A. An undeclared underground water basin having reasonably ascertainable boundaries that consists of an aquifer, the top of which aquifer is at a depth of two thousand five hundred feet or more below the ground surface at any location at which a well is drilled and which aquifer contains only nonpotable water, is subject to state engineer administration in accordance with Sections 72-12-25 through 72-12-28 N.M. Stat. Ann..

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B. If the state engineer declares the type of underground water basin described in Subsection A of this section, all appropriations of nonpotable water from that basin for:

(1)     oil and gas exploration and production, prospecting, mining, road construction, agriculture, generation of electricity, use in an industrial process or geothermal use shall remain subject to Sections 72-12-25 through 72-12-28 N.M. Stat. Ann.; and

(2)     all other uses shall be subject to Sections 72-12-1 through 72-12-24 N.M. Stat. Ann..

C. “Nonpotable water”, for the purpose of Sections 72-12-25 through 72-12-28 N.M. Stat. Ann., means water containing not less than one thousand parts per million of dissolved solids.