Natural Resources Code
CHAPTER 85. CONSERVATION OF OIL AND GAS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 85.001. Definitions.
(a) In this chapter:
(1) "Commission" means the Railroad Commission of Texas.
(2) "Pool," "common pool," "field," or "common source of
supply" means a common reservoir.
(3) "Pool" means an underground reservoir containing a
connected accumulation of crude petroleum oil, or natural gas,
or both.
(4) "Product" and "product of oil or gas" mean a commodity
or thing made or manufactured from oil or gas and derivatives
or by-products of oil or gas, including refined crude oil,
crude tops, topped crude, processed crude petroleum, residue
from crude petroleum, cracking stock, uncracked fuel oil,
treated crude oil, fuel oil, residuum, gas oil, naphtha,
distillate, gasoline, kerosene, benzine, wash oil, waste oil,
lubricating oil, casinghead gas, casinghead gasoline, blended
gasoline, and blends or mixtures of oil, or gas, or any
derivatives or by-products of them.
(b) "Oil" means crude petroleum oil, crude petroleum, and crude
oil, and "gas" means natural gas. These terms shall not be
construed as referring to substances different from those
referred to in this chapter and other laws as "oil and gas" and
these terms mean the same whether used in this chapter or in
other laws relating to the conservation of oil and gas.
Acts 1977, 65th Leg., p. 2514, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.002. Antitrust and Monopoly Statutes.
(a) The provisions of this chapter that were formerly a part of
Chapter 26, Acts of the 42nd Legislature, 1st Called Session,
1931, as amended, Chapter 2, Acts of the 42nd Legislature, 4th
Called Session, 1932, as amended, and Chapter 76, General Laws,
Acts of the 44th Legislature, Regular Session, 1935, as amended,
do not affect, alter, diminish, change, or modify the antitrust
and monopoly laws of this state and do not directly or indirectly
authorize a violation of the antitrust and monopoly laws of this
state.
(b) It is the legislative intent that no provision of this
chapter that was formerly a part of Chapter 26, Acts of the 42nd
Legislature, 1st Called Session, 1931, as amended, Chapter 2,
Acts of the 42nd Legislature, 4th Called Session, 1932, as
amended, or Chapter 76, General Laws, Acts of the 44th
Legislature, Regular Session, 1935, as amended, shall affect,
alter, diminish, or amend in any manner a provision of the
antitrust and monopoly laws of this state or authorize a
violation of the antitrust and monopoly laws. The legislative
intent expressed in this subsection shall prevail and take
precedence over sections cited in this subsection regardless of
any statement in these sections to the contrary.
(c) If any provision of this chapter that was formerly a part
of Chapter 26, Acts of the 42nd Legislature, 1st Called Session,
1931, as amended, Chapter 2, Acts of the 42nd Legislature, 4th
Called Session, 1932, as amended, or Chapter 76, General Laws,
Acts of the 44th Legislature, Regular Session, 1935, as amended,
is construed by a court of this state in a manner that will
affect, alter, diminish, or modify any provision of the antitrust
and monopoly laws of this state, this provision which is in
conflict is declared null and void rather than the antitrust and
monopoly laws.
Acts 1977, 65th Leg., p. 2515, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
SUBCHAPTER B. ADMINISTRATIVE PROVISIONS
Sec. 85.011. Supervisors, Deputy Supervisors, and Umpires.
The commission shall employ all supervisors, deputy supervisors,
and umpires necessary to carry out the provisions of this chapter
and other related laws and rules and orders of the commission.
Acts 1977, 65th Leg., p. 2515, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.012. Assistants and Clerical Help.
The commission shall employ other assistants and clerical help
necessary to carry out the provisions of this chapter and other
related laws and rules and orders of the commission.
Acts 1977, 65th Leg., p. 2515, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.013. Persons Enforcing Rules and Orders.
A person entrusted with the enforcement of the rules and orders
of the commission shall be a regular employee of the state and
paid by the state. No person other than a regular employee of
the state may be charged with or relied on for the performance of
these duties.
Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
SUBCHAPTER C. PROVISIONS GENERALLY APPLICABLE TO THE
CONSERVATION OF
OIL AND GAS
Sec. 85.041. Acts Prohibited in Violation of Laws, Rules, and Orders.
