorney General to bring an

action in a court of competent jurisdiction for equitable relief to

redress or restrain a violation by any person of a provision of the

Oklahoma Statutes - Title 52. Oil and Gas Page 42

Hazardous Liquid Transportation System Safety Act or a rule,

regulation, or order issued pursuant to the provisions of the

Hazardous Liquid Transportation System Safety Act. Said court has

jurisdiction to determine said action, and to grant the necessary or

appropriate relief, including but not limited to mandatory or

prohibitive injunctive relief, interim equitable relief, and

punitive damages.
Okla. Stat. tit. 52, § 52-475 — OK Code / Title 52 / Section 52-475
Penalty for violations - Civil actions
Status: in_force

Any person, association of persons, or corporation who, as

purchaser thereof, shall knowingly fail or refuse to so measure,

calculate or account for any such gas so purchased, shall be subject

to a penalty of not less than Ten Dollars ($10.00) nor more than

Five Hundred Dollars ($500.00) for each offense recoverable in the

name of the state in any district court in Oklahoma County, wherein

service may be had by the Corporation Commission, and each day of

such violation shall constitute a separate offense. But it shall be

a defense to any claim for such penalty that the Corporation

Commission has not made and published the findings provided for in

Section 3a, as to the particular field in question.

Nothing herein shall prevent an aggrieved party from maintaining

a civil suit for damages in the county or counties in which the gas

is produced.
Okla. Stat. tit. 52, § 52-2 — OK Code / Title 52 / Section 52-2
Foreign gas pipeline corporations - License
Status: in_force

Foreign corporations formed for the purpose of, or engaged in

the business of transporting or transmitting natural gas by means of

pipe lines, shall be licensed and permitted to conduct such business

within this state by complying with the general corporation laws of

the State of Oklahoma, and with the provisions of this article.
Okla. Stat. tit. 52, § 52-420.29-1 — OK Code / Title 52 / Section 52-420.29-1
Exports exempted from assessment
Status: in_force

A. No fee shall be collected on any deliveries of odorized LP

gas destined for export out of this state if the LP gas is in

continuous movement to a destination outside of this state.

B. Purchasers or representatives of purchasers claiming an

exemption under this section must complete a form, provided by the

Commission, and return it to the loading rack operator making the

exempt delivery. Any purchaser requesting an exemption for a

particular load or for all LP gas purchased shall complete a form

provided by the Commission. Each loading rack operator shall keep

all exemptions forms filed with him or her on file and available for

inspection by the Commission for a period of four (4) years.
Okla. Stat. tit. 52, § 52-805 — OK Code / Title 52 / Section 52-805
Cumulative rights
Status: in_force

The provisions of the Exploration Rights Act of 2011, and the

rights granted under the act, are intended to be cumulative with all

other rights a person may otherwise have at law or in equity.
Okla. Stat. tit. 52, § 52-287.9 — OK Code / Title 52 / Section 52-287.9
Modification of property rights, leases and contracts -
Status: in_force

Title to property - Distribution of proceeds - Delivery in kind -

Effect of operations - Matters not affected.

Property rights, leases, contracts, and all other rights and

obligations shall be regarded as amended and modified to the extent

necessary to conform to the provisions and requirements of this act

and to any valid and applicable plan of unitization or order of the

Oklahoma Statutes - Title 52. Oil and Gas Page 139

Commission made and adopted pursuant hereto, but otherwise to remain

in full force and effect.

Nothing contained in this act shall be construed to require a

transfer to or vesting in the unit of title to the separately-owned

tracts or leases thereon within the unit area, other than the right

to use and operate the same to the extent set out in the plan of

unitization; nor shall the unit be regarded as owning the unit

production. The unit production and the proceeds from the sale

thereof shall be owned by the several persons to whom the same is

allocated under the plan of unitization. All property, whether real

or personal, which the unit may in any way acquire, hold or possess

shall not be acquired, held or possessed by the unit for its own

account but shall be so acquired, held and possessed by the unit for

the account and as agent of the several lessees and shall be the

property of such lessees as their interests may appear under the

plan of unitization, subject, however, to the right of the unit to

the possession, management, use or disposal of the same in the

proper conduct of its affairs, and subject to any lien the unit may

have thereon to secure the payment of unit expense.

