38-12 Regulation, Development, and Production of Subsurface Minerals
Download pdf
Loading PDF...
<![CDATA[CHAPTER 38-12REGULATION, DEVELOPMENT, AND PRODUCTION OFSUBSURFACE MINERALS38-12-01. Definitions. As used in this chapter, unless the context otherwise requires:1."Commission" means the industrial commission of the state of North Dakota.2."Extraction facility" means any well or mine or other extractive process operated for<br>the purpose of recovering subsurface minerals.3."Operator" means any person who, duly authorized, is in charge of the development<br>of a lease or the operation of a producing property.4."Owner" means the person who has the right to explore for, develop, and produce<br>subsurface minerals and to appropriate the subsurface minerals the owner produces<br>either for the owner or for the owner and others.5."Person" means and includes any natural person, corporation, limited liability<br>company, association, partnership, receiver, trustee, executor, administrator,<br>guardian, fiduciary, or other representative of any kind, and includes any<br>department, agency, or instrumentality of the state or of any governmental<br>subdivision thereof; the masculine gender, in referring to a person, includes the<br>feminine and the neuter genders.6."Producer" means the owner of an extraction facility which is or has been capable of<br>producing subsurface minerals.7."Subsurface minerals" means all naturally occurring elements and their compounds,<br>volcanic ash, precious metals, carbonates, and natural mineral salts of boron,<br>bromine, calcium, fluorine, iodine, lithium, magnesium, phosphorus, potassium,<br>sodium, thorium, uranium, and sulfur, and their compounds, but does not include<br>sand and gravel and rocks crushed for sand and gravel.38-12-02. Jurisdiction of commission. The commission has jurisdiction and authorityover all persons and property, public and private, necessary to enforce effectively the provisions<br>of this chapter. Subject to the provisions of section 38-08-21, the director of mineral resources<br>shall act as a supervisor charged with the duty of enforcing the regulations and orders of the<br>commission applicable to the subsurface mineral resources of this state and the provisions of this<br>chapter.The commission has authority to make such investigations as it deems proper todetermine whether facts exist which justify action by the commission. The commission acting<br>through the director of mineral resources has the authority:1.To require:a.The furnishing of a reasonable bond with good and sufficient surety,<br>conditioned upon the full compliance with the provisions of this chapter, and the<br>rules and orders of the commission prescribed to govern the exploration,<br>development, and production of subsurface minerals on state and private lands<br>within the state of North Dakota. The person required to furnish the bond may<br>elect to deposit a collateral bond, self-bond, cash, or any alternative form of<br>security approved by the commission, or combination thereof, by which a<br>permittee assures faithful performance of all requirements of this chapter and<br>the rules and orders of the industrial commission.b.The delivery, free of charge, to the state geologist of the basic exploration data<br>collected by the operator, within thirty days of field collection of such data. This<br>data must include:Page No. 1(1)Sample cuts, core chips, or whole cores.(2)Sample logs, radioactivity logs, resistivity logs, or other types of electrical<br>or mechanical logs.(3)Elevation and location information on the data collection points.(4)Other pertinent information as may be requested by the state geologist.The data so submitted is confidential for a period of one year when so<br>requested by the operator and such period may be further extended upon<br>approval by the commission.c.The filing of monthly production reports in the manner prescribed by the<br>commission and any other reports deemed necessary by the commission.d.The conducting of all exploration, development, and production operations in<br>such a manner as to prevent pollution of freshwater supplies, to provide for the<br>protection of the environment and public safety, and to ensure the optimum<br>recovery of the mineral resource.e.The reclamation of all land disturbed by operations regulated by this chapter to<br>a condition consistent with prior land use and productive capacity.2.To regulate the drilling and abandonment of exploration test holes and producing<br>wells and all other exploration, development, production, and reclamation<br>operations.3.To promulgate and to enforce rules, regulations, and orders to effectuate the<br>purposes and the intent of this chapter.4.To inspect all exploration, development, and production sites. For the purposes of<br>this subsection, the director of mineral resources or the director's representative<br>shall have access to all exploration, development, or production installations for<br>purposes of inspection and shall have the authority to require the operator's aid if it<br>is necessary and is requested.38-12-03. Permit required. It is unlawful to commence operations for the exploration,development, or production of subsurface minerals without first obtaining a permit from the<br>director of mineral resources, under such rules and regulations as may be prescribed by the<br>commission and paying to the commission a fee for each such permit in an amount to be<br>prescribed by the commission.38-12-04. Procedure. The administrative procedure involved in the adopting of anyrules or regulations or the issuance of any orders by the commission under the provisions of this<br>chapter must be in accordance with the provisions of chapter 38-08 governing the procedure in<br>the administration of the Oil and Gas Conservation Act; provided, however, that in the event an<br>emergency is found to exist by the commission which in its judgment requires the making,<br>revoking, changing, amending, modifying, altering, enlarging, renewal, or extension of a rule,<br>regulation, or order without first having a hearing, such emergency rule, regulation, or order has<br>the same validity as if a hearing with respect to the same had been held after due notice. The<br>emergency rule, regulation, or order permitted by this section may remain in force no longer than<br>fifteen days from its effective date, and in any event, it expires when the rule, regulation, or order<br>made after due notice and hearing with respect to the subject matter of such emergency rule,<br>regulation, or order becomes effective.38-12-05. Penalty - Injunction - Provisions applicable. The provisions of sections38-08-16 and 38-08-17 are applicable to the provisions of this chapter and to the rules,<br>regulations, and orders of the commission promulgated hereunder.Page No. 2Document Outlinechapter 38-12 regulation, development, and production of subsurface minerals]]>