(a) The purchase, acquisition, or sale, or the transporting,
refining, processing, or handling in any other way, of oil or
gas, produced in whole or in part in violation of any oil or gas
conservation statute of this state or of any rule or order of the
commission under such a statute, is prohibited.
(b) The purchase, acquisition, or sale, or the transporting,
refining, processing, or handling in any other way, of any
product of oil or gas which is derived in whole or in part from
oil or gas or any product of either, which was in whole or part
produced, purchased, acquired, sold, transported, refined,
processed, or handled in any other way, in violation of any oil
or gas conservation statute of this state, or of any rule or
order of the commission under such a statute, is prohibited.
Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.042. Rules and Orders.
(a) The commission may promulgate and enforce rules and orders
necessary to carry into effect the provisions of Section 85.041
of this code and to prevent that section's violation.
(b) When necessary, the commission shall make and enforce rules
either general in their nature or applicable to particular fields
for the prevention of actual waste of oil or operations in the
field dangerous to life or property.
Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.043. Application of Certain Rules and Orders.
If the commission requires a showing that refined products were
manufactured from oil legally produced, the requirement shall be
of uniform application throughout the state; provided that, if
the rule or order is promulgated for the purpose of controlling a
condition in any local area or preventing a violation in any
local area, then on the complaint of a person that the same or
similar conditions exist in some other local area and the
promulgation and enforcement of the rule could be beneficially
applied to that additional area, the commission shall determine
whether or not those conditions do exist, and if it is shown that
they do, the rule or order shall be enlarged to include the
additional area.
Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.044. Exempt Purchases.
The provisions of Sections 85.041 through 85.043 of this code
do not apply to the purchase of products of oil if made by the
ultimate consumer from a retail distributor of the products.
Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.045. Waste Illegal and Prohibited.
The production, storage, or transportation of oil or gas in a
manner, in an amount, or under conditions that constitute waste
is unlawful and is prohibited.
Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.046. Waste.
(a) The term "waste," among other things, specifically
includes:
(1) operation of any oil well or wells with an inefficient
gas-oil ratio and the commission may determine and prescribe by
order the permitted gas-oil ratio for the operation of oil
wells;
(2) drowning with water a stratum or part of a stratum that
is capable of producing oil or gas or both in paying
quantities;
(3) underground waste or loss, however caused and whether or
not the cause of the underground waste or loss is defined in
this section;
(4) permitting any natural gas well to burn wastefully;
(5) creation of unnecessary fire hazards;
(6) physical waste or loss incident to or resulting from
drilling, equipping, locating, spacing, or operating a well or
wells in a manner that reduces or tends to reduce the total
ultimate recovery of oil or gas from any pool;
(7) waste or loss incident to or resulting from the
unnecessary, inefficient, excessive, or improper use of the
reservoir energy, including the gas energy or water drive, in
any well or pool; however, it is not the intent of this section
or the provisions of this chapter that were formerly a part of
Chapter 26, Acts of the 42nd Legislature, 1st Called Session,
1931, as amended, to require repressuring of an oil pool or to
require that the separately owned properties in any pool be
unitized under one management, control, or ownership;
(8) surface waste or surface loss, including the temporary
or permanent storage of oil or the placing of any product of
oil in open pits or earthen storage, and other forms of surface
waste or surface loss including unnecessary or excessive
surface losses, or destruction without beneficial use, either
of oil or gas;
(9) escape of gas into the open air in excess of the amount
necessary in the efficient drilling or operation of the well
from a well producing both oil and gas;
(10) production of oil in excess of transportation or market
facilities or reasonable market demand, and the commission may
determine when excess production exists or is imminent and
ascertain the reasonable market demand; and
(11) surface or subsurface waste of hydrocarbons, including
the physical or economic waste or loss of hydrocarbons in the
creation, operation, maintenance, or abandonment of an
underground hydrocarbon storage facility.
(b) Notwithstanding the provisions contained in this section or
elsewhere in this code or in other statutes or laws, the
commission may permit production by commingling oil or gas or oil
and gas from multiple stratigraphic or lenticular accumulations
of oil or gas or oil and gas where the commission, after notice
and opportunity for hearing, has found that producing oil or gas
or oil and gas in a commingled state will prevent waste, promote
conservation, or protect correlative rights.