The amount of the unit production allocated to each separately-

owned tract within the unit, and only that amount, regardless of the

well or wells in the unit area from which it may be produced, and

regardless of whether it be more or less than the amount of the

production from the well or wells, if any, on any such separately-

owned tract, shall for all intents, uses and purposes be regarded

and considered as production from such separately-owned tract, and,

except as may be otherwise authorized in this act, or in the plan of

unitization approved by the Commission, shall be distributed among

or the proceeds thereof paid to the several persons entitled to

share in the production from such separately-owned tract in the same

manner, in the same proportions, and upon the same conditions that

they would have participated and shared in the production or

proceeds thereof from such separately-owned tract had not said unit

been organized, and with the same legal force and effect. If

adequate provisions are made for the receipt thereof, the share of

the unit production allocated to each separately-owned tract shall

be delivered in kind to the persons entitled thereto by virtue of

ownership of oil and gas rights therein or by purchase from such

owners subject to the rights of the unit to withhold and sell the

same in payment of unit expense pursuant to the plan of unitization,

and subject further to the call of the unit on such portions of the

gas for operating purposes as may be provided in the plan of

unitization.

Operations carried on under and in accordance with the plan of

unitization shall be regarded and considered as a fulfillment of and

compliance with all of the provisions, covenants, and conditions,

express or implied, of the several oil and gas mining leases upon

Oklahoma Statutes - Title 52. Oil and Gas Page 140

lands included within the unit area, or other contracts pertaining

to the development thereof, insofar as said leases or other

contracts may relate to the common source of supply or portion

thereof included in the unit area. Wells drilled or operated on any

part of the unit area no matter where located shall for all purposes

be regarded as wells drilled on each separately-owned tract within

such unit area.

Nothing herein or in any plan of unitization shall be construed

as increasing or decreasing the implied covenants of a lease in

respect to a common source of supply or lands not included within

the unit area of a unit.
Okla. Stat. tit. 52, § 52-420.8 — OK Code / Title 52 / Section 52-420.8
Violations of law or rule
Status: in_force

Any person, firm or corporation violating any of the provisions

of Section 420.1 et seq. of this title, or any rule promulgated

thereunder, or installing in this state any liquefied petroleum gas

system or appliance which does not comply with such safety rules

shall be guilty of a misdemeanor, and upon conviction thereof such

person or the responsible members of such firm, or the responsible

officers of such corporation, shall, in addition to any fine imposed

by the Administrator pursuant to Section 420.6 of this title, be

punished by a fine of not less than Five Hundred Dollars ($500.00)

or imprisonment in the county jail for not more than thirty (30)

days, or by both such fine and imprisonment.
Okla. Stat. tit. 52, § 52-802 — OK Code / Title 52 / Section 52-802
Definitions
Status: in_force

As used in the Exploration Rights Act of 2011:

1. “Act” means the Exploration Rights Act of 2011;

2. “Minerals” means oil, natural gas and other minerals of

similar type or character that may be produced or associated with

the oil or natural gas, regardless of whether title to, or ownership

of, the minerals is severed from the fee simple or absolute fee as

defined by Section 23 of Title 60 of the Oklahoma Statutes;

Oklahoma Statutes - Title 52. Oil and Gas Page 265

3. “Mineral estate” means, as to any lands within the State of

Oklahoma, the minerals underlying a tract of real property, or the

right to capture the minerals underlying a tract of real property,

together with the right to make reasonable use of the surface

estate, including the right of ingress and egress therefor, for the

purpose of exploring, severing, capturing and producing the

minerals, as such rights both have been historically articulated at

common law and also included within the surface damage statutes,

regardless of whether title to, or ownership of, the minerals is

severed from the fee simple or absolute fee as defined by Section 23

of Title 60 of the Oklahoma Statutes;

4. “Mineral owner” means a person owning the mineral estate or

a right to explore, sever, capture and produce the minerals, whether

such right is derived from ownership of the mineral estate, from an

oil and gas lease or from a force pooling order issued by the

Corporation Commission, and includes the operator;

5. “Surface damages statutes” means Sections 318.2 through

318.9 of Title 52 of the Oklahoma Statutes, as the same now exists

or may hereafter be amended;

6. “Oil and gas operations” means, for purposes of this act

only, (a) conducting drilling, completion and operation of a well or

wells for the purpose of exploring, severing, capturing and

producing minerals, or (b) conducting seismic exploration;

7. “Operator” means a person engaged in the exploration,

severance, capture or production of the minerals for that person

alone, for other persons only, or for that person and others;

