A joint resolution consenting to an extension and renewal of the Interstate Compact to conserve oil and gas.
PL 94-493 (S.J.Res.126), enacted 10/14/1976

PUBLIC LAW 94-493—OCT. 14, 1976 
90 STAT. 2365 
Public Law 94-493 
94th Congress 
Joint Resolution 
Consenting to an extension and renewal of the interstate compact to conserve 
oil and gas. 
Resolved hy the Senate and House of Representatives of the United 
States of America in Congress assembled, That the consent of Con-
gress is hereby given to an extension and renewal from September 1, 
1974, to December 31, 1978, of the interstate compact to conserve oil 
and gas, as amended, which was signed in its initial form in the city 
of Dallas, Texas, the 16th day of February 1935, by the representatives 
of Oklahoma, Texas, California, and New Mexico, and at the same 
time and place was signed by the repi-esentatives, as a recommendation 
for approval to the Governors and legislatures of the States of 
Arkansas, Colorado, Illinois, Kansas, and Michigan, and which, prior 
to August 27, 1935, w^as presented to and approved by the legislatures 
and Governors of the States of New Mexico, Kansas, Oklahoma, 
Illinois, Colorado, and Texas, and which so approved by the six States 
last above named was deposited in the Department of State of the 
United States, and thereafter was consented to by the Congress in 
Public Eesolution Numbered 64, Seventy-fourth Congress, approved 
August 27,1935, for a period of two years, and thereafter was extended 
by the representatives of the compacting States and consented to by 
the Congress for successive periods, without interruption, the last 
extension being for the period from September 1,1971, to September 1, 
1974, consented to by Congress by Public Law Numbered 92-322, 
Ninety-second Congress, approved June 30, 1972. The agreement to 
amend, extend, and renew said compact effective September 1, 1971, 
duly executed by representatives of the States of Alabama, Alaska, 
Arizona, Arkansas, Colorado, Florida, Illinois, Indiana, Kansas, 
Kentucky, Louisiana, Maryland, Michigan, Mississippi, Montana, 
Nebraska, Nevada, New Mexico, New York, North Dakota, Ohio, 
Oklahoma, Pennsylvania, South Dakota, Tennessee, Texas, Utah, 
West Virginia, and Wyoming has been deposited in the Department 
of State of the United States, and reads as follows: 
"AN AGREEMENT TO AMEND, EXTEND AND RENEW THE 
INTERSTATE COMPACT TO CONSERVE OIL AND GAS 
"WHEREAS, on the 16th day of February, 1935, in the City of 
Dallas, Texas, there was executed 'An Interstate Compact to Con-
serve Oil and Gas' which was thereafter formally ratified and 
approved by the States of Oklahoma, Texas, New Mexico, Illinois, 
Colorado and Kansas, the original o,f which is now on deposit with 
the Department of State of the United States; 
"WHEREAS, effective as of September 1, 1971, the several com-
pacting states deem it advisable to amend said compact so as to 
provide that upon the giving of Congressional consent thereto in its 
amended form, said Compact will remain in effect until Congress 
withdraws such consent; 
"WHEREAS, the original of said Compact as so amended will, 
upon execution thereof, be deposited promptly with the Department 
of State of the United States, a true copy of which follows: 
Oct. 14, 1976 
[S.J. Res. 126) 
Oil and gas 
conservation 
compact. 
Extension 
and renewal. 
49 Stat. 939. 
86 Stat. 383. 
89-194 O—78-pt. 2 
57 
90 STAT. 2366 
PUBLIC LAW 94-493—OCT. 14, 1976 
"'AN INTERSTATE COMPACT TO CONSERVE OIL AND 
GAS 
" 'ARTICLE I 
" 'This agreement may become effective within any compacting 
state at any time as prescribed by that state, and shall become effective 
within those states ratifying it whenever any three of the States of 
Texas, Oklahoma, California, Kansas and New Mexico have ratified 
and Congress has given its consent. Any oil-producing state may 
become a party hereto as hereinafter provided. 
" 'ARTICLE II 
" 'The purpose of this compact is to conserve oil and gas by the 
prevention of physical waste thereof from any cause. 
