In the interest of conservation of oil and gas and the prevention of waste, the commissioner of public lands may consent to and approve the development or operation of state lands under agreements made by lessees of oil and gas leases thereon, jointly or severally with other oil and gas lessees of state lands or with oil and gas lessees of the United States or oil and gas lessees or mineral owners of privately owned or fee lands or oil and gas lessees of tribal or allotted Indian lands for the purpose of pooling or communitizing such lands to form a proration unit or portion thereof or well spacing unit pursuant to any order, rule or regulation of the New Mexico oil conservation commission where such agreement provides for the allocation of the production of oil or gas from such pooled or communitized area on an acreage or other basis found by the commissioner to be fair and equitable, and when such agreement is so approved, the drilling or operation of a well on any part of the area included in such agreement shall be considered as being drilled or operated on each tract included in such agreement, and the production of oil or gas in paying quantities from any part of such pooled or communitized area shall, for all purposes, be considered the same as if such production had been obtained upon each tract or separate lease included in such agreement. Upon approval of any such agreement, the lease or leases covering state lands committed thereto shall thereupon be amended to conform to such agreement.
History: 1953 Comp., § 7-11-47, enacted by Laws 1955, ch. 259, § 1.
Bracketed material. — The bracketed material was inserted by the compiler and is not part of the law.
Compiler's notes. — Pursuant to Laws 1977, ch. 255, § 9, the oil conservation commission was absorbed by the energy and minerals department. See also Laws 1977, ch. 255, § 4, compiled as 9-5-4 NMSA 1978, for establishment of the oil conservation division of the energy and minerals department, and 70-2-4 NMSA 1978 et seq. for jurisdiction and authority of the commission and of the division.
Cross references. — For cooperative agreements for development or operation of oil and gas pools between lessees and others, see 19-10-45 to 19-10-48 NMSA 1978.
Structure 2021 New Mexico Statutes
Article 10 - Lease of Oil and Gas Lands
Section 19-10-1 - [Issuance of leases authorized; lands subject; carbon dioxide leases exempted.]
Section 19-10-2 - Definitions.
Section 19-10-3 - Classification of state lands for oil and gas leasing.
Section 19-10-4 - Authorization to lease; lease provisions.
Section 19-10-4.2 - Discovery form of lease; regular restricted or premium restricted lands.
Section 19-10-4.3 - Development form of lease; premium restricted land.
Section 19-10-5 - Existing leases; stipulation.
Section 19-10-5.1 - Amendment of lease to lower royalty rate for oil wells under certain conditions.
Section 19-10-6 - Shut-in oil wells; conditions.
Section 19-10-7 - Exploratory form of lease; different term of years.
Section 19-10-8 - [Extension of terms of leases.]
Section 19-10-9 - [Existing leases; stipulation to bring helium gas within terms.]
Section 19-10-12 - [New lease or extension where no discovery made; preference right; conditions.]
Section 19-10-13 - [Assignment of leases; procedure; effect.]
Section 19-10-14 - [Application for lease; form; deposit; appraisement.]
Section 19-10-16 - [Restricted districts; method of leasing; added area; notice; rental.]
Section 19-10-18 - No bids made; subsequent lease.
Section 19-10-19 - [Withholding lands from lease authorized.]
Section 19-10-21 - [Rules and regulations; amendment; rescission; effective date.]
Section 19-10-23 - Appeal of commissioner's decision.
Section 19-10-24 - [Contesting claims; jurisdiction of district court; appeal and error.]
Section 19-10-25 - [Proof of commissioner's records.]
Section 19-10-28 - [Lessee to purchase prior improvements on lands; proof of payment.]
Section 19-10-29 - [Removal of certain improvements on cancellation or forfeiture of lease.]
Section 19-10-30 - [Rules and regulations authorized.]
Section 19-10-32 - [Acknowledgments required; commissioner excepted.]
Section 19-10-33 - [Contracts relating to oil and gas rights; filing for record in land office.]
Section 19-10-34 - [System of records; indexing; public inspection.]
Section 19-10-35 - [Tract book system for oil and gas lands.]
Section 19-10-36 - [Rules and regulations; protection of instruments and records.]
Section 19-10-37 - [Filing and recording fees; disposition; expenses payable from maintenance fund.]
Section 19-10-38 - [Repeal and saving clause.]
Section 19-10-42 - [Distribution of suspense funds after litigation is completed.]
Section 19-10-43 - [Suit by state to determine rights.]
Section 19-10-44 - [Intervention in pending litigation by attorney general.]
Section 19-10-46 - [Cooperative agreements; requisites for approval.]
Section 19-10-47 - [Amendment of leases to conform with cooperative agreements.]
Section 19-10-49 - [Validating act.]
Section 19-10-50 - Oil, gas and mineral leases on state park lands.
Section 19-10-53 - [State participation in pooling and communitization agreements authorized.]
Section 19-10-55 - [Validation of oil and gas leases.]
Section 19-10-57 - Rules; regulations; notice; hearing.
Section 19-10-58 - Rules; regulations; record; filing with supreme court librarian.
Section 19-10-59 - Reporting and rendition forms to be adopted by rule or regulation.
Section 19-10-61 - [Sale or exchange of royalty gas taken in kind.]
Section 19-10-63 - [Validation of oil and gas leases; 1967 act.]
Section 19-10-64 - [Royalties paid in oil; sale of;] purpose of act.
Section 19-10-65 - Definitions.
Section 19-10-66 - Payment of royalties of the state in oil on demand.
Section 19-10-67 - Sale of state oil royalties; preference; authority of commissioner.
Section 19-10-68 - Application for preference in sale of royalty oil; requirements.
Section 19-10-69 - Grant of preference based upon application.
Section 19-10-70 - Advertising for bids; priority of bidders; award of oil.