8. “Person” means any individual, executor, administrator,

estate, agent, trust, trustee, institution, receiver, business

trust, firm, corporation, partnership, limited liability company,

cooperative, joint venture, governmental entity or agency,

association or any other group or combination acting as a unit;

9. “Surface estate” means, as to any lands within the State of

Oklahoma, the fee simple or absolute fee ownership of a tract of

real property, as defined by Sections 5 and 23 of Title 60 of the

Oklahoma Statutes, less and excluding the mineral estate;

10. “Wind energy developer” means a person who is developing or

constructing, pursuant to rights granted by a wind or solar energy

agreement, a wind energy facility, or has constructed and is now

operating a wind energy facility;

11. “Wind energy facility” means an electrical generation

facility consisting of one or more wind turbines, substations,

meteorological data towers, aboveground and underground electrical

transmission lines, transformers, control systems, and other

buildings or facilities under common ownership or operating control

used to support the operation of the facility, and whose primary

purpose is to supply electricity to an off-site customer or

customers. Wind energy facility shall not include either:

Oklahoma Statutes - Title 52. Oil and Gas Page 266

a. a wind energy facility located entirely on property

held in fee simple absolute estate by the owner of the

wind energy facility, or

b. substations, transmission lines, transformers, and

control systems which:

(i) are owned and operated by an electric utility

regulated by the Oklahoma Corporation Commission,

the Grand River Dam Authority, the Oklahoma

Municipal Power Authority or an Oklahoma rural

electric cooperative, and

(ii) which are not constructed or placed pursuant to

rights granted through a wind or solar energy

agreement; and

12. “Wind or solar energy agreement” means the same as defined

in Section 820.1 of Title 60 of the Oklahoma Statutes.
Okla. Stat. tit. 52, § 52-109 — OK Code / Title 52 / Section 52-109
False verification of documents as perjury - Punishment
Status: in_force

Any person who shall verify under oath any report, map or

drawing or other statement or document authorized or required by the

provisions of this act, or by any order, rule or regulation of the

Commission made under the provisions of this act to be filed with

the Commission or with the Secretary of the Commission, or with any

other officer, and who files or causes the same to be filed with the

Secretary of the Commission or other officer, which states or

contains any material matter which he knows to be false is guilty of

the felony of perjury, a Class C2 felony offense, and upon

conviction thereof shall be punished by imprisonment as provided for

in subsections B through F of Section 20M of Title 21 of the

Oklahoma Statutes.
Okla. Stat. tit. 52, § 52-420.17 — OK Code / Title 52 / Section 52-420.17
Inspectors' uniforms - Maintenance and cleaning
Status: in_force

allowance.

An expense allowance of Fifty Dollars ($50.00) per month for

maintenance and cleaning of uniforms and other related expenses

shall be paid to safety code enforcement officers. Nothing in this

section regarding expense allowances shall be construed to mean that

such employees shall receive any additional compensation beyond what

is provided for maintenance and cleaning of uniforms and other

related expenses by the Liquefied Petroleum Gas Board on the

effective date of this act.
Okla. Stat. tit. 52, § 52-30 — OK Code / Title 52 / Section 52-30
Meters - Reports
Status: in_force

No corporation, joint stock company, limited copartnership,

partnership or person doing business under the provisions of this

act shall purchase, collect, transport, convey or sell any gas from

any wells in this state except such gas as is run through properly

constructed meters, the daily readings of which shall be carefully

and accurately taken every twenty-four (24) hours, and of which a

true and correct report under oath shall be made every month and

which report of all such business transacted during the next

preceding month shall be filed not later than the fifteenth day of

each and every month with the Corporation Commission and which

report shall at all times be open to the inspection of the public.

