Sec. 23. (a) A lease must provide that the lessee shall drill an offset well to a well on adjoining land that:
(1) is within three hundred thirty (330) feet of an outer boundary of the land covered by the lease; and
(2) is producing petroleum in paying quantities and draining the land covered by the lease.
(b) The offset must be:
(1) started within ninety (90) days from the completion of the adjoining well; and
(2) drilled with due diligence to completion.
[Pre-1995 Recodification Citation: 14-4-3-19.]
As added by P.L.1-1995, SEC.31.
Structure Indiana Code
Title 14. Natural and Cultural Resources
Article 38. Other Petroleum Regulation
Chapter 1. Petroleum Exploration on State Property
14-38-1-1. "Commence to Drill a Well" Defined
14-38-1-3. "Petroleum" Defined
14-38-1-4. "Proven Territory" Defined
14-38-1-5. "Public Land" Defined
14-38-1-7. No Permits Issued for Proven Territory
14-38-1-8. Compensation of Landowners and State
14-38-1-9. Prosecution of Operations With Reasonable Diligence
14-38-1-10. Surrender of Permit
14-38-1-11. Permittee's Lease for Petroleum Extraction
14-38-1-12. Other Leases for Petroleum Extraction
14-38-1-14. Consideration for Leases
14-38-1-15. Cancellation of Permit or Lease
14-38-1-16. Issuance of New Permit Following Expiration or Forfeiture
14-38-1-17. Agreement for Production From Same Petroleum Field
14-38-1-18. Terms for Protection of Rights
14-38-1-20. Well Not to Be Drilled Within 330 Feet of Property Boundaries
14-38-1-21. Right-of-Way Grants
14-38-1-22. Development Considerations
14-38-1-24. Prospecting Permits or Leases