(c) The commission, after notice and opportunity for hearing,
may permit surface commingling of production of oil or gas or oil
and gas from two or more tracts of land producing from the same
reservoir or from one or more tracts of land producing from
different reservoirs if the commission finds that the commingling
will prevent waste, promote conservation, or protect correlative
rights. The commission may permit the commingling regardless of
whether the tracts or commission-designated reservoirs have the
same working or royalty interest ownership. The amount of
production attributable to each tract or commission-designated
reservoir shall be determined in a manner consistent with this
title. The commission has broad discretion in administering this
subsection and shall adopt and enforce rules or orders as
necessary to administer this subsection.
Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1979, 66th Leg., p. 673, ch. 300,
Sec. 1, eff. May 29, 1979; Acts 1981, 67th Leg., p. 3166, ch.
830, Sec. 2, eff. June 17, 1981.
Amended by Acts 1995, 74th Leg., ch. 870, Sec. 1, eff. Sept. 1,
1995; Acts 1995, 74th Leg., ch. 871, Sec. 1, eff. Sept. 1, 1995.
Sec. 85.047. Exclusion From Definition of Waste.
The use of gas produced from an oil well within the permitted
gas-oil ratio for manufacture of natural gasoline shall not be
included in the definition of waste.
Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.048. Authority to Limit Production.
(a) Under the provisions of Subsection (10), Section 85.046 of
this code, the commission shall not restrict the production of
oil from any new field brought into production by exploration
until the total production from that field is 10,000 barrels of
oil a day in the aggregate.
(b) The commission's authority to restrict production from a
new field under other provisions of Section 85.046 of this code
is not limited by this section.
Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.049. Hearing.
(a) On verified complaint of any person interested in the
subject matter that waste of oil or gas is taking place in this
state or is reasonably imminent, or on its own initiative, the
commission, after proper notice, may hold a hearing to determine
whether or not waste is taking place or is reasonably imminent
and if any rule or order should be adopted or if any other action
should be taken to correct, prevent, or lessen the waste.
(b) The hearing shall be held at the time and place determined
by the commission.
Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.050. Procedure at Hearing.
(a) At the hearing, interested parties shall be entitled to be
heard and to introduce evidence and require the attendance of
witnesses.
(b) The production of evidence may be required as provided by
law.
Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.051. Adoption of Rule or Order.
If the commission finds at the hearing that waste is taking
place or is reasonably imminent, it shall adopt a rule or order
in the manner provided by law as it considers reasonably required
to correct, prevent, or lessen the waste.
Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.052. Compliance With Rule or Order.
From and after the promulgation of a rule or order of the
commission, it is the duty of each person affected by the rule or
order to comply with it.
Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.053. Distribution, Proration, and Apportionment of Allowable
Production.
(a) If a rule or order of the commission limits or fixes in a
pool or portion of a pool the production of oil, or the
production of gas from wells producing gas only, the commission
shall distribute, prorate, or otherwise apportion or allocate the
allowable production among the various producers on a reasonable
basis.
(b) When, as provided in Subsection (b) of Section 85.046 or
Subsection (b) of Section 86.012 of this code, as amended, the
commission has permitted production by commingling oil or gas or
oil and gas from multiple stratigraphic or lenticular
accumulations of oil or gas or oil and gas, the commission may
distribute, prorate, apportion, or allocate the production of
such commingled separate multiple stratigraphic or lenticular
accumulations of oil or gas or oil and gas as if they were a
single pool; provided, however, that:
(i) such commingling shall not cause the allocation of
allowable production from a well producing from any separate
accumulation or accumulations to be less than that which would
result from the commission applying the provisions of Section
86.095 of this code to such accumulation or accumulations; and
(ii) the allocation of the allowable for such commingled
production shall be based on not less than two factors which
the Railroad Commission shall take into account as directed by
Section 86.089 of this code.
Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 2578, ch.
688, Sec. 1, eff. June 16, 1981.
Amended by Acts 1995, 74th Leg., ch. 435, Sec. 1, eff. Aug. 28,
1995.
Sec. 85.054. Allowable Production of Oil.
(a) To prevent unreasonable discrimination in favor of one pool
as against another, and on written complaint and proof of such
discrimination, the commission may allocate or apportion the
allowable production of oil on a fair and reasonable basis among
the various pools in the state.
