43 CFR 3162.2-3: -3 When am I responsible for protecting my Federal or Indian lease from drainage?
Where this section sits in the code
- Title 43—Public Lands: Interior
- Subtitle B—Regulations Relating to Public Lands
- CHAPTER II—BUREAU OF LAND MANAGEMENT, DEPARTMENT OF THE INTERIOR
- SUBCHAPTER C—MINERALS MANAGEMENT (3000)
- PART 3160—ONSHORE OIL AND GAS OPERATIONS
- Subpart 3162—Requirements for Operating Rights Owners and Operators
You must protect your Federal or Indian lease from drainage if your lease is being drained of mineral resources by a well:
(a) Producing for the benefit of another mineral owner;
(b) Producing for the benefit of the same mineral owner but with a lower royalty rate; or
(c) Located in a unit or communitization agreement, which due to its Federal or Indian mineral owner's allocation or participation factor, generates less revenue for the United States or the Indian mineral owner for the mineral resources produced from your lease.
Collected 2026-08-27T02:26:15Z. Source file · JSON