reglab/statecodes huggingface dataset:
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.311 - Public notice

Current through May 31, 2024
Within 10 days after receipt of a complete application for
					 approval of a unit agreement, expansion of an approved unit under
					 11 AAC 83.356, or extension of the
					 unit term under
					 11 AAC 83.336(a) (2), the commissioner will publish notice of
					 the application in a newspaper of general statewide circulation and in a
					 newspaper serving the locality in which the unit or proposed unit is located.
					 In addition, the commissioner will, in his discretion, publish notice by radio,
					 television, or other electronic media. If the unit or proposed unit is within
					 the boundary of an organized borough, municipality, regional corporation, or
					 village corporation organized under Section 8(a) of the Alaska Native Claims
					 Settlement Act, the notice will be mailed to the chief executive officer of the
					 borough or municipality, or designated representative of the corporate entity.
					 The notice also will be mailed to the postmaster of each permanent settlement
					 of more than 25 persons located within six miles of the proposed unit area. In
					 the case of a proposed unit expansion, a copy of the notice will be mailed to
					 the unit operator. The notice will include
(1) the name and address of the applicant,
				  and the location of the unit or proposed unit;
(2) a statement explaining the nature of the
				  approval sought;
(3) a statement
				  indicating where copies of the non-confidential portions of the application may
				  be obtained; and
(4) a statement
				  that any person may file written comments on the application with the
				  commissioner within 30 days after publication of the notice.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.316 - Unit approval

Current through May 31, 2024
(a) Within 60 days after the close of the
				  public comment period required by
				  11 AAC 83.311, the commissioner
				  will issue a written decision approving or disapproving the unit agreement, in
				  which he states the basis for his decision after considering the provisions of
				  11 AAC 83.303.
(b) If the commissioner determines that the
				  provisions of
				  11 AAC 83.303 are not met, the
				  commissioner will, in his discretion, propose modifications which, if accepted
				  by the parties to the proposed unit agreement, would qualify the agreement for
				  approval.
(c) No unit will be
				  approved unless parties to the unit agreement hold sufficient interest in the
				  unit area to give reasonably effective control of operations and at least one
				  lease or portion of a lease in the unit area is a state lease.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.321 - Copies of application required

Current through May 31, 2024
In submitting an application under
					 11 AAC 83.301 -
					 11 AAC 83.395, the applicant must
					 provide five copies of the nonconfidential portions of the pertinent agreement,
					 plan, modification, or other instrument or document for which approval is
					 sought and two copies of any confidential material submitted. 10 copies of unit
					 plans of operations are required for activities within the coastal
					 zone.
Authority:
AS
						38.05.020
AS
						38.05.145
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.326 - Standard unit agreement

Current through May 31, 2024
(a) Except as
				  provided in
				  11 AAC 83.393, and as otherwise
				  provided in this section, a unit agreement must be executed on, or in a manner
				  consistent with, a standard state unit agreement form.
(b) The commissioner will allow a
				  modification of the standard state unit agreement form, upon request by the
				  unit applicant, when the commissioner determines that the modification is
				  reasonably required to meet the needs and requirements of the particular unit
				  considering the facts and conditions found to exist with respect to that unit,
				  and the proposed modification meets the provisions of
				  11 AAC 83.303. The commissioner
				  will require a modification of the standard state unit agreement form if
				  required to meet the provisions of
				  11 AAC 83.303. Any request by the
				  unit applicant for modification of the standard state unit agreement form must
				  be made in writing not later than the time an application is submitted for
				  approval under
				  11 AAC 83.306 and must include an
				  explanation of proposed modifications.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.328 - Parties

Current through May 31, 2024
(a) The record owners of any right, title or
				  interest in the oil or gas reservoirs or potential hydrocarbon accumulations to
				  be included in a unit are the proper parties to the unit agreement. All proper
				  parties must be invited to join the unit agreement.
(b) Where authorized by lease, the
				  commissioner will, in his discretion, require a state lessee or any assignee of
				  interest in a state lease to subscribe to a unit agreement.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.331 - Unit operator