Such report shall be based upon such daily meter readings; shall

show the amount of gas run or purchased from each tract of lands;

lease or leasehold estate, the names of the seller or sellers of

such gas and of the purchaser or purchasers thereof; and any person

or persons making or directing, counseling, advising, aiding or

abetting in the making or filing of any false report in the premises

shall be deemed guilty of perjury, and on conviction thereof be

punished as provided by law; and to the end that such meters shall

be properly constructed, maintained, repaired and operated, their

installation, use and operation shall at all times be subject to

such rules and regulations as the Corporation Commission may

prescribe.
Okla. Stat. tit. 52, § 52-315 — OK Code / Title 52 / Section 52-315
Supplemental remedy
Status: in_force

Nothing in this act shall relieve any person or persons

otherwise legally responsible from any obligation to properly plug,

replug, or repair a well and shall not limit the authority of the

Commission to require the proper plugging, replugging, or repair of

the well, but is intended as a supplemental remedy when any person

or persons obligated to do so fail or cannot be made to do so.
Okla. Stat. tit. 52, § 52-47.4 — OK Code / Title 52 / Section 52-47.4
Inspection, operation and maintenance plan
Status: in_force

A. Any person who operates or owns a hazardous liquid

transportation system shall prepare and implement a written plan for

the inspection, operation, and maintenance of each transportation

system owned or operated by said person to ensure the safety of said

system. Said plan shall be submitted to the Commission for

approval.

B. The Commission, after reviewing the adequacy of said plan,

shall either approve or disapprove the plan. In determining

adequacy of a plan, the Commission shall consider:

1. all relevant transportation system safety data which is

available; and

2. whether the plan is appropriate for the particular

transportation system or facility; and

3. the feasibility of the plan; and

4. the extent to which said plan will contribute to public

safety.

Oklahoma Statutes - Title 52. Oil and Gas Page 40

C. If the Commission determines that a plan required pursuant

to the provisions of this section is inadequate to achieve safe

operation of a transportation system, the Commission, after notice

and opportunity for a hearing, shall require the plan to be revised.
Okla. Stat. tit. 52, § 52-420.2 — OK Code / Title 52 / Section 52-420.2
State Liquefied Petroleum Gas Administrator - Deputies
Status: in_force

and enforcement officers.

A. There is hereby created a State Liquefied Petroleum Gas

Administrator, to be appointed by the Governor from a list of

nominees submitted by the Oklahoma Liquefied Petroleum Gas Board,

hereinafter created. The appointment shall be subject to

confirmation by the Senate. The Administrator shall:

1. Receive a salary to be established by the Oklahoma Liquefied

Petroleum Gas Board;

2. Act in no other official or quasi-official capacity except

as herein provided; and

3. Serve at the pleasure of the Governor.

B. The Administrator, subject to approval of the Board, shall

appoint and fix the duties and compensation of employees necessary

to perform the duties imposed upon the Oklahoma Liquefied Petroleum

Gas Board by law.

C. 1. Persons appointed to the positions of Administrator,

chief deputy administrator, deputy administrator or safety code

enforcement officer shall:

a. be citizens of the United States,

b. be legal residents of this state,

c. be physically, mentally and morally capable of

performing the duties imposed upon them pursuant to

the Oklahoma Liquefied Petroleum Gas Regulation Act,

d. not have been convicted of a felony in this state or

any other state as established by a national criminal

history record check as defined in Section 150.9 of

Title 74 of the Oklahoma Statutes, and

e. after the date of their appointment, not be engaged in

any business in this state related to the production,

manufacture, distribution, sale, installation or

transportation of any of the products or equipment

covered by the Oklahoma Liquefied Petroleum Gas

Regulation Act.

2. Each appointee shall, by education, training and experience,

be qualified and competent to perform the duties imposed upon them

pursuant to the Oklahoma Liquefied Petroleum Gas Regulation Act,

which for:

a. the Administrator shall include at least two (2)

years' experience in positions of managerial

responsibility or two (2) years' experience as a

liquefied petroleum gas safety code enforcement

officer,

b. the chief deputy administrator and deputy

administrators shall include at least one and one-half

(1 1/2) years of such experience, and

Oklahoma Statutes - Title 52. Oil and Gas Page 184

c. the safety code enforcement officers shall include at

least two (2) years' experience in actual physical

installation or inspection of liquefied petroleum gas

systems, containers, apparatus or appliances, or

installations thereof, and/or the ability to enforce

the rules and regulations.

3. Before entering upon their duties, appointees shall take the

constitutional oath of office.

