27-504. Drilling units; rules and regulations; exceptions
A. For the prevention of waste, to protect and enforce the correlative rights of owners in a pool, and to avoid augmentation and accumulation of risks arising from drilling an excessive number of wells, or reduced recovery which might result from too small a number of wells, the commission shall, after a hearing, establish a drilling unit or units for each pool. The establishment of a unit for gas shall be limited to the production of gas.
B. Each well permitted to be drilled on a drilling unit shall be drilled under the applicable rules and regulations and in accordance with the applicable spacing pattern prescribed by the commission. Exceptions to the rules and spacing pattern may be granted where it is shown, after notice and hearing, that the unit is partly outside the pool or, for some other reason, a well so located on the unit would be non-productive. Exceptions permitting a proposed well to be drilled on an unorthodox location may be granted on the basis of topography or terrain without notice or hearing.
C. If an exception is granted, the commission shall take action which will offset any advantage which the person securing the exception may have over other producers by reason of drilling the well as an exception, and so that drainage from developed units to the tract with respect to which the exception is granted will be prevented or minimized, and the producer of the well drilled as an exception will be allowed to produce no more than a just and equitable share of the oil and gas in the pool.
Structure Arizona Revised Statutes
Title 27 - Minerals, Oil and Gas
§ 27-102 - Arizona geological survey; state geologist; powers
§ 27-103 - Objectives of Arizona geological survey
§ 27-107 - Powers and duties; fund
§ 27-108 - Publications; deposit
§ 27-110 - Trade secrets; confidentiality; definition
§ 27-123 - Education and training fees
§ 27-124 - Mine inspections required; powers of inspector
§ 27-126 - Annual report to governor
§ 27-128 - Inspection of mines; violation; classification
§ 27-129 - Locating abandoned mines; public education; donor immunity
§ 27-131 - Abandoned mines safety fund; annual report
§ 27-201 - Location of mining claim upon discovery of mineral in place
§ 27-202 - Method of locating a lode claim; monument; location notice; amendments
§ 27-204 - Monumenting lode claims
§ 27-205 - Locating and monumenting placer and millsite claims
§ 27-208 - Affidavit of annual work; affidavit of claim maintenance fee payment; fees
§ 27-209 - Sufficiency of description of mining claims
§ 27-222 - Acknowledgment of contribution by delinquent co-owner
§ 27-231 - Definition of mineral
§ 27-233 - Preferred right to renew mineral lease; evaluation of geologic and economic evidence
§ 27-234 - Rent; royalty; appeal; interest; penalty; lien
§ 27-235 - Offering permits and leases at auction; terms of lease; financial security termination
§ 27-236 - Suspension of royalty rights
§ 27-237 - Review by commissioner
§ 27-239 - Inspections, investigations and audits
§ 27-251 - Application for mineral exploration permit
§ 27-252 - Terms of mineral exploration permit; definition
§ 27-271 - Definition of common variety minerals
§ 27-271.01 - Inventory of trust land containing common mineral products, materials and property
§ 27-272 - Common variety mineral leases; terms and conditions; rules
§ 27-273 - Performance and reclamation bonds
§ 27-274 - Trade secrets; confidentiality; definition
§ 27-302 - Operations subject to chapter; enforcement by inspector; violation; classification
§ 27-303 - Notification to inspector of beginning or suspending operations
§ 27-304 - Operator responsibility
§ 27-305 - Employee responsibility
§ 27-306 - First aid; inspectors as qualified instructors
§ 27-308 - Complaint to inspector of dangerous conditions by employee; inspection
§ 27-309 - Reports of fatal accidents to inspector; investigation
§ 27-310 - Copy of law available for inspection
§ 27-311 - Fire prevention and protection
§ 27-314 - Electrical installations
§ 27-315 - Unauthorized persons
§ 27-316 - Intoxicating liquors and drugs
§ 27-317 - Waste dumps and tailings areas; signs; violation; classification
§ 27-321 - Explosives; records; inspection
§ 27-322 - Explosives; marking; utilization and storage
§ 27-323 - Explosives; rules and regulations; access to operations
§ 27-343 - Structures over mine outlet
§ 27-347 - Construction of ladder-ways
