Arizona Administrative Code
Title 12 - NATURAL RESOURCES
Chapter 5 - STATE LAND DEPARTMENT
Article 21 - OIL AND GAS LEASES
Section R12-5-2118 - Cooperative and Unit Agreements

Universal Citation: AZ Admin Code R 12-5-2118

Current through Register Vol. 30, No. 38, September 20, 2024

A lessee seeking the Commissioner's approval of a cooperative or unit agreement under A.R.S. § 27-557, shall comply with the following procedure and requirements.

1. To facilitate the Department's decision making process and to allow an applicant to obtain feedback prior to formal submission, an applicant shall submit the following information no less than 60 days before submitting a cooperative or unit agreement for approval:

a. A copy of a plat map showing the area to be included in the cooperative or unit agreement;

b. Structural and geological information that supports the land to be included in the cooperative or unit agreement; and

c. A draft of the proposed cooperative or unit agreement for the Department's review.

d. If the proposed cooperative or unit agreement includes federal lands, and if by inclusion of those lands, the federal government requires standard provisions for a cooperative or unit agreement, the applicant shall submit a proposed cooperative or unit agreement that includes the federal provisions.

2. A cooperative or unit agreement does not affect the leasehold of any leased state lands outside of the cooperative or unit area. The cooperative or unit agreement does not affect leaseholds within the cooperative or unit area unless the lessees' land is committed to the cooperative or unit area pursuant to A.R.S. §§ 27-557 or 27-531 et seq.

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