36.22.702    SPACING OF WELLS

In proven oil and gas fields, the spacing of wells as well as the establishment of spacing units will be governed by special field rules for the particular field to be adopted after notice and hearing. In the absence of special field rules, the following rules shall govern:

(1) Unless a special exception is granted after notice and hearing, no stratigraphic test or core hole or wildcat or exploratory well with a projected depth of 6,000 feet or less shall be located closer than 330 feet to any legal subdivision line, except that a 75 foot tolerance to move closer to the quarter-quarter section lines will be allowed in extremely rough terrain where it is impractical to move in any other direction, but only after inspection of the location by a representative of the board and subsequent approval by the petroleum engineer or his authorized agent.

(2) A legal subdivision is hereby defined by the board as being a regular governmental quarter-quarter section or governmental lot corresponding thereto, consisting of 40 acres more or less.

(3) No stratigraphic test or core hole or wildcat or exploratory well with a projected depth between 6,000 feet and 11,000 feet shall be located closer than 660 feet to any governmental quarter section line, except that a 150-foot tolerance to move closer to the quarter section lines will be allowed in extremely rough terrain where it is impractical to move in any other direction, but only after inspection of the location by a representative of the board and subsequent approval by the petroleum engineer or his authorized agent.

(4) Before any stratigraphic test or core hole or wildcat or exploratory well with a projected depth greater than 11,000 feet may be commenced, two contiguous governmental quarter sections (which may lie in either one or two governmental sections) shall be designated as the 320-acre drilling unit for such well. Such designation shall be made by the operator or operators of the two governmental quarter sections described in the designation, and the designation shall be subject to administrative approval by the board.

(5) A stratigraphic test or core hole or wildcat or exploratory well with a projected depth greater than 11,000 feet shall be located no closer than 660 feet to any governmental quarter section line which is an exterior boundary of a 320-acre drilling unit and only one well shall be permitted to produce from the same reservoir within the same 320-acre drilling unit.

(6) A 320-acre drilling unit is defined by the board as two contiguous regular governmental quarter sections or a number of lots that approximate two contiguous quarter sections and consisting of 320 acres more or less.

(7) Unless a special exception is granted after notice and hearing, no oil well with a projected depth of 6,000 feet or less shall be located closer than 330 feet to any legal subdivision line, and only one well shall be permitted to produce from the same reservoir within the same legal subdivision.

(8) No oil well with a projected depth between 6,000 feet and 11,000 feet shall be located closer than 660 feet to any governmental quarter section line, and only one well shall be permitted to produce from the same reservoir within the same governmental quarter section.

(9) Before the drilling of any oil well with a projected depth greater than 11,000 feet may be commenced, two contiguous governmental quarter sections (which may lie in either one or two governmental sections) shall be designated as the 320-acre drilling unit for such well. Such designation shall be made by the operator or operators of the two governmental quarter sections described in the designation, and the designation shall be subject to administrative approval by the board.

(10) An oil well with a projected depth greater than 11,000 feet shall be located no closer than 660 feet to any governmental section or quarter section line which is an exterior boundary of the 320-acre drilling unit and only one well shall be permitted to produce from the same reservoir within the same 320-acre drilling unit.

(11) Unless a special exception is granted after notice of hearing, no gas well shall be located closer than 990 feet to any governmental section line, and only one well shall be permitted to produce from the same reservoir within the same governmental section.

History: Sec. 82-11-111 MCA; IMP, Sec. 82-11-124 and 82-11-201 MCA; Eff. 12/31/72; AMD, 1982 MAR p. 1398, Eff. 7/16/82.