Current through May 31, 2024
(a) A unit operator must be qualified to hold
				  a lease as provided in
				  11 AAC 82.200 -
				  11 AAC 82.205, and must be
				  qualified to fulfill the duties and obligations prescribed in the unit
				  agreement.
(b) The unit operator
				  may be a working-interest owner in the unit area or may be a party selected by
				  the working-interest owners.
(c) No
				  designation or change of the unit operator becomes effective until approved by
				  the commissioner. The commissioner will approve or disapprove a proposed change
				  of the unit operator within 30 days after receipt of request and will explain
				  in writing his basis for disapproval.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.336 - Effective date and term of unit agreement

Current through May 31, 2024
(a) A unit
				  agreement becomes effective upon approval by the commissioner and automatically
				  terminates five years from the effective date unless
(1) a unit well in the unit area has been
				  certified as capable of producing hydrocarbons in paying quantities, in which
				  case the unit agreement will remain in effect for so long as hydrocarbons are
				  produced in paying quantities from the unit area, or for so long as
				  hydrocarbons can be produced in paying quantities and unit operations are being
				  conducted in accordance with an approved unit plan of exploration or
				  development, or, should production cease, for so long after that as diligent
				  operations are in progress to restore production and then so long after that as
				  unitized substances are produced in paying quantities; or
(2) exploration operations have been
				  conducted in accordance with an approved unit plan of exploration, and the
				  commissioner, after issuing written notice under
				  11 AAC 83.311, issues a written
				  decision extending the unit term in which he states the basis for his decision,
				  considering the provisions of
				  11 AAC 83.303; no single extension
				  will exceed five years.
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.341 - Unit plan of exploration

Current through May 31, 2024
(a) Unless a unit
				  plan of development is filed under
				  11 AAC 83.343, a unit plan of
				  exploration must be filed for approval by the commissioner as an exhibit to the
				  unit agreement under
				  11 AAC 83.306. The plan must
				  describe the applicant's proposed exploration activities, including the
				  bottom-hole locations and depths of proposed wells, and the estimated date
				  drilling will commence. All exploration operations must be conducted under an
				  approved plan of exploration. The commissioner will approve a unit plan of
				  exploration if it complies with the provisions of
				  11 AAC 83.303. If the proposed
				  unit plan of exploration is disapproved, the commissioner will, in his
				  discretion, propose modifications which, if accepted by the unit operator,
				  would qualify the plan for approval.
(b) The unit plan of exploration must be
				  updated and submitted to the commissioner for approval at least 60 days before
				  the expiration date of the previously approved plan, as set out in that plan.
				  The update must describe the extent to which requirements of the previously
				  approved plan were achieved; if actual operations deviated from or did not
				  comply with the previously approved plan, an explanation of the deviation or
				  noncompliance must be included in the update. Within 10 days after receipt of
				  an updated plan of exploration, the commissioner will inform the unit operator
				  as to whether a proposed unit plan of exploration is complete. After the
				  commissioner has determined that a unit plan of exploration is complete, as
				  submitted or modified by the unit operator following the commissioner's
				  suggestions, the commissioner will have an additional 30 days in which to
				  approve or disapprove the plan; if no action is taken by the commissioner, the
				  unit plan of exploration is approved.
(c) The commissioner will approve an update
				  of the unit plan of exploration if it complies with the provisions of
				  11 AAC 83.303. If the proposed
				  update of a unit plan of exploration is disapproved, the commissioner will, in
				  his discretion, propose modifications which, if accepted by the unit operator,
				  would qualify the plan for approval.
(d) The unit operator shall submit an annual
				  report to the commissioner describing the operations conducted under the unit
				  plan of exploration during the preceding year.
(e) The unit operator may, with the approval
				  of the commissioner, amend an approved plan of exploration.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.343 - Unit plan of development

