{"data":{"id":"us-ok/okla.-stat.-tit.-52-52-570.8","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 52, § 52-570.8","heading":"Working interest owner's statement to operator -","body":"Nomination of gas for producing owner's account - Producing owner's\n\nreport - Gas meter owner's statement - First purchaser's or\n\nshipper's statement - Records to be maintained - Operator's rights\n\nand remedies for noncompliance - Elections and notices - Other\n\nremedies.\n\nA. Within sixty (60) days after receiving a written request\n\nfrom the operator, each working interest owner in a well producing\n\ngas shall furnish or cause to be furnished to the operator a written\n\nstatement showing the name, address, royalty interest, taxpayer\n\nidentification number and payment status of owners of royalty\n\ninterest to which such working interest is subject. Thereafter,\n\neach working interest owner shall furnish or cause to be furnished\n\nto the operator a written statement showing:\n\n1. Changes in the above specified information within sixty (60)\n\ndays of receipt of notification thereof; or\n\n2. Changes in its working interests within sixty (60) days of\n\nthe receipt of notice of the change.\n\nB. Each producing owner of gas from a well shall provide to the\n\noperator no later than five (5) business days prior to the month in\n\nwhich the nomination is to be effective, but earlier if required by\n\nthe first purchaser or transporter, the name of the first purchaser\n\nor shipper and the volumes of gas nominated for production for such\n\nproducing owner's account. The term \"shipper\", as used in this\n\nsection, shall include any entity who contracts with a transporter\n\nto move gas through the transporter's system. The owner of the gas\n\nmeter shall confirm all nominations with the operator of the well no\n\nlater than the last business day prior to the month in which\n\nproduction occurs.\n\nC. Within sixty (60) days after the end of the month of\n\nproduction, each producing owner shall report and account to the\n\noperator of the well, the identity of the first purchaser or shipper\n\nof the gas and the information specified in Section 570.12 of this\n\ntitle. Within thirty (30) days after receiving notice of any\n\nretroactive gas volume adjustment, each producing owner shall\n\nfurnish, or cause to be furnished, notice of such retroactive\n\nadjustment to the operator of the well.\n\nD. Within fifteen (15) days after the end of the month of\n\nproduction, each owner of a gas meter taking gas solely from a\n\ngathering system shall provide upon first request by the owner of\n\nsuch gathering system and thereafter, the gross volume of gas\n\nmeasured by such meter both in MCF and British Thermal Unit\n\nequivalent.\n\nWithin twenty (20) days after the end of the month of\n\nproduction, each owner of a gas meter shall provide or cause to be\n\nprovided in writing to the operator of the well, the gross volume of\n\ngas measured by such meter, both in MCF and British Thermal Unit\n\nequivalent, and the volume of gas allocated at the meter to each\n\nfirst purchaser or shipper and each contracted producing owner that\n\nsold gas to the owner of the gas meter. Each meter owner shall,\n\nwithin the same time period, furnish each first purchaser or shipper\n\nthe volume of gas allocated at the meter to that first purchaser or\n\nshipper. However, in the event a gas processing plant operator is\n\nperforming the allocations, within ten (10) days after the end of\n\nthe production month, the pipeline residue gas meter owner shall\n\nprovide, upon first request by the processing plant operator and\n\nthereafter, the volume and British Thermal Unit equivalent measured\n\nthrough its meter as required by the gas processing plant operator\n\nfor its allocations under this subsection.\n\nThe owner of a gas meter who has a gas contract, whether one or\n\nmore, with one or more producing owners covering all of the gas\n\nflowing through its gas meter, may, as an alternative to supplying\n\nthe operator with the information stated in this subsection, furnish\n\nmonthly volume statements to the operator of the well, provided it\nssing plant operator\n\nfor its allocations under this subsection.\n\nThe owner of a gas meter who has a gas contract, whether one or\n\nmore, with one or more producing owners covering all of the gas\n\nflowing through its gas meter, may, as an alternative to supplying\n\nthe operator with the information stated in this subsection, furnish\n\nmonthly volume statements to the operator of the well, provided it\n\nhas already furnished the operator with the names of the producing\n\nowners and the decimal interest owned by each such producing owner\n\nor any method other than by decimal interest then in effect for\n\nallocating gas among the producing owners. Thereafter, the owner of\n\nthe gas meter shall only be required to supply the operator with\n\nchanges to the name of a producing owner, the decimal interest owned\n\nby a producing owner or the method, other than by decimal interest,\n\nfor allocating gas among the producing owners within thirty (30)\n\ndays after receiving notice of such change.\n\nWithin thirty (30) days after receiving notice of any\n\nretroactive gas volume adjustment, each owner of a gas meter shall\n\nfurnish notice of such retroactive adjustment to the operator of the\n\nwell.\n\nE. Within thirty-five (35) days after the end of the month of\n\nproduction each first purchaser or shipper of gas from a gas meter\n\nshall furnish or cause to be furnished to the operator of the well,\n\na volume allocation statement showing the volume of gas purchased\n\nfrom or shipped for each contracted producing owner. Within thirty\n\n(30) days after making any retroactive gas volume adjustment for\n\nsuch well, the first purchaser or shipper shall furnish notice of\n\nsuch retroactive gas volume adjustment to the operator of the well.