D. In the event of a vacancy in the office of Administrator, or

in the event of the absence or disability of the Administrator, the

chief deputy administrator is hereby empowered and authorized to

perform the duties of the Administrator during the time of such

vacancy, absence or disability.
Okla. Stat. tit. 52, § 52-420.15 — OK Code / Title 52 / Section 52-420.15
Safety schools for liquefied petroleum dealers
Status: in_force

The LP-Gas Board shall provide for the holding of safety schools

for the benefit of the liquefied petroleum gas dealers and employees

in the State of Oklahoma, at such times and in such places as may be

deemed advisable. The Board may, by lawfully adopted rules, require

attendance and successful completion of courses, by in-person or

virtual instruction, held as a condition precedent to retaining

permits issued hereunder. Such courses shall be in the format as

established by the Board in its sole discretion. The Administrator

shall perform such duties in connection with those schools as the

Board might direct.
Okla. Stat. tit. 52, § 52-110 — OK Code / Title 52 / Section 52-110
Market demand - Transportation and marketing facilities - Evidence - Proceedings and
Status: in_force

Oklahoma Statutes - Title 52. Oil and Gas Page 3Evidence - Proceedings and hearings.

In any proceeding or at any hearing before the Commission

wherein the Commission shall require or shall deem it advisable to

ascertain and/or find the reasonable market demand and/or the

Oklahoma Statutes - Title 52. Oil and Gas Page 91

transportation or marketing facilities for oil that may be produced

from any common source of supply during any specific period of time

thereafter, it shall be competent, subject to such limitations and

conditions, as shall be prescribed and provided by general order or

rule of the Commission, to receive in evidence in such proceeding or

at such hearing, any statement which shall have been communicated to

(a) the Commission, or (b) to the Secretary of the Commission, or

(c) to the Proration Umpire, by any purchaser or taker of oil by (a)

telegram, or (b) letter, which shall state the amount of oil

produced from said common source of supply (a) that such purchaser

or taker contemplates or intends he or it will purchase during the

period of time involved; or (b) the capacity of his or its

transportation or marketing facilities which will be, during the

period of time involved, available for transportation and/or

marketing oil that may be produced from such common source of

supply; and the Commission in ascertaining and determining the

transportation or marketing facilities, or the reasonable market

demands for oil during any such period of time that may be produced

from such common source of supply may give such weight to such

evidence that it shall determine the same is entitled.
Okla. Stat. tit. 52, § 52-557 — OK Code / Title 52 / Section 52-557
Conditions for oil well plugging approval
Status: in_force

The Corporation Commission shall not finally approve the

plugging of any well until the designated operator of such well

Oklahoma Statutes - Title 52. Oil and Gas Page 232

files an affidavit stating that all monies arising out of the

production or operation of such well:

1. have been paid to the rightful recipients over which said

operator exercises control; or

2. are being held in escrow; or

3. have been transmitted to the Corporation Commission pursuant

to the provisions of Sections 551 through 558 of this title.

If any monies have not been paid as a result of being unable to

locate the owner of such monies after the exercise of due diligence,

or if any monies remain in escrow accounts, such monies shall be

deposited immediately into the Mineral Owner's Fund. If any

plugging bond has been submitted by the designated operator to the

Corporation Commission, it shall not be released until the

requirements of this section are met.
Okla. Stat. tit. 52, § 52-44 — OK Code / Title 52 / Section 52-44
Gas to be furnished through meters at meter rates -
Status: in_force

Exceptions.

All persons, firms, corporations or other business organizations

engaged in the business of furnishing natural gas in municipalities

in this state, to the inhabitants thereof, shall do so through

standard meters at meter rates; provided, that this act shall only

apply to towns where the population exceeds five hundred (500), and

shall not prohibit the sale of gas at a flat rate to federal, state

or municipally-owned buildings, institutions or plants; Provided

further, that this act shall not abrogate any existing contract, or

effect or change the terms or conditions of any franchise granted by

any municipal corporation prior to, and in effect April 28th, 1913.
Okla. Stat. tit. 52, § 52-36.1 — OK Code / Title 52 / Section 52-36.1
Definitions
Status: in_force

As used in this act, Section 36.1 et seq. of this title, (a)

"underground storage" shall mean storage in a subsurface stratum or

formation of the earth; (b) "natural gas" shall mean gas either

while in its original state or after the same has been processed by

removal therefrom of component parts not essential to its use for

light and fuel; (c) "native gas" shall mean gas which has not been

previously withdrawn from the earth; (d) "public utility" shall mean

any person, firm or corporation authorized to do business in this

state and engaged in the business of transporting or distributing

natural gas by means of pipelines into, within or through this state

for ultimate public use, or that uses natural gas as a fuel to

produce electricity for ultimate public use; and (e) "Commission"

shall mean the State Corporation Commission.