Current through May 31, 2024
(a) A unit plan of
				  development must be filed for approval as an exhibit to the unit agreement if a
				  participating area is proposed for the unit area under
				  11 AAC 83.351, or when a reservoir
				  has become sufficiently delineated so that a prudent operator would initiate
				  development activities in that reservoir. All development operations must be
				  conducted under an approved plan of development. A unit plan of development
				  must contain sufficient information for the commissioner to determine whether
				  the plan is consistent with the provisions of
				  11 AAC 83.303. The plan must
				  include a description of the proposed development activities based on data
				  reasonably available at the time the plan is submitted for approval as well as
				  plans for the exploration or delineation of any land in the unit not included
				  in a participating area. The plan must include, to the extent available
				  information exists
(1) long-range proposed
				  development activities for the unit, including plans to delineate all
				  underlying oil or gas reservoirs, bring the reservoirs into production, and
				  maintain and enhance production once established;
(2) plans for the exploration or delineation
				  of any land in the unit not included in a participating area;
(3) details of the proposed operations for at
				  least one year following submission of the plan; and
(4) the surface location of proposed
				  facilities, drill pads, roads, docks, causeways, material sites, base camps,
				  waste disposal sites, water supplies, airstrips, and any other operation or
				  facility necessary for unit operations.
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.346 - Unit plan of operations

Current through May 31, 2024
(a) Except as
				  provided in (b) of this section, a unit plan of operations for all or part of
				  the unit area must be approved by the commissioner before any operations may be
				  undertaken on or in the unit area.
(b) A unit plan of operations will not be
				  required by the commissioner for activities that would not require a land use
				  permit under this title.
(c) Before
				  undertaking operations on or in the unit area, the unit operator shall provide
				  for full payment of all damages sustained by the owner of the surface estate as
				  well as by the surface owner's lessees and permittees, by reason of entering
				  the land.
(d) An application for
				  approval of a plan of operations must contain sufficient information, based on
				  data reasonably available at the time the plan is submitted for approval, for
				  the commissioner to determine the surface use requirements and impacts directly
				  associated with the proposed operations. An application must include
				  statements, and maps or drawings, setting out the following:
(1) the sequence and schedule of the
				  operations to be conducted on or in the unit area, including the date
				  operations are proposed to begin and their proposed duration;
(2) projected use requirements directly
				  associated with the proposed operations, including but not limited to the
				  location and design of well sites, material sites, water supplies, solid waste
				  sites, buildings, roads, utilities, airstrips, and all other facilities and
				  equipment necessary to conduct the proposed operations;
(3) plans for rehabilitation of the affected
				  unit area after completion of operations or phases of those operations;
				  and
(4) a description of operating
				  procedures designed to prevent or minimize adverse effects on other natural
				  resources and other uses of the unit area and adjacent areas, including fish
				  and wildlife habitats, historic and archeological sites, and public use
				  areas.
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.351 - Participating area

Current through May 31, 2024
(a) At least 90 days before sustained unit
				  production from a reservoir, the unit operator shall submit to the commissioner
				  for approval a description of the proposed participating area, based on
				  subdivisions of the public land or its aliquot parts. The participating area
				  may include only the land reasonably known to be underlain by hydrocarbons and
				  known or reasonably estimated through use of geological, geophysical, or
				  engineering data to be capable of producing or contributing to production of
				  hydrocarbons in paying quantities. If any portion of a lease is included in a
				  participating area formed under a unit agreement, the entire leased land will
				  be committed to the unit and the lease will not be severed. Under
				  11 AAC 83.371(a),
				  the unit operator also shall submit to the commissioner for approval of a
				  proposed division of interest or formula setting out the percentage of
				  production and costs to be allocated to each lease or portion of lease within
				  the participating area. Upon approval by the commissioner, the area of
				  productivity constitutes a participating area.
(b) A separate participating area must be
				  established as provided in (a) of this section for each reservoir delineated,
				  except that with the consent of the commissioner and all working interest
				  owners, any two or more reservoirs or participating areas within the unit may
				  be combined into one participating area. Separate participating areas may be
				  established to distinguish between an oil rim and a gas cap within the same
				  reservoir.
(c) A participating area
				  must be expanded to include acreage reasonably estimated through use of
				  geological, geophysical, or engineering data to be capable of producing or
				  contributing to the production of hydrocarbons in paying quantities, and must
				  be contracted to exclude acreage reasonably proven through use of geological,
				  geophysical, or engineering data to be incapable of producing hydrocarbons in
				  paying quantities, subject to approval by the commissioner. A revised division
				  of interest or formula allocating production and costs must be submitted for
				  approval under
				  11 AAC 83.371 at the time of
				  expansion or contraction of a participating area.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.356 - Unit area; contraction and expansion