§ 27-349 - Tracks and roadbeds; maintenance underground
§ 27-350 - Lights; trolley wires
§ 27-351 - Hoists; operator; indicator
§ 27-352 - Inspection and construction of hoists
§ 27-353 - Safety cage and catches
§ 27-354 - Cross-heads; buckets
§ 27-355 - Hoisting tools and materials
§ 27-356 - Protection from falling materials
§ 27-357 - Hoist release signal
§ 27-358 - Signaling apparatus
§ 27-360 - Precautions against flooding
§ 27-361 - Common system of drainage; contribution of cost
§ 27-362 - Order for inspection
§ 27-363 - Danger signals; visitors
§ 27-364 - Interfering with equipment
§ 27-365 - Regulation of underground use of internal combustion engines
§ 27-366 - Maps of underground workings
§ 27-367 - Maintenance and use of loading equipment
§ 27-368 - Ventilation; condition of airways; testing
§ 27-369 - Evacuation; procedure; routes
§ 27-372 - Uranium operations; testing for radon daughters
§ 27-423 - Tracks, roadbeds and roadways
§ 27-424 - Operation of heavy equipment
§ 27-425 - Open pits; fencing or blocking
§ 27-442 - Aggregate mining operations; community notice; application
§ 27-443 - Application fee; aggregate community notice fund
§ 27-444 - Community notice; public meeting
§ 27-445 - Approval of community notice or major modification
§ 27-446 - Claims of deviation from an approved community notice
§ 27-447 - Inspection and enforcement
§ 27-448 - Sand and gravel safety rules
§ 27-462 - Administration by inspector; rules and regulations
§ 27-464 - Notice of proposed adoption of rule
§ 27-469 - Exceptions to rules and regulations
§ 27-502 - Declaration of policy
§ 27-503 - Waste of oil or gas prohibited; powers of commissioner to prevent waste
§ 27-504 - Drilling units; rules and regulations; exceptions
§ 27-505 - Pooling of interests
§ 27-506 - Regulation of drilling in pools; notice of sale, transfer or purchase
§ 27-508.01 - Common purchaser of gas; duties; ratable taking; discrimination prohibited
§ 27-509 - Certificate of compliance
§ 27-510 - Certificate of clearance
§ 27-511 - Confiscation proceedings
§ 27-512 - Sale of illegal oil or gas or illegal products
§ 27-513 - Permit to drill well
§ 27-513.01 - Appointment by drilling permittee of attorney upon whom to serve process
§ 27-514 - Commission; appointment; terms; compensation
§ 27-515 - Administration; powers of the commission; fees
§ 27-517 - Hearings; reporter; fees
§ 27-519 - Refusal to obey subpoena
§ 27-520 - Judicial review; procedures
§ 27-521 - Duties of attorney general
§ 27-523 - Deposit of monies; expenses
§ 27-525 - Injunctions and restraining orders
§ 27-527 - Violation; classification
§ 27-531 - Integration of interests and spacing units
§ 27-532 - Order; units and unit areas; plan of unitization
§ 27-533 - Ratification or approval of plan by lessees and owners
§ 27-535 - Status and powers of unit; liability and expenses; lien
§ 27-537 - Enlargement of area; creation of new units; amendment of plan
§ 27-539 - Validation of unit agreements
§ 27-552 - Rules and regulations
§ 27-553 - Leasing state lands for oil and gas
§ 27-554 - Designation of known geological structures of producing oil and gas fields
§ 27-555.01 - Extension of lease due to lack of transportation, processing facilities or market
§ 27-557 - Unit operations; unit agreements
§ 27-559 - Development of water for use in operations; taking over well which yields fresh water
§ 27-560 - Surface use by lessee; liability for damages; bond; appraisal of damages; appeal
§ 27-561 - Assignment of lease; recording
§ 27-563 - Payment of noncompetitive lease royalties in kind or cash
§ 27-564 - Receipt and sale of royalty oil
§ 27-565 - Application to purchase royalty oil
§ 27-566 - Notice to lessee of election; storage
§ 27-567 - Sales of royalty oil
§ 27-568 - Delivery of oil to purchaser
§ 27-569 - Prohibitions on resale
§ 27-570 - Bond and penalties; waiver
§ 27-571 - Inspecting well records; trade secrets; confidentiality; definition
§ 27-601 - Authorization to enter compact
§ 27-602 - Extension of expiration date
§ 27-603 - Official representative
§ 27-652 - Supervision by commission
§ 27-653 - Information; filing; confidentiality
§ 27-654 - Drilling bond; amount; responsibility
§ 27-655 - Commission approval prior to operation; information; hearing
§ 27-656 - Rules and orders; hearing
§ 27-658 - Notice of sale or conveyance of well or land
§ 27-659 - Application to drill
§ 27-660 - Safety requirements
§ 27-661 - Drilling record; samples
§ 27-663 - Unlawful interference; classification