\n\nF. Any owner of a gas meter, first purchaser, or any gas\n\nshipper that does not provide the information required under\n\nsubsection D or E of this section shall subject the producing owner\n\nor owners contracted to such entity to the same remedies available\n\nto the operator under subsection H of this section, as if such\n\nproducing owner or owners are in noncompliance with subsections A\n\nand C of this section.\n\nG. For production occurring after August 31, 1992, each person\n\ndistributing proceeds to a royalty interest owner shall maintain for\n\na period of not less than five (5) years:\n\n1. Copies of information furnished to the operator pursuant to\n\nthe Production Revenue Standards Act; and\n\n2. A record of receipts and payments of proceeds which have\n\noccurred pursuant to the Production Revenue Standards Act.\n\nSuch records shall be available for inspection upon reasonable\n\nnotice by any affected royalty interest owner in the well.\n\nH. The Production Revenue Standards Act shall not supersede or\n\nlimit the operator's right to control gas nominations and\n\nallocations pursuant to the provisions of any joint operating\n\nagreement, gas balancing agreement or other agreement then in effect\n\nbetween the operator of the well and any producing owner, or any\n\norder of the Oklahoma Corporation Commission. If the operator of\n\nthe well is not provided with the information set forth in\n\nsubsections A and C of this section within the sixty-day period set\n\nforth in each said subsection, the operator of the well shall have\n\nthe right, but not the obligation, to confirm zero volume of gas\n\nsales for such noncomplying producing owner and to make available\n\nfor nomination and sale to the producing owners in the well then in\n\ncompliance with the provisions of subsections A and C of this\n\nsection, all of the noncomplying producing owner's share of\n\nproduction for the next subsequent calendar month of production and\n\nfor each and every month thereafter during which such producing\n\nowner is in noncompliance with provisions of subsections A and C of\n\nthis section. If the operator elects to make the noncomplying\n\nproducing owner's share of production available for nomination and\nthis\n\nsection, all of the noncomplying producing owner's share of\n\nproduction for the next subsequent calendar month of production and\n\nfor each and every month thereafter during which such producing\n\nowner is in noncompliance with provisions of subsections A and C of\n\nthis section. If the operator elects to make the noncomplying\n\nproducing owner's share of production available for nomination and\n\nsale, the operator shall immediately notify the noncomplying\n\nproducing owner, by certified mail, that it shall no longer have the\n\nright to nominate any volume of gas until it is in compliance with\n\nthe provisions of subsections A and C of this section, or its first\n\npurchaser, shipper or owner of the gas meter are in compliance with\n\nsubsections D and E of this section. Such notice shall contain the\n\nfollowing information:\n\n1. Lease or well identification;\n\n2. Legal location; and\n\n3. Production months of noncompliance with subsections A, C, D\n\nor E of this section.\n\nThe operator shall then immediately notify each producing owner\n\nthen in compliance with subsections A and C of this section that\n\nadditional gas may be available for nomination and sale. The\n\noperator shall also immediately notify in writing the noncomplying\n\nproducing owner's first purchaser or shipper and the owner of the\n\ngas meter that the producing owner, first purchaser, shipper or\n\nowner of the gas meter is in noncompliance with the provisions of\n\nsubsections A, C, D or E of this section and thus does not have the\n\nright to nominate and sell or transport any volume of gas until it\n\nis in compliance with this section.\n\nThe first purchaser or shipper and the owner of the gas meter\n\nshall be entitled to rely on and shall incorporate on a prospective\n\nbasis any nomination or allocation changes pursuant to such\n\nnotification from the operator under this section. Changes pursuant\n\nto such notification can be made on a retroactive basis if so agreed\n\nto by the operator, owner of the meter, and first purchaser or\n\nshipper.\n\nAs soon as a noncomplying party is in compliance with the\n\nprovisions of this section, but no sooner than the next production\n\nmonth unless otherwise agreed to, the operator of the well shall\n\ngive the affected producing owner the opportunity to nominate and\n\nsell gas subject to existing agreements or by common practice within\n\nthe oil and gas industry.\n\nAny noncomplying party that disagrees with the information\n\ncontained in the operator's written notice required under this\n\nsubsection shall have the right to challenge the operator's actions\n\npursuant to the provisions of subsection J of this section.\n\nI. All elections and notices given pursuant to the provisions\n\nof the Production Revenue Standards Act shall become effective as of\n\nthe first day of the month following the end of any time period\n\nspecified in the Production Revenue Standards Act.\n\nJ. The remedies provided for in this section shall not preclude\n\nany party from pursuing the remedies available to it through the\n\ndistrict courts, as provided by existing law, including the right to\n\noffset.\n\nK. Nothing contained in the Natural Gas Market Sharing Act\n\nshall change the obligations of a purchaser under an existing gas\n\ncontract unless otherwise agreed to by the parties.","path":["OK Code","Title 52"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os52.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"f34d23362ff82fe78804645dcf036195123beadec8d0383c2f034da8e81ef257","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-52-52-570.7","next":"us-ok/okla.-stat.-tit.-52-52-570.9"},"notice":"GroundRules: Original legal text. Not legal advice."}