[Code of Federal Regulations]
[Title 43, Volume 2]
[Revised as of October 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 43CFR3162.2-7]

[Page 418]
 
                    TITLE 43--PUBLIC LANDS: INTERIOR
 
    CHAPTER II--BUREAU OF LAND MANAGEMENT, DEPARTMENT OF THE INTERIOR
 
PART 3160--ONSHORE OIL AND GAS OPERATIONS--Table of Contents
 
  Subpart 3162--Requirements for Operating Rights Owners and Operators
 
Sec. 3162.2-7  Who is liable for drainage if more than one person holds undivided interests in the record title or operating rights for the same lease?

    (a) If more than one person holds record title interests in a 
portion of a lease that is subject to drainage, each person is jointly 
and severally liable for taking any action we may require under this 
part to protect the lease from drainage, including paying compensatory 
royalty accruing during the period and for the area in which it holds 
its record title interest.
    (b) Operating rights owners are jointly and severally liable with 
each other and with all record title holders for drainage affecting the 
area and horizons in which they hold operating rights during the period 
they hold operating rights.

[66 FR 1893, Jan. 10, 2001]