38-15 Resolution of Conflicts in Subsurface Mineral Production
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<![CDATA[CHAPTER 38-15RESOLUTION OF CONFLICTS IN SUBSURFACE MINERAL PRODUCTION38-15-01. Policy. It is hereby declared to be in the public interest to foster, encourage,and promote the development, production, and utilization of all natural resources of coal, oil, gas,<br>and subsurface minerals in a manner as will prevent waste and allow a greater ultimate recovery<br>of the natural resources, and to protect the rights of all owners so that the greatest possible<br>economic recovery of natural resources be obtained in the state, to the end that landowners,<br>royalty owners, producers, and the general public realize and enjoy the greatest possible good<br>from these vital natural resources.38-15-02. Definitions. As used in this chapter, unless the context otherwise requires:1."Coal" means all kinds of coal, and includes what is known as lignite coal, unless a<br>contrary intention plainly appears.2."Commission" means the industrial commission.3."Conflicting interests" means those interests of producers which are in conflict, so<br>that full production and utilization by one producer is prohibited or impeded by the<br>interests of another producer of a separate natural resource.4."Gas" means all natural gas and other fluid hydrocarbons not hereinbelow defined<br>as oil.5."Natural resources" means coal, oil, gas, and subsurface minerals as defined herein.6."Oil" means crude petroleum oil and other hydrocarbons, regardless of gravity,<br>which are produced at the wellhead in liquid form, and the liquid hydrocarbons<br>known as distillate or condensate recovered or extracted from gas other than gas<br>produced in association with oil and commonly known as casinghead gas.7."Owner" means the person who has the right to produce natural resources either for<br>that person or others.8."Person" means any natural person, corporation, limited liability company,<br>association, partnership, receiver, trustee, executor, administrator, guardian,<br>fiduciary, or other representative of any kind, and includes any department, agency,<br>instrumentality, or political subdivision of the state.The masculine gender, inreferring to a person, includes the feminine and the neuter genders.9."Producer" means the owner of a well or wells, or mine or mines, capable of<br>producing coal, oil, gas, or subsurface minerals.10."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,sodium, thorium, uranium, and sulfur, and their compounds but does not include<br>sand and gravel and rocks crushed for sand and gravel.11."Waste" means the inefficient utilization of reserves of oil, gas, subsurface minerals,<br>or coal, as the case may be.38-15-03. Jurisdiction of commission. The commission has continuing jurisdiction andauthority over all persons and property, public and private, necessary to enforce effectively the<br>provisions of this chapter. The director of mineral resources shall act as a supervisor charged<br>with enforcing the regulations and orders of the commission applicable to the provisions of thisPage No. 1chapter. The commission has authority to make investigations it deems proper to determine<br>whether facts exist which justify action by the commission. The commission has the authority:1.To require 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 regulations of the commission prescribed to govern, satisfy, and resolve<br>conflicting interests among producers within North Dakota.2.To resolve conflicting interests of producers of natural resources which cannot be<br>voluntarily concluded by them in the public interest to eliminate waste, to the end<br>that the producer, landowner, and mineral owner realize the greatest possible<br>economic advantage.3.To promulgate and to enforce rules, regulations, and orders to effectuate the<br>purposes and intent of this chapter.38-15-04. Procedure. The administrative procedure involved in the adoption 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 of<br>any emergencies found to exist by the commission which in its judgment requires the making,<br>revoking, changing, amending, modifying, altering, enlarging, renewal or extension of renewal,<br>regulation, or order without first having a hearing, the 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 remains in force no longer than<br>fifteen days from its effective date, and in any event expires when the rule, regulation, or order,<br>made after due notice and hearing with respect to the subject matter of the emergency rule,<br>regulation, or order, becomes effective.38-15-05. 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 38-15 resolution of conflicts in subsurface mineral production]]>