Statutes, codes, and regulations
Oklahoma Administrative Code
Title 725 - Oklahoma Tourism and Recreation DepartmentChapter 30 - Division of State Parks
Subchapter 23 - Mineral Leases and Operations
Section 725:30-23-4 - Rules and regulations

Okla. Admin. Code § 725:30-23-4

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Current through Vol. 42, No. 3, October 15, 2024
Section 725:30-23-4 - Rules and regulations

The rights and responsibilities of the mineral lessee shall be governed by the lease document and the following rules and regulations.

(1) All pipelines, except those that are used exclusively in lease operations, must be covered by a Permit. Applications for pipeline permits must include a plat of pipeline, drawn to scale, in triplicate.
(2) All pipelines, as to location and depth, must be approved by the Department.
(3) Within thirty (30) days of the completion of a producing oil and gas well, a sign shall be posted showing the name and number of the well and the legal description.
(4) On or before the last day of the month following the month of production, the lessee must file a sworn monthly report of oil produced and sold from the leased premises. This report will be filed with the Department.
(5) On or before the last day of the month following the month of production, the lessee must file a sworn monthly report of gas and casinghead gas produced and sold from the leased premises. This report must be filed with the Department and must be complete in detail.
(6) Prior to the commencement of operation, notice shall be given to the Department of intention to drill or recomplete any well, the name and number of the well, the approximate date operations will begin, and the estimated depth.
(7) Notice of intention to plug must be filed with the Department at least five (5) days prior to plugging any oil or gas well. A copy of the plugging record shall be filed with the Department within thirty (30) days of the completion of plugging operations.
(8) The lessee shall file and annual summary of lease operations on or before the first day of March. This report shall be filed with the Department and covers operations on producing leases for the previous calendar year.
(9) The Department may require special reports pertaining to production or operation of a state lease. Upon request, the lessee shall promptly submit the required reports.
(10) Within thirty (30) days after completion or recompletion of any well, a completion report shall be filed with the Department. This report shall be on the form prescribed by the Oklahoma Corporation Commission and shall be signed and sworn to by the lessee or his authorized representative. In addition to the above report, the lessee, upon request, shall furnish to the Department a copy of any electric or other log runs on this well.
(11) All lessees shall abide by the environmental regulations that are included in the lease agreement.
(12) All lessees must post a performance bond, in the amount requested by the Department, to cover the following agreements with the Department: oil and gas lease, salt water disposal lease, and seismic exploration agreement.
(A) Bonds will be released upon written request of the lessee or bonding company if liability is terminate.
(B) All surety bonds must be made by a company authorized to do business in the State of Oklahoma.
(C) Each assignment must be accompanied by a performance bond in accordance with the Department's bond schedule, with the assignee as principal.
(D) No assignment of a state lease will be valid or vest any interest in the assignee until the same is approved in writing by the Department.
(E) Assignments of state leases may be made on any assignment form in general use in the oil and gas industry and may convey a subdivision.
(F) All assignments presented for approval which are subject to other agreements must be accompanied by a copy of such other agreement.
(G) Assignments or grants of overriding royalty do not require approval of the Department.
(13) All lease forms used in the sale of oil and gas leases shall be provided by the Department upon request.
(14) Nothing in these rules and regulations shall be construed as excepting lessees from other applicable state and federal laws, and receipt of certification of non-compliance from responsible agencies may result in the suspension of the lease.
(15) The lessee shall be liable for violation of any of the provisions herein set forth and shall make full restitution to the Department for such damages. Such damages shall be determined by the Department with the assistance of other agencies of state government.
(16) The lessee may be required to screen the mineral operation from access or viewing of the public. Such screening may include, but is not limited to fencing, berms, painting of the equipment or other actions as identified by the Department.

Okla. Admin. Code § 725:30-23-4

Added at 20 Ok Reg 2645, eff 6-4-03 through 7-14-04 (emergency)1; Added at 22 Ok Reg 2659, eff 7-11-05
Amended by Oklahoma Register, Volume 39, Issue 24, September 1, 2022, eff. 9/11/2021
1This emergency action expired without being superseded by a permanent action. Upon expiration of an emergency action enacting a new Section, the Section is no longer effective. Therefore, on 7-15-04 (after the 7-14-04 expiration of this emergency action), Section 735:30-23-4 was no longer effective, and remained as such until added by permanent action on 7-11-05.