§ 27-664 - Cooperative development agreements; unitization
§ 27-665 - Unitization; requirements
§ 27-667 - Relationship of geothermal resources to water laws
§ 27-668 - Leasing state lands for development of geothermal resources
§ 27-669 - Designation of known geothermal resource areas
§ 27-671 - Provisions of lease
§ 27-672 - Unit operations; unit agreements
§ 27-673 - Surface use by lessee; liability for damages; bond; appraisal of damages; appeal
§ 27-674 - Assignment of lease; recording
§ 27-676 - Enjoining violations
§ 27-677 - Violation; civil penalty
§ 27-902 - Division of mined land reclamation; coordination of programs and activities
§ 27-904 - Rules; contributions
§ 27-905 - Certificate of disclosure of violations; remedies; definition
§ 27-921 - Surface disturbances created by new exploration operation or mining unit
§ 27-923 - Creating surface disturbances of five acres or less
§ 27-924 - Inactive mining units
§ 27-925 - Remedial response to emergencies and governmental orders
§ 27-926 - Initiation, extension and completion of reclamation
§ 27-927 - Substantial changes to approved reclamation plan; fee
§ 27-928 - Transferring an approved reclamation plan
§ 27-929 - Notice of plan or substantial change
§ 27-930 - Public disclosure of information; definition
§ 27-932 - Coordination with other governmental agencies
§ 27-934 - Plan submission fee; accounting and appropriation of revenues
§ 27-935 - Plan review and evaluation by private consultants
§ 27-1221 - Surface disturbances created by new exploration operation or aggregate mining unit
§ 27-1223 - Creating surface disturbances of five acres or less
§ 27-1224 - Inactive aggregate mining units
§ 27-1225 - Remedial response to governmental orders
§ 27-1226 - Initiation, extension and completion of reclamation
§ 27-1227 - Substantial changes to approved reclamation plan
§ 27-1228 - Transferring an approved reclamation plan
§ 27-1230 - Notice of plan for existing exploration operations and existing aggregate mining units
§ 27-1231 - Public disclosure of information; definition
§ 27-1232 - Coordination with other governmental agencies
§ 27-1233 - Fees; plan submissions; substantial changes; aggregate mining reclamation fund
§ 27-1234 - Plan review and evaluation by private consultants
§ 27-1236 - Licensing time frames
§ 27-951 - Submission and contents of reclamation plan
§ 27-952 - Notice of complete, incomplete or denied plan
§ 27-954 - Beginning new exploration operations
§ 27-1251 - Submission and contents of reclamation plan
§ 27-1252 - Notice of complete, incomplete or denied plan
§ 27-1253 - Approval; criteria
§ 27-1254 - Beginning new exploration operations
§ 27-971 - Submission and contents of reclamation plan
§ 27-972 - Notice of complete, incomplete or denied plan
§ 27-974 - Preservation and conservation of soil; exceptions
§ 27-976 - Beginning new mining units
§ 27-991 - Financial assurance requirements; form
§ 27-992 - Mining unit or existing exploration operation
§ 27-993 - New exploration operation
§ 27-994 - Duplication of financial assurance not required
§ 27-995 - Incremental financial assurance
§ 27-996 - Release of financial assurance
§ 27-997 - Rules; release, forfeiture or exercise of financial assurance
§ 27-1291 - Financial assurance requirements; form
§ 27-1292 - Aggregate mining unit or existing exploration operation
§ 27-1293 - New exploration operation
§ 27-1294 - Duplication of financial assurance not required
§ 27-1295 - Incremental financial assurance
§ 27-1296 - Release of financial assurance
§ 27-1297 - Rules; release, forfeiture or exercise of financial assurance
§ 27-1023 - Enforcement action on reclamation plan approval
§ 27-1024 - Injunctive relief; civil penalties
§ 27-1025 - Agency order; appeal
§ 27-1026 - Violation; classification
§ 27-1323 - Enforcement action on reclamation plan approval
§ 27-1324 - Injunctive relief; civil penalties
§ 27-1325 - Agency order; appeal
§ 27-1326 - Violation; classification
§ 27-1327 - Procurement; aggregate materials; eligibility
§ 27-1202 - Coordination of programs and activities
§ 27-1203.01 - Exemption for limited, intermittent-use projects
§ 27-1204 - Rules; contributions
§ 27-1205 - Certificate of disclosure of violations; remedies; definition
§ 27-1271 - Submission and contents of reclamation plan
§ 27-1272 - Notice of complete, incomplete or denied plan
§ 27-1273 - Approval; criteria
§ 27-1274 - Preservation and conservation of soil; exceptions