§ 15-76-308 - Formation of brine production units. - Arkansas Statutes

15-76-308. Formation of brine production units.

(a) All producers, as defined in 15-76-302, may make application to the Oil and Gas Commission for the establishment of brine production units. Each application shall be scheduled for public hearing by the commission to be held no later than the next regularly scheduled hearing of the commission that will afford proper notice to be given.

(b) A brine production unit established by order of the commission hereunder shall comprise no fewer than one thousand two hundred eighty (1,280) contiguous surface acres which are reasonably established to be underlain by a common aquifer.

(c) A proposed unit shall be approved by the commission if the existing or proposed plan of development is such as to drain efficiently the area of the unit and to protect the correlative rights of each owner therein. Each unit as created by the commission hereunder shall constitute a unit as long as a producing well is located therein which is capable of producing brine in paying quantities.