Current through May 31, 2024
(a) A unit must
				  encompass the minimum area required to include all or part of one or more oil
				  or gas reservoirs, or all or part of one or more potential hydrocarbon
				  accumulations.
(b) 10 years after
				  sustained unit production begins, the unit area must be contracted to include
				  only those lands then included in an approved participating area and lands that
				  facilitate production including the immediately adjacent lands necessary for
				  secondary or tertiary recovery, pressure maintenance, reinjection, or cycling
				  operations. The commissioner will, in the commissioner's discretion, after
				  considering the provisions of
				  11 AAC 83.303, delay contraction
				  of the unit area if the circumstances of a particular unit warrant. If any
				  portion of a lease is included in the participating area, the portion of the
				  lease outside the participating area will neither be severed nor will it
				  continue to be subject to the terms and conditions of the unit. The portion of
				  the lease outside the participating area will continue in full force and effect
				  so long as production is allocated to the unitized portion of the lease and the
				  lessee satisfies the remaining terms and conditions of the lease.
(c) Any expansion or contraction of the unit
				  area must be based on legal subdivisions of land as defined in
				  11 AAC 88.185.
(d) No land will be excluded from a unit area
				  due to the depletion of hydrocarbons.
(e) Not sooner than 10 years after the
				  effective date of the unit agreement, the commissioner will, in the
				  commissioner's discretion, contract the unit area to include only that land
				  covered by an approved unit plan of exploration or development, or that area
				  underlain by one or more oil or gas reservoirs or one or more potential
				  hydrocarbon accumulations and lands that facilitate production as set out in
				  (b) of this section. Before any contraction of the unit area under this
				  subsection, the commissioner will give the unit operator, the working interest
				  owners, and the royalty owners of the leases or portions of leases being
				  excluded reasonable notice and an opportunity to be heard.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.361 - Certification of well test results

Current through May 31, 2024
For the purposes of
					 11 AAC 83.301 -
					 11 AAC 83.395, a well will be
					 considered capable of producing hydrocarbons in paying quantities, as defined
					 in 11 AAC 83.395, when so certified
					 by the commissioner following application by the lessee or unit operator. The
					 commissioner will require the submission of data necessary to make the
					 certification, including all results of the flow test or tests, supporting
					 geological data, and cost data reasonably necessary to show that the production
					 capability of the well satisfies the economic requirements of the paying
					 quantities definition.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.366 - Unit operating agreement

Current through May 31, 2024
Any revision of the unit operating agreement must be
					 submitted to the commissioner before it takes effect. The unit agreement
					 controls the respective rights and obligations of the unit operator, the
					 working-interest owners, the State of Alaska, and royalty interest owners other
					 than the State of Alaska in case of conflict between the unit agreement and the
					 unit operating agreement. Where conflicts exist solely between working-interest
					 owners, the unit operating agreement shall control.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.371 - Allocation of production and costs

Current through May 31, 2024
(a) The proposed or
				  revised division of interest or formula allocating hydrocarbon production and
				  unit operating costs among the leases in the unit area may not take effect
				  until approved by the commissioner in writing. When requested by the
				  commissioner, the lessees or unit operator shall promptly file with the
				  commissioner all data that relates to the proposed or revised division of
				  interests or allocation formula for all leases in the participating area.
				  Before any disapproval of the proposed or revised division of interest or
				  allocation formula, the commissioner will give the working interest and royalty
				  owners reasonable notice and an opportunity to be heard. After the hearing, the
				  commissioner will approve the proposed or revised division of interest or
				  allocation formula as submitted unless the commissioner finds in writing that
				  the formula does not equitably allocate production and costs among the
				  leases.
(b) If there is a separate
				  division of interest or allocation formula among any of the parties holding an
				  interest in the unit that is different from the division of interest or
				  allocation formula approved by the commissioner, the parties to the separate
				  division of interest or allocation formula not approved by the commissioner
				  shall submit a copy of that formula to the commissioner and a statement
				  explaining the reasons for the difference.
Authority:
AS
						38.05.120
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.373 - Severance

