Kentucky Statutes 353.520 – Territorial application of KRS 353.500 to 353.720 — Waste of oil and gas prohibited
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(1) KRS § 353.500 to KRS § 353.720 shall apply to all lands located in the Commonwealth, however owned, including any lands owned or administered by any government or any agency or political subdivision thereof, over which the Commonwealth has jurisdiction under its police power.
(2) The waste of oil and gas is hereby prohibited. The waste prohibited includes physical waste as that term is generally understood in the oil and gas industry and includes:
(a) The locating, drilling, equipping, operating or producing of any oil or gas well, or wells drilled, deepened, or reopened in a manner that causes, or tends to cause, a reduction in the quantity of oil or gas ultimately recoverable from a pool under prudent and proper operations, or contrary to any provision of, or any order, rule or regulation promulgated or issued under KRS § 353.500 to
353.720;
(b) Permitting the migration of oil, gas or water from the stratum in which it is found into other strata, thereby ultimately resulting in the loss of recoverable oil or gas, or both;
(c) The drowning with water of any stratum or part thereof capable of producing oil or gas in paying quantities, except for secondary recovery purposes, or in hydraulic fracturing or other completion practices;
(d) The unreasonable damage to underground, fresh or mineral water supply, workable coal seams, or other mineral deposits in the operations for the discovery, development, production or handling of oil and gas;
(e) The unnecessary or excessive loss of oil and gas by spillage or venting or destruction of oil or gas or their constituents; and
(f) The drilling of more wells than are reasonably required to recover efficiently the maximum amount of oil and gas from a pool.
(3) The production of oil or gas from any well in any pool unless a permit has been issued as required by KRS § 353.500 to KRS § 353.720, or in violation of the spacing provisions of KRS § 353.500 to KRS § 353.720, is prohibited; except that this subsection shall not prohibit the continuation of production of oil or gas from a well producing oil or gas on June 16, 1960.
Effective: June 24, 2003
History: Amended 2003 Ky. Acts ch. 150, sec. 8, effective June 24, 2003. — Amended
1974 Ky. Acts ch. 45, sec. 2. — Created 1960 Ky. Acts ch. 103, sec. 3, effective June
16, 1960.
(2) The waste of oil and gas is hereby prohibited. The waste prohibited includes physical waste as that term is generally understood in the oil and gas industry and includes:
Terms Used In Kentucky Statutes 353.520
- Discovery: Lawyers' examination, before trial, of facts and documents in possession of the opponents to help the lawyers prepare for trial.
- Gas: means natural gas. See Kentucky Statutes 353.010
- Gas well: means any well which:
(a) Produces natural gas not associated or blended with crude petroleum oil any time during production. See Kentucky Statutes 353.010 - Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Oil: means petroleum. See Kentucky Statutes 353.010
- Well: means a borehole drilled or proposed to be drilled for the purpose of producing natural gas or petroleum, or one through which natural gas or petroleum is being produced. See Kentucky Statutes 353.010
(a) The locating, drilling, equipping, operating or producing of any oil or gas well, or wells drilled, deepened, or reopened in a manner that causes, or tends to cause, a reduction in the quantity of oil or gas ultimately recoverable from a pool under prudent and proper operations, or contrary to any provision of, or any order, rule or regulation promulgated or issued under KRS § 353.500 to
353.720;
(b) Permitting the migration of oil, gas or water from the stratum in which it is found into other strata, thereby ultimately resulting in the loss of recoverable oil or gas, or both;
(c) The drowning with water of any stratum or part thereof capable of producing oil or gas in paying quantities, except for secondary recovery purposes, or in hydraulic fracturing or other completion practices;
(d) The unreasonable damage to underground, fresh or mineral water supply, workable coal seams, or other mineral deposits in the operations for the discovery, development, production or handling of oil and gas;
(e) The unnecessary or excessive loss of oil and gas by spillage or venting or destruction of oil or gas or their constituents; and
(f) The drilling of more wells than are reasonably required to recover efficiently the maximum amount of oil and gas from a pool.
(3) The production of oil or gas from any well in any pool unless a permit has been issued as required by KRS § 353.500 to KRS § 353.720, or in violation of the spacing provisions of KRS § 353.500 to KRS § 353.720, is prohibited; except that this subsection shall not prohibit the continuation of production of oil or gas from a well producing oil or gas on June 16, 1960.
Effective: June 24, 2003
History: Amended 2003 Ky. Acts ch. 150, sec. 8, effective June 24, 2003. — Amended
1974 Ky. Acts ch. 45, sec. 2. — Created 1960 Ky. Acts ch. 103, sec. 3, effective June
16, 1960.