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Oil and Gas Act

New Mexico · Oil and Gas · §§ 70-2-1 to 70-2-9 · 43 sections

Overview

The act governs the exploration for and production of oil and gas, subjecting the drilling, operation, and eventual abandonment of wells to administrative regulation and declaring waste of those resources unlawful. It establishes a permitting system — with application and annual per-well fees, permit terms that lapse if drilling does not begin, well-spacing rules, and requirements for plugging dry or abandoned holes and restoring the site — administered by a state department advised by a board drawn largely from the oil and gas industry, backed by a dedicated fund that pays for remedial plugging when an operator fails to perform. It also provides for compulsory integration of separately owned interests within a drilling unit and for unitized field operations after notice and public hearing, and addresses protection of workable coal seams, liability for damages and future remedial work, supplemental enforcement remedies, and judicial review of the agency's final decisions.

Editorial summary generated from the text of this act. It is not part of the statute — read the sections below for the operative language.

In the courts

Sections of this act have been cited in 8 court decisions.

Most-cited authority: 418 S.W.2d 123 - Anderson v. Boone County Abstract Company

Sections covered

Enacted in other states

Illinois

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