43 CFR 3100.22
§ 3100.22 Drilling and production or payment of compensatory royalty.
United States · 43 CFR — Public Lands: Interior · Status: effective
Cite this
- Citation
- 43 CFR 3100.22, § 3100.22 Drilling and production or payment of compensatory royalty, United States, version 1 as recorded 2026-07-09, yourstate.us, https://yourstate.us/provision/211756
- Permanent ID
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Full text
Where lands in any leases are being drained of their oil or gas content by wells either on a Federal lease issued at a lower rate of royalty or on non-Federal lands, the lessee must both drill and produce all wells necessary to protect the leased lands from drainage. In lieu of drilling necessary wells, the lessee may, with the consent of the authorized officer, pay compensatory royalty in accordance with 43 CFR 3162.2-4.
Legislative history
This is a federal regulation, adopted through agency rulemaking under the Administrative Procedure Act — not enacted by a recorded vote of Congress.