(b) In allocating or ascertaining the reasonable market demand
for the entire state, the reasonable market demand of one pool
shall not be discriminated against in favor of another pool.
(c) The commission shall determine the reasonable market demand
of the respective pool as the basis for determining the
allotments to be assigned to the respective pool so that
discrimination may be prevented.
Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.055. Allowable Production of Gas.
(a) If full production from wells producing gas only from a
common source of supply of gas in this state is in excess of the
reasonable market demand, the commission shall inquire into the
production and reasonable market demand for the gas and shall
determine the allowable production from the common source of
supply.
(b) The allowable production from a common source of supply is
that portion of the reasonable market demand that can be produced
without waste.
(c) The commission shall allocate, distribute, or apportion the
allowable production from the common source of supply among the
various producers on a reasonable basis and shall limit the
production of each producer to the amount allocated or
apportioned to the producer.
(d) When, as provided in Subsection (b) of Section 85.046 or
Subsection (b) of Section 86.012 of this code, as amended, the
commission has permitted production by commingling oil or gas or
oil and gas from multiple stratigraphic or lenticular
accumulations of oil or gas or oil and gas, the commission may
allocate, distribute, or apportion the production of such
commingled separate multiple stratigraphic or lenticular
accumulations of oil or gas or oil and gas as if they were a
single common source of supply; provided, however, that:
(i) such commingling shall not cause the allocation of
allowable production from a well producing from any separate
accumulation or accumulations to be less than that which would
result from the commission applying the provisions of Section
86.095 of this code to such accumulation or accumulations; and
(ii) the allocation of the allowable for such commingled
production shall be based on not less than two factors which
the Railroad Commission shall take into account as directed by
Section 86.089 of this code.
Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 2579, ch.
688, Sec. 2, eff. June 16, 1981.
Amended by Acts 1995, 74th Leg., ch. 435, Sec. 2, eff. Aug. 28,
1995.
Sec. 85.056. Public Interest.
In the administration of the provisions of this chapter that
were formerly a part of Chapter 2, Acts of the 42nd Legislature,
4th Called Session, 1932, as amended, the commission shall take
into consideration and protect the rights and interests of the
purchasing and consuming public in oil and all its products, such
as gasoline and lubricating oil.
Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.057. Restriction on Unexplored Territory.
The provisions of this chapter that were formerly a part of
Chapter 2, Acts of the 42nd Legislature, 4th Called Session,
1932, as amended, shall not be construed to grant the commission
any authority to restrict or in any manner limit the drilling of
wells to explore for oil or gas or both in territory that is not
known to produce either oil or gas.
Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.058. Commission Inquiry and Determination.
From time to time, the commission shall inquire into the
production, storage, transportation, refining, reclaiming,
treating, marketing, and processing of oil and gas, and the
reasonable market demand for oil and gas, so that it may
determine whether or not waste exists or is imminent or whether
the oil and gas conservation laws of this state or the rules and
orders of the commission promulgated under those laws are being
violated.
Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.059. Records.
Each person who produces, stores, transports, refines,
reclaims, treats, markets, or processes oil or gas or the
products of either shall keep in this state accurate records of
the amount of oil or gas which such person produced, stored,
transported, refined, reclaimed, treated, marketed, or processed
and of the source from which the person produced, obtained, or
received the oil or gas or the products of either and the
disposition made of them.
Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.060. Sworn Statements and Reports.
The commission may require a person who produces, stores,
transports, refines, reclaims, treats, markets, or processes oil
or gas or the products of either to make and file with the
commission sworn statements or reports as to facts within his
knowledge or possession pertaining to the reasonable market
demand for oil and to the production, storage, transportation,
refining, reclaiming, treating, marketing, or processing of oil
or gas and the products of either. The report shall include
those facts enumerated in Section 85.059 of this code.
Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.061. Inspection and Gauging.
The commission may require any well, lease, refinery, plant,
tank or storage, pipeline, or gathering line that belongs to or
is under the control of a person who produces, stores,
transports, refines, reclaims, treats, markets, or processes oil
or gas or the products of either to be inspected or gauged by the
agents of the commission whenever and as often as and for such
periods as the commission considers necessary.
Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.062. Examination of Books and Records.
The commission and its agents and the attorney general and his
assistants and representatives may examine the books and records
of a person who produces, stores, transports, refines, reclaims,
treats, markets, or processes oil or gas or the products of
either as often as considered necessary for the purpose of
determining the facts concerning matters covered by Sections
85.058 through 85.061 of this code.
Acts 1977, 65th Leg., p. 2520, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.063. Violations by Corporations.
(a) The failure of a corporation chartered under the laws of
this state to comply with the provisions of Sections 85.059
through 85.062 of this code and to keep the records required by
Section 85.059 of this code in this state or the refusal to
permit officers designated in Section 85.062 of this code to
inspect and examine the records required by Section 85.059 of
this code shall constitute grounds for forfeiture of the
corporation's charter rights and privileges and dissolution of
its corporate existence.
(b) The failure of a foreign corporation to comply with the
provisions of Sections 85.059 through 85.062 of this code and to
keep the records required by Section 85.059 of this code in this
state or the refusal to permit officers designated in Section
85.062 of this code to inspect and examine the records required
by Section 85.059 of this code shall be grounds for enjoining and
forever prohibiting such corporation from doing business in this
state.
Acts 1977, 65th Leg., p. 2520, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.064. Action Against Corporation.
(a) If he determines that the public interest requires it, the
attorney general shall institute suit or other appropriate action
in Travis County for forfeiture of charter rights of a domestic
corporation or to enjoin a foreign corporation from doing
business in this state when a corporation is deemed guilty of
violating the provisions of Sections 85.059 through 85.062 of
this code. The attorney general may take this action on his own
motion and without leave or order of any judge or court.
(b) On judgment against a defendant for violating the
provisions of Sections 85.059 through 85.062 of this code, the
court may, if in its judgment the public interest requires it,
forfeit the charter rights of a defendant domestic corporation or
enjoin a defendant foreign corporation from doing business in
this state.
Acts 1977, 65th Leg., p. 2520, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
SUBCHAPTER D. MARGINAL WELLS
Sec. 85.121. Definitions.
(a) In this subchapter, "marginal well" means an oil well that is
incapable of producing its maximum capacity of oil except by
pumping, gas lift, or other means of artificial lift, and which
well so equipped is capable, under normal unrestricted operating
conditions, of producing such daily quantities of oil, as
provided in this subchapter, that would be damaged, or result in
a loss of production ultimately recoverable, or cause the
premature abandonment of the well, if its maximum daily
production were artificially curtailed.
(b) As used in Subsection (a), Section 85.121 and Section 85.122
of this code, "gas lift" means gas lift by the use of gas not in
solution with oil produced.
Acts 1977, 65th Leg., p. 2520, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.122. Wells Considered as Marginal Wells.
Wells that are considered marginal wells include any oil well
in this state that is incapable of producing its maximum daily
capacity of oil except by pumping, gas lift, or other means of
artificial lift and having:
(1) when producing from a depth of 2,000 feet or less, a
maximum daily capacity for production of 10 barrels or less,
averaged over the preceding 10 consecutive days of stabilized
production;
(2) when producing from a horizon deeper than 2,000 feet and
less in depth than 4,000 feet, a maximum daily capacity for
production of 20 barrels or less, averaged over the preceding
10 consecutive days of stabilized production;
(3) when producing from a horizon deeper than 4,000 feet and
less in depth than 6,000 feet, a maximum daily capacity for
production of 25 barrels or less, averaged over the preceding
10 consecutive days of stabilized production;
(4) when producing from a horizon deeper than 6,000 feet and
less in depth than 8,000 feet, a maximum daily capacity for
production of 30 barrels or less, averaged over the preceding
10 consecutive days of stabilized production; or
(5) when producing from a horizon deeper than 8,000 feet, a
maximum daily capacity for production of 35 barrels or less,
averaged over the preceding 10 consecutive days of stabilized
production.
Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 325, ch. 73,
Sec. 1, eff. May 3, 1983.
Sec. 85.123. Curtailment of Marginal Well Production as Waste.
To artificially curtail the production of a marginal well below
the marginal limit as set out in Sections 85.121 through 85.122
of this code before the marginal well's ultimate plugging and
abandonment is declared to be waste.
Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.124. Rules and Orders Restricting Marginal Wells.
No rule or order of the commission or of any other constituted
legal authority shall be adopted requiring the restriction of the
production of a marginal well.
Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.125. Effect of Other Subchapters.
None of the provisions of this chapter that were formerly a
part of Chapter 26, Acts of the 42nd Legislature, 1st Called
Session, 1931, as amended, Chapter 2, Acts of the 42nd
Legislature, 4th Called Session, 1932, as amended, or Chapter 76,
General Laws, Acts of the 44th Legislature, Regular Session,
1935, as amended, authorize or may be construed to limit, modify,
or repeal the provisions of this subchapter.
Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
SUBCHAPTER E. CERTIFICATE OF COMPLIANCE
Sec. 85.161. Well Owners and Operators Certificates.
The owner or operator of an oil or gas well, before connecting
with any oil or gas pipeline, shall secure from the commission a
certificate showing compliance with the oil or gas conservation
laws of the state and conservation rules and orders of the
commission.
Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.162. Prohibited Connection.
No operator of a pipeline or other carrier shall connect with
any oil or gas well until the owner or operator of the well
furnishes a certificate from the commission that the owner or
operator has complied with the conservation laws of this state
and the rules and orders of the commission.
Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.163. Temporary Connection.
The provisions of this subchapter do not prevent a temporary
connection with a well in order to take care of production and
prevent waste until opportunity shall have been given the owner
or operator of the well to secure the certificate.
Acts 1977, 65th Leg., p. 2522, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.164. Cancellation of Certificate.
The commission may cancel any certificate of compliance issued
under the provisions of this subchapter if it appears that the
owner or operator of a well covered by the provisions of the
certificate, in the operation of the well or the production of
oil or gas from the well, has violated or is violating the oil
and gas conservation laws of this state or rules or orders of the
commission adopted under those laws. Before canceling a
certificate of compliance, the commission shall give notice to
the owner or operator by personal service or by registered or
certified mail of the facts or conduct alleged to warrant the
cancellation and shall give the owner or operator an opportunity
to show compliance with all requirements of law for retention of
the certificate as required by Section 2001.054, Government Code.
Acts 1977, 65th Leg., p. 2522, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1991, 72nd Leg., ch. 603, Sec. 3,
eff. Sept. 1, 1991.
Amended by Acts 1995, 74th Leg., ch. 76, Sec. 5.95(69), eff.
Sept. 1, 1995.
Sec. 85.165. Effect of Cancellation on Operator of Pipeline or Other
Carrier.
(a) On notice from the commission to the operator of a pipeline
or other carrier connected to an oil or gas well that the
certificate of compliance pertaining to that well has been
cancelled, the operator of the pipeline or other carrier shall
disconnect from the well.
(b) It shall be unlawful for the operator of a pipeline or
other carrier to transport oil from the well until a new
certificate of compliance has been issued by the commission.
Acts 1977, 65th Leg., p. 2522, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.166. Effect of Cancellation on Owner or Operator of Well.
On notice from the commission that a certificate of compliance
for an oil or gas well has been cancelled, it shall be unlawful
for the owner or operator of the well to produce oil or gas from
the well until a new certificate of compliance covering the well
has been issued by the commission.
Acts 1977, 65th Leg., p. 2522, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.167. Fee for Reissued Certificate.
(a) If a certificate of compliance has been canceled, the
commission may not issue a new certificate of compliance until
the owner or operator submits to the commission a nonrefundable
fee of $100.
(b) Fees collected under this section shall be deposited to the
oil-field cleanup fund.
Added by Acts 1991, 72nd Leg., ch. 603, Sec. 4, eff. Sept. 1,
1991.
SUBCHAPTER F. RULES AND ORDERS OF THE COMMISSION
Sec. 85.201. Adoption of Rules and Orders.
The commission shall make and enforce rules and orders for the
conservation of oil and gas and prevention of waste of oil and
gas.
Acts 1977, 65th Leg., p. 2522, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.202. Purposes of Rules and Orders.