" 'ARTICLE 
III 
" 'Each state bound hereby agrees that within a reasonable time 
it will enact laws, or if the laws have been enacted, then it agrees to 
continue the same in force, to accomplish within reasonable limits 
the prevention of: 
" '(a) The operation of any oil well with an inefficient gas-oil 
ratio. 
" 'The drowning with water of any stratum capable of produc-
ing oil or gas, or both oil and gas, in paying quantities. 
'"(c) The avoidable escape into the open air or the wasteful 
burning of gas from a natural gas well. 
'"(d) The creation of unnecessary fire hazards. 
'"(e) The drilling, equipping, locating, spacing or operating 
of a well or wells so as to bring about physical waste of oil or 
gas or loss in the ultimate recovery thereof. 
" '(f) The inefficient, excessive or improper use of the reseyvoir 
energy in producing any well. 
" 'The enumeration of the foregoing subjects shall not limit the 
scope of the authority of any state. 
" 'ARTICLE 
IV 
" 'Each state bound hereby agrees that it will, within a reasonable 
time, enact statutes, or if such statutes have been enacted then that 
it will continue the same in force, providing in effect that oil produced 
in violation of its valid oil and/or gas conservation statutes or any 
valid rule, order or regulation promulgated thereunder, shall be 
denied access to commerce; and providing for stringent penalties for 
the waste or either oil or gas. 
" 'ARTICLE V 
" 'It is not the purpose of this compact to authorize the states join-
ing herein to limit the production of oil or gas for the purpose of 
stabilizing or fixing the price thereof, or create or perpetuate monop-
oly, or to promote regimentation, but is limited to the purpose of 
conserving oil and gas and preventing the avoidable waste thereof 
within reasonable limitations. 
PUBLIC LAW 94-493—OCT. 14, 1976 
90 STAT. 2367 
" 'ARTICLE VI 
" 'Each state joining herein shall appoint one representative to a 
commission hereby constituted and designated as THE INTER-
STATE OIL COMPACT COMMISSION, the duty of which said 
Commission shall be to make inquiry and ascertain from time to 
time such methods, practices, circumstances, and conditions as may 
be disclosed for bringing about conservation and the prevention o,f 
physical waste of oil and gas, and at such intervals as said Commis-
sion deems beneficial it shall report its findings and recommendations 
to the several states for adoption or rejection. 
" 'The Commission shall have power to recommend the coordina-
tion of the exercise of the police powers of the several states within 
their several jurisdictions to promote the maximum ultimate recovery 
from the petroleum reserves of said states, and to recommend meas-
ures for the maximum ultimate recovery of oil and gas. Said Com-
mission shall organize and adopt suitable rules and regulations for 
' ^ 
the conduct of its business. 
" 'No action shall be taken by the Commission except: (1) By the 
affirmative votes of the majority of the whole number of the compact-
ing states represented at any meeting, and (2) by a concurring vote 
of a majority in interest of the compacting states at said meet--
ing, such interest to be determined as follows: Such vote of each 
state shall be in the decimal proportion fixed by the ratio o.f its daily 
average production during the preceding calendar half-year to the 
daily average production of the compacting states during said period. 
" 'ARIICLE 
VII 
" 'No state by joining herein shall become financially obligated 
to any other state, nor shall the breach of the terms hereof by any 
state subject such state to financial responsibility to the other states 
joining herein. 
" 'ARTICLE VIII 
" 'This compact shall continue in effect until Congress withdraws 
its consent. But any state joining herein may, upon sixty (60) days' 
notice, withdraw herefrom. 
" 'The rej)resentatives of the signatory states have signed this agree-
ment in a single original which shall be deposited in the archives of 
the Department of State of the United States, and a duly certified 
copy shall be forwarded to the governor of each of the signatory states. 
" 'This compact shall become effective when ratified and approved as 
provided in Article I. Any oil-producing state may become a party 
hereto by affixing its signature to a counterpart to be similarly 
deposited, certified, and ratified. 
" 'Done in the City, of Dallas, Texas, this sixteenth day of 
February, 1935.' 
