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Section 15-74-702 - Royalties paid in lieu of drilling off-set wells on adjacent units — Arkansas Law | CourtGPT
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  4. Title 15 - Natural Resources and Economic Development (§§ 15-1-101 — 15-76-324)/
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  6. Chapter 74 - Measurement, Inspection, and Sale of Oil and Gas Sub/
  7. Subchapter 7 - Royalties/
  8. Section 15-74-702 - Royalties paid in lieu of drilling off-set wells on adjacent units
Arkansas Legal Code

Section 15-74-702 - Royalties paid in lieu of drilling off-set wells on adjacent units

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Where royalties are paid in lieu of drilling off-set wells on forty-acre units adjacent to forty-acre units already in production, the forty-acre units adjacent to the forty-acre unit receiving the royalty payments shall immediately after the signing of the agreement or contract become off-set units, and drilling operations shall begin on each adjacent forty-acre off-sets, to the forty-acre unit receiving royalty payments in lieu of drilling the well in not less than ninety (90) days thereafter.Acts 1939, No. 348, § 1; A.S.A. 1947, § 53-508.