Current through May 31, 2024
(a) Except as otherwise provided in this
				  section and
				  11 AAC 83.356, where only a
				  portion of a lease is committed to a unit agreement approved or prescribed by
				  the commissioner, the commitment constitutes a severance of the lease as to the
				  unitized and nonunitized portions of the lease. The portion of the lease not
				  committed to the unit will be treated as a separate and distinct lease having
				  the same effective date and term as the original lease and may be maintained
				  thereafter only in accordance with the terms and conditions of the original
				  lease, statutes, and regulations. Any portion of the lease not committed to the
				  unit agreement will not be affected by the unitization or pooling of any other
				  portion of the lease by operations in the unit, or by suspension approved or
				  ordered for the unit under
				  11 AAC 83.336(b).
(b) The commissioner will, in his discretion,
				  grant up to a two-year extension of the lease term for that portion of a lease
				  not committed to the unit agreement under this section.
(c) A lease having a well certified as
				  capable of production in paying quantities before commitment to the unit
				  agreement will not be severed.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.374 - Default

Current through May 31, 2024
(a) Failure to comply with any of the terms
				  of an approved unit agreement, including any plans of exploration, development,
				  or operations which are a part of the unit agreement, is a default under the
				  unit agreement.
(b) The
				  commissioner will give notice to the unit operator and defaulting party (if
				  other than the unit operator) of the default. The notice will state the nature
				  of the default and include a demand to cure the default by a specific date,
				  which in the case of failure to pay rentals or royalties will be a date
				  determined by the commissioner and in the case of any other default will be a
				  date not less than 90 days after the date of the commissioner's notice of
				  default.
(c) If a default occurs
				  with respect to a unit in which there is no well capable of producing oil or
				  gas in paying quantities and the default is not cured by the date indicated in
				  the demand, the commissioner will, in his discretion, and after giving the unit
				  operator and defaulting party (if other than the unit operator) reasonable
				  notice and opportunity to be heard, terminate the unit agreement by mailing
				  notice of the termination to the unit operator and defaulting party.
				  Termination is effective upon mailing the notice.
(d) If a default occurs with respect to a
				  unit in which there is a well capable of producing oil or gas in paying
				  quantities and the default is not cured by the date indicated in the demand,
				  the commissioner will, in his discretion, seek to terminate the unit agreement
				  by judicial proceedings.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.379 - Signatures

Current through May 31, 2024
Each signature on the unit agreement must be notarized or
					 attested by at least two witnesses. Corporate or other signatures made in a
					 representative capacity must be accompanied by evidence of the authority of the
					 signatory to act on behalf of the principal or by a reference to such evidence
					 previously filed. The printed or typed name and address of each signatory to
					 the unit agreement must be set out below the signature.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.380 - Counterparts

Current through May 31, 2024
The parties may execute any number of counterparts of a
					 unit agreement or may execute a ratification, joinder, or consent in a separate
					 instrument. These documents have the same effect as if all parties signed the
					 same instrument.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.383 - Notation of approval

Current through May 31, 2024
If approved by the commissioner, the counterparts of each
					 instrument or document submitted for approval will be returned to the applicant
					 with the commissioner's approval noted on the approved
					 counterparts.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.385 - Modification of unit agreement

Current through May 31, 2024
Any modification of an approved unit agreement is subject
					 to the commissioner's approval.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.390 - Unit bonds

Current through May 31, 2024
In place of separate bonds required for each lease
					 committed to a unit agreement, the unit operator shall furnish and maintain a
					 statewide oil and gas lease bond under
					 11 AAC 83.160.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.393 - Approval of federal and private party units

Current through May 31, 2024
(a) If the State of
				  Alaska selects or otherwise acquires any federal land which, at the effective
				  date of selection or acquisition, is subject to a federal oil and gas lease
				  which is committed to a unit agreement that has been approved in accordance
				  with federal laws and regulations, the unit agreement will be considered to
				  have been approved by the commissioner for all the purposes of AS 38.05 and
				  11 AAC 83.301 - AAC
				  83.395.
(b) The commissioner will,
				  in his discretion, enter into agreements with the federal government to provide
				  for unitization of state and federal oil and gas leases overlying a common
				  reservoir. If the agreement permits or requires the commissioner to take any
				  action or enter into any unit agreement which is contrary to or inconsistent
				  with 11 AAC 83.301 -
				  11 AAC 83.395, the commissioner
				  will, in his discretion, do so after making a written finding that his action
				  or the unit agreement is necessary or advisable to protect the public interest,
				  and will, in all cases, comply with the requirements of
				  11 AAC 83.303 and
				  11 AAC 83.311.
(c) Any person owning an interest in a state
				  oil and gas lease who has been asked to join a unit in which all state leases
				  proposed to be committed to the unit constitute not more than 10 percent of the
				  surface acreage of the unit or not more than five percent of the initial
				  participation in the unit may request approval of the commissioner to join the
				  unit as a working interest owner and may also request that the commissioner
				  join the unit as a royalty owner. The commissioner will, in his discretion,
				  approve and join the unit agreement as a royalty owner if, after giving public
				  notice in accordance with
				  11 AAC 83.311, he makes written
				  finding that the proposed unit is necessary or advisable to protect the public
				  interest considering the criteria in
				  11 AAC 83.303. A unit agreement
				  entered into under this section need not comply with the requirements of this
				  chapter.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 3 - Unitization › 11 AAC 83.395 - Definitions