"WHEREAS, the said 'Interstate Compact to Conserve Oil and 
Gas' in its initial form has heretofore been duly renewed and extended 
with the consent of the Congress to September 1,1971; and 
"WHEREAS, it is desired to amend said 'Interstate Compact to 
Conserve Oil and Gas' effective September 1, 1971, and to renew and 
extend said compact as so amended: 
"NOW, THEREFORE, THIS WRITING WITNESSETH: 
"It is hereby agreed that effective September 1, 1971, the Compact 
entitled 'An interstate Compact to Conserve Oil and Gas' executed 
within the City of Dallas, Tex, on the 16th day of February, 1935, 
90 STAT. 2368 
PUBLIC LAW 94-493—OCT. 14, 1976 
and now on deposit with the Department of State of the United States, 
be and the same is hereby amended by amending the first paragraph 
of Article VIII thereof to read as follows: 
" 'This compact shall continue in effect until Congress with-
draws its consent. But any state joining herein may, upon sixty 
(60) days' notice, withdraw herefrom.' 
and that said compact as so amended be, and the same is hereby 
renewed and extended. This agreement shall become effective when 
executed, ratified, and approved as provided in Article I of said 
compact as so amended. 
"The signatory States have executed this agreement in a single 
original which shall be deposited in the archives of the Department 
of State of the United States and a duly certified copy thereof shall 
be forwarded to the Governor of each of the signatory States. Any 
oil-producing state may become a party hereto by executing a counter-
part of this agreement to be similarly deposited, certified, and ratified. 
"Executed by the several undersigned states, at their several state 
capitols, through their proper officials on the dates as shown, as duly 
authorized by statutes and resolutions, subject to the limitations and 
qualifications of the acts of the respective State Legislatures. 
"THE STATE OF ALABAMA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF ALASKA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF ARIZONA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF ARKANSAS 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF COLORADO 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF FLORIDA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
PUBLIC LAW 94-493—OCT. 14, 1976 
90 STAT. 2369 
"THE STATE OF ILLINOIS 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OP INDIANA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF KANSAS 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF KENTUCKY 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF LOUISIANA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF MARYLAND 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF MICHIGAN 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF MISSISSIPPI 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF MONTANA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF NEBRASKA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
90 STAT. 2370 
PUBLIC LAW 94-493~0CT. 14, 1976 
"THE STATE OF NEVADA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF NEW MEXICO 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF NEW YORK 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF NORTH DAKOTA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF OHIO 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF OKLAHOMA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE COMMONWEALTH OF PENNSYLVANIA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of the Commonwealth 
(SEAL) 
"THE STATE OF SOUTH DAKOTA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF TENNESSEE 
By 
. 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
, PUBLIC LAW 94-493—OCT. 14, 1976 
90 STAT. 2371 
"THE STATE OF TEXAS 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF UTAH 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF WEST VIRGINIA 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL) 
"THE STATE OF WYOMING 
By 
, 
Governor 
Dated: 
Attest: 
Secretary of State 
(SEAL)". 
SEC. 2. (a) The Attorney General of the United States shall make Report 
a biennial report to Congress, for the duration of the Interstate Com- ^
^ Congress, 
pact to Conserve Oil and Gas as to whether or not the activities of the 
Interstate Oil Compact Commission and of the States under the provi-
sions of such compact have been consistent veith the purposes as set out 
in Article V of such compact. 
(b) The Attorney General shall also review the activities of any Review; 
advisory committees to the Commission and the States, and not later ^port 
than June 30, 1978, report to Congress as to whether the activities of ^° Congress. 
any such advisory committees could tend to create or maintain situa-
tions inconsistent with the antitrust laws of the United States. 
SEC. 3. The right to alter, amend, or repeal the provisions of the first 
section of this joint resolution is hereby expressly reserved. 
Approved October 14, 1976. 
LEGISLATIVE HISTORY: 
SENATE REPORT No. 94-771 (Comm. on Interior and Insular Affairs). 
CONGRESSIONAL RECORD, Vol. 122 (1976): 
May 3, considered and passed Senate. 
Sept. 29, considered and passed House.