2013 Kentucky Revised Statutes CHAPTER 353 - MINERAL CONSERVATION AND DEVELOPMENT 353.520 Territorial application of KRS 353.500 to 353.720 -- Waste of oil and gas prohibited.
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353.520 Territorial application of KRS 353.500 to 353.720 -- Waste of oil and
gas prohibited.
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KRS 353.500 to 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.
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.
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 353.720, or in violation of the spacing
provisions of KRS 353.500 to 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.
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