Current through May 31, 2024
Unless the context clearly requires a different meaning, in
					 11 AAC 83.301 -
					 11 AAC 83.395 and in the
					 applicable unit agreements
(1)
				  "conservation of the natural resources of all or part of an oil or gas pool,
				  field or like area" means maximizing the efficient recovery of oil and gas and
				  minimizing the adverse impacts on the surface and other resources;
(2) "commissioner" means the commissioner of
				  the state Department of Natural Resources or his designee;
(3) "force majeure" means war, riots, acts of
				  God, unusually severe weather, or any other cause beyond the unit operator's
				  reasonable ability to foresee or control and includes operational failure to
				  existing transportation facilities and delays caused by judicial decisions or
				  lack of them;
(4) "paying
				  quantities" means quantities sufficient to yield a return in excess of
				  operating costs, even if drilling and equipment costs may never be repaid and
				  the undertaking considered as a whole may ultimately result in a loss;
				  quantities are insufficient to yield a return in excess of operating costs
				  unless those quantities, not considering the costs of transportation and
				  marketing, will produce sufficient revenue to induce a prudent operator to
				  produce those quantities;
(5)
				  "potential hydrocarbon accumulation" means any structural or stratigraphic
				  entrapping mechanism which has been reasonably defined and delineated through
				  geophysical, geological, or other means and which contains one or more
				  intervals, zones, strata, or formations having the necessary physical
				  characteristics to accumulate and prevent the escape of oil and gas;
(6) "reservoir" means an oil or gas
				  accumulation which has been discovered by drilling and evaluated by testing and
				  which is separate from any other accumulation of oil and gas;
(7) "unit" means a group of leases covering
				  all or part of one or more potential hydrocarbon accumulations, or all or part
				  of one or more adjacent or vertically separate oil or gas reservoirs, which are
				  subject to a unit agreement;
(8)
				  "unit agreement" means the agreement executed by the State of Alaska,
				  working-interest owners, and royalty owners creating the unit; and
(9) "sustained unit production" means
				  continuing production of oil or gas from a reservoir in the unit area into a
				  pipeline or other means of transportation to market, but does not include
				  testing, evaluation, or pilot production.
Authority:
AS
						38.05.020
AS 38.05.145
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 4 - Communitization and Drilling and Development Contracts › 11 AAC 83.400 - Applications

Current through May 31, 2024
Applications for approval of a communitization or drilling
					 agreement under AS 38.05.180(s) or drilling or development contracts under AS
					 38.05.180(t) must comply with 11 AAC 88.105 and must be accompanied by three
					 signed copies of the proposed agreement if necessary.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 5 - Underground Storage › 11 AAC 83.500 - Qualifications to hold storage lease

Current through May 31, 2024
A storage lease authorized by
					 AS
					 38.05.180(u) may be issued
					 to any person qualified to hold an oil and gas lease, whether or not the person
					 holds an oil and gas lease on all or part of the land covered by the storage
					 lease.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
AS
						38.05.180(u)
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 5 - Underground Storage › 11 AAC 83.505 - Storage lease restrictions

Current through May 31, 2024
A storage lease issued under
					 AS
					 38.05.180(u)
(1) does not give the storage lessee any
				  right to drill for, develop, produce, extract, remove, or market oil, gas or
				  other natural resources in and from the land covered by the storage lease other
				  than oil or gas or both in an amount not greater than the amount of oil or gas
				  both introduced into that land for storage;
(2) does not prohibit the state from issuing
				  oil and gas leases to others covering all or portions of the land covered by
				  the storage lease;
(3) must contain
				  conditions that will prevent unnecessary or unreasonable interference with the
				  rights and operations under any oil and gas lease, including conditions
				  prohibiting the storage of oil or gas in any reservoir capable of producing oil
				  or gas in paying quantities without the consent of the holder of any oil and
				  gas lease covering the reservoir;
(4) must contain a damage provision as stated
				  in sec. 160 of this chapter and the reservations provided for in sec. 155 of
				  this chapter;
(5) must provide for
				  a storage fee or rental on stored oil or gas or both, as determined by the
				  commissioner;
(6) must specify its
				  terms; and
(7) must contain any
				  other provision that the commissioner considers reasonable and necessary to
				  protect the interests of Alaska.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
AS
						38.05.180(u)
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 5 - Underground Storage › 11 AAC 83.510 - Lieu royalty

Current through May 31, 2024
In cases where the storage lessee also holds the right to
					 produce oil or gas not previously produced in conjunction with stored oil or
					 gas, the storage lease may, in place of the fee or rental provided for under
					 sec. 505(5) of this chapter, provide for a royalty upon stored oil or gas when
					 produced. The royalty rate may be the same as or different from the royalty
					 rate or rates provided for in any oil and gas leases involved. If the rate is
					 different from the rate or rates in the oil and gas lease or leases, the
					 storage lease must specify whether or not that different rate applies to oil or
					 gas not previously produced and thereafter produced in conjunction with stored
					 oil or gas. If the different rate is to apply, the royalty rate or rates under
					 the oil and gas lease or leases must be modified with respect to oil or gas so
					 produced. If the different rate is not to apply, the storage lease must specify
					 a reasonable method for determining respective portions of production to which
					 the different royalty rates apply.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
AS
						38.05.180
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 5 - Underground Storage › 11 AAC 83.515 - Term of affected oil and gas leases

Current through May 31, 2024
Where the storage lessee also holds the right to produce
					 oil or gas not previously produced in conjunction with stored oil or gas, any
					 lease covering the oil or gas not previously produced shall be extended for the
					 period of storage and so long thereafter as oil or gas is produced in paying
					 quantities from the zones or geologic horizons used for that
					 storage.
Authority:
AS
						38.05.020
AS
						38.05.180(r)
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 5 - Underground Storage › 11 AAC 83.520 - Applications for storage lease

Current through May 31, 2024
Applications for storage leases must comply with
					 11 AAC 88.105 and be accompanied
					 by
(1) three copies of a proposed form
				  of storage lease if necessary; and
(2) supporting data demonstrating the
				  feasibility of the proposed storage project.
Authority:
AS
						38.05.020
AS
						38.05.145
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 6 - Federal Leases and Preference Rights on Alaska Lands › 11 AAC 83.600 - Date of transfer - Uplands and shorelands

Current through May 31, 2024
The effective date of the transfer of the lessor's interest
					 under leases transferred from the United States to Alaska is the effective date
					 of patent, or the date on which the land subject to the leases is transferred
					 from the United States to Alaska, whichever is applicable.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
AS
						38.05.180(o)
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 6 - Federal Leases and Preference Rights on Alaska Lands › 11 AAC 83.605 - Notice of patent

Current through May 31, 2024
Promptly upon receipt of a lease from the federal
					 government, the commissioner will mail notice to the lessee of record and to
					 any operator whose operating agreement has been approved, stating the effective
					 date of the patent and that all payments accruing after that effective date
					 must be made as directed by the commissioner.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 6 - Federal Leases and Preference Rights on Alaska Lands › 11 AAC 83.615 - Substitution of lessor

Current through May 31, 2024
Upon the transfer of a federal lease to the state, Alaska
					 succeeds as the lessor, and all obligations accruing after that date are owed
					 to Alaska, and all payments, reports, notices, applications, and similar
					 matters required or permitted under the lease must, after that date, be
					 addressed as directed by the commissioner. The commissioner is authorized to
					 enforce all obligations, give all notices, make all determinations and do all
					 other things that any officer or representative of the United States could do
					 if the lease remained a federal lease.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
AS
						38.05.180(o)
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 6 - Federal Leases and Preference Rights on Alaska Lands › 11 AAC 83.620 - Rental payment

Current through May 31, 2024
The failure to timely pay rental to Alaska for the first
					 and second lease years commencing after the effective date of the transfer of
					 the lease to Alaska does not terminate the lease if the rental payment was made
					 to the United States within the time allowed, and either the payment is
					 transmitted to Alaska by the United States or the lessee makes payment to
					 Alaska within 30 days after receiving written notice demanding the
					 payment.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 6 - Federal Leases and Preference Rights on Alaska Lands › 11 AAC 83.625 - Shorelands preference rights: general

Current through May 31, 2024
For the purposes of AS 38.05, "shorelands" means that land
					 belonging to the State of Alaska which is covered by nontidal waters that are
					 navigable under the laws of the United States up to the ordinary high water
					 mark, as modified by accretion, erosion, or reliction before September 5, 1974
					 or after September 4, 1974. This land does not include tideland which is
					 periodically covered by tidal waters between the elevation of mean high and
					 mean low tides, nor does it include submerged land, bays, or estuaries that are
					 subject to the ebb and flow of the tide.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
AS
						38.05.180(o)
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 6 - Federal Leases and Preference Rights on Alaska Lands › 11 AAC 83.630 - Shorelands preference rights: lease application

Current through May 31, 2024
(a) After
				  determination of navigability, the holder of a federal or private upland lease,
				  on his own motion or within 30 days from receipt of notice from the
				  commissioner, may apply for and will be issued a State of Alaska lease covering
				  any land within the exterior boundaries of the federal or private lease which
				  has been excluded from the lease on the basis of navigability. The term of the
				  State of Alaska lease will conform to the primary term of the federal or
				  private lease giving rise to the preference right, including any extended term
				  of it.
(b) No attempt to segregate
				  the shoreland preference right from the federal or private lease by assignment
				  will be approved by the commissioner. If a partial assignment of the federal or
				  private lease is made, the shoreland within the section or aliquot part of the
				  section is subject to the assignment.
Authority:
AS
						38.05.020
AS
						38.05.145(a)
AS
						38.05.180(o)
Alaska Administrative Code › Title 11 - Natural Resources › Part 6 - Lands › Chapter 83 - Oil and Gas Leasing › Article 7 - Work Commitment › 11 AAC 83.700 - Work commitment

Current through May 31, 2024
(a) If a work commitment is a condition of a
				  lease, the terms of the work commitment will be specified in the notice of
				  sale. The work commitment will state the minimum requirement for exploration
				  and development on each lease. The lessee shall file reports with the
				  commissioner substantiating adherence to the work commitment terms.
(b) The commissioner will, in his or her
				  discretion, alter or abrogate the terms of the work commitment if the lessee
				  demonstrates to the satisfaction of the commissioner that the lease will be
				  unproductive or uneconomic under the terms of the work commitment.
(c) The commissioner will abrogate a work
				  commitment if the lessee relinquishes the lease.
(d) The commissioner will, in his or her
				  discretion, grant a single waiver of any term of a work commitment imposed on a
				  lease under (a) of this section for a period not to exceed two years if the
				  commissioner makes a written finding that conditions preventing fulfillment of
				  the work commitment were beyond the lessee's reasonable ability to foresee or
				  control. The commissioner will consider the following factors when determining
				  whether the conditions preventing fulfillment of the work commitment were
				  beyond the lessee's reasonable ability to foresee or control:
(1) the lessee's statement of the conditions
				  that prevented fulfillment of the work commitment;
(2) the lessee's explanation of how those
				  conditions prevented fulfillment of the work commitment;
(3) the lessee's explanation of how and why
				  the lessee did not foresee or failed to avoid the conditions that prevented
				  fulfillment of the work commitment;
(4) the lessee's explanation of why the
				  conditions that prevented fulfillment of the work commitment were beyond the
				  lessee's reasonable control;
(5)
				  the lessee's plans to remedy the conditions that prevented fulfillment of the
				  work commitment during the initial term of the work commitment;
(6) the lessee's plans to fulfill the terms
				  of the work commitment during the term of the waiver; and
(7) other relevant information.