(a) The rules and orders of the commission shall include rules
and orders:
(1) to prevent waste, as defined in Section 85.046 of this
code, of oil and gas in drilling and producing operations and
in the storage, piping, and distribution of oil and gas;
(2) to require dry or abandoned wells to be plugged in a
manner that will confine oil, gas, and water in the strata in
which they are found and prevent them from escaping into other
strata;
(3) for the drilling of wells and preserving a record of the
drilling of wells;
(4) to require wells to be drilled and operated in a manner
that will prevent injury to adjoining property;
(5) to prevent oil and gas and water from escaping from the
strata in which they are found into other strata;
(6) to provide rules for shooting wells and for separating
oil from gas;
(7) to require records to be kept and reports made; and
(8) to provide for issuance of permits, tenders, and other
evidences of permission when the issuance of the permits,
tenders, or permission is necessary or incident to the
enforcement of the commission's rules or orders for the
prevention of waste.
(b) The commission shall do all things necessary for the
conservation of oil and gas and prevention of waste of oil and
gas and may adopt other rules and orders as may be necessary for
those purposes.
Acts 1977, 65th Leg., p. 2522, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.2021. Drilling Permit Fee.
(a) With each application or materially amended application for
a permit to drill, deepen, plug back, or reenter a well, the
applicant shall submit to the commission a nonrefundable fee of:
(1) $100 if the total depth of the well is 2,000 feet or
less;
(2) $125 if the total depth of the well is greater than
2,000 feet but less than or equal to 4,000 feet;
(3) $150 if the total depth of the well is greater than
4,000 feet but less than or equal to 9,000 feet;
(4) $200 if the total depth of the well is greater than
9,000 feet.
(b) An applicant shall submit an additional nonrefundable fee
of $50 when requesting that the commission expedite the
application for a permit to drill, deepen, plug back, or reenter
a well.
(c) With each application for an extension of time to plug a
well pursuant to commission rules, an applicant shall submit to
the commission a nonrefundable fee of $100, unless the applicant
has filed a bond under Section 91.1041 or Section 91.1042 of this
code.
(d) All fees collected under this section shall be deposited in
the state oil-field cleanup fund except that fees to expedite a
drilling permit application shall be deposited in the general
revenue fund.
Added by Acts 1983, 68th Leg., p. 5260, ch. 967, Sec. 7, eff.
Sept. 1, 1983. Amended by Acts 1985, 69th Leg., ch. 239, Sec.
74, eff. Sept. 1, 1985; Acts 1991, 72nd Leg., ch. 603, Sec. 5,
eff. Sept. 1, 1991.
Sec. 85.203. Considerations in Adopting Rules and Orders to Prevent Waste.
The commission may consider any or all of the definitions of
waste stated in Section 85.046 of this code, whenever the facts,
circumstances, or conditions make them applicable, in adopting
rules or orders to prevent waste of oil or gas.
Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.204. Prohibited Rules and Orders.
The commission is not authorized to adopt a rule or order or to
make a determination or holding that any mode, manner, or process
of refining oil constitutes waste.
Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.205. Notice and Hearing.
No rule or order pertaining to the conservation of oil and gas
or to the prevention of waste of oil and gas may be adopted by
the commission except after notice and hearing as provided by
law.
Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.206. Emergency Order.
(a) If the commission finds an emergency to exist, that in the
commission's judgment requires the adoption of an order without
giving notice or holding a hearing, the emergency order may be
adopted and shall be valid as though notice had been given and a
hearing held.
(b) The emergency order shall remain in force no longer than 15
days from its effective date.
(c) The emergency order shall expire, in any event, at the time
an order relating to the same subject matter and adopted after
proper notice and hearing becomes effective.
Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.207. Effect of Amendment, Repeal, or Expiration of a Rule or
Order.
The amendment, repeal, or expiration of a rule or order of the
commission adopted under the provisions of this chapter that were
formerly a part of Chapter 76, General Laws, Acts of the 44th
Legislature, Regular Session, 1935, as amended, or the provisions
of Title 102, Revised Civil Statutes of Texas, 1925, as amended,
including provisions of this code formerly included in that
title, shall not have the effect of releasing or discharging from
liability, penalty, or forfeiture any person violating the rule
or order before the effective date of the amendment, repeal, or
expiration. Prosecutions and suits for these violations,
liabilities, penalties, and forfeitures shall be instituted and
proceeded with in all respects as if the rule or order had not
been amended or repealed, or had not expired.
Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
SUBCHAPTER G. SUITS CHALLENGING THE VALIDITY OF LAWS AND ORDERS
Sec. 85.241. Suits by Interested Persons.
Any interested person who is affected by the conservation laws of
this state or orders of the commission relating to oil or gas and
the waste of oil or gas, and who is dissatisfied with any of
these laws or orders, may file suit against the commission or its
members in a court of competent jurisdiction in Travis County to
test the validity of the law or order.
Acts 1977, 65th Leg., p. 2524, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.242. Expeditious Trial.
A suit brought under Section 85.241 of this code shall be
advanced for trial and shall be determined as expeditiously as
possible. No postponement or continuance shall be granted except
for reasons considered imperative by the court.
Acts 1977, 65th Leg., p. 2524, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.243. Burden of Proof.
In the trial of a suit brought under Section 85.241 of this
code, the burden of proof shall be on the party complaining of
the law or order, and the law or order is deemed prima facie
valid.
Acts 1977, 65th Leg., p. 2524, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.244. Conditions for Injunctive Relief.
No temporary restraining order, temporary or permanent
injunction, or other form of injunctive relief may be granted
against the commission, its members, agents, and representatives
to restrain it or them from enforcing any rule or order adopted
by the commission under the oil and gas conservation laws of this
state or from enforcing any of these laws unless notice is given
to the commission and a hearing is held as provided in this
subchapter.
Acts 1977, 65th Leg., p. 2524, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.245. Notice to Commission.
(a) At the time a petition or application is filed requesting a
temporary restraining order or any form of temporary injunctive
relief, the clerk of the court in which the petition or
application is filed shall issue notice in writing to the
commission.
(b) The notice shall include:
(1) the docket number;
(2) the style of the case; and
(3) a brief statement of the nature of the suit.
(c) The notice shall be served on the commission in Travis
County by delivering a copy of the citation to the commission, a
member of the commission, or the secretary of the commission for
the service of other citations.
(d) Five days after the citation has been served a hearing may
be held on the petition or application.
Acts 1977, 65th Leg., p. 2524, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.246. Intervention in Suit.
In the discretion of the court, any person who is interested in
the subject matter of the suit may intervene.
Acts 1977, 65th Leg., p. 2524, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.247. Rules and Orders Prima Facie Valid.
The rule or order complained of in the suit is prima facie
valid, and the use and introduction of the verified petition of
the plaintiff shall not be sufficient to overcome the prima facie
validity of the rule or order or to authorize the court to grant
any injunctive relief against the enforcement of the rule or
order.
Acts 1977, 65th Leg., p. 2524, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.248. Bond.
Before an order granting injunctive relief against an oil and
gas conservation law, rule, or order of the commission becomes
effective, the plaintiff shall be required by the court to
execute a bond with good and sufficient sureties in a reasonably
sufficient amount determined by the court to indemnify any
persons whom the court may find from the facts proven will suffer
damage as a result of the violation of the law, rule, or order in
question. The persons shall be named in the order of the judge
at the time the amount of the bond is fixed by the court and
entered in the record.
Acts 1977, 65th Leg., p. 2525, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.249. Conditions of Bond.
(a) In determining the amount of the bond, the judge shall
consider all facts and circumstances surrounding the parties and
the ability of the plaintiff to make the bond so that the judge
can determine the amount and reasonableness of the bond under the
facts and circumstances.
(b) A bond made or executed by a bonding or surety company
shall be by a company authorized to do business in Texas.
(c) The bond shall be approved by the judge and shall be for
the use and benefit of and may be sued on by any person named in
the order who suffers damage as a result of violation of the law,
rule, or order.
Acts 1977, 65th Leg., p. 2525, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.250. Changing Amount, Parties, and Sureties.
On a motion and for good cause shown, and after notice to the
parties, the court periodically may:
(1) increase or decrease the amount of the bond;
(2) add new beneficiaries; and
(3) require new and additional sureties that the facts may
justify.
Acts 1977, 65th Leg., p. 2525, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.251. Suits on Bonds.
A suit on a bond must be instituted within six months from the
date of the final determination of the validity in whole or in
part of the rule or order.
Acts 1977, 65th Leg., p. 2525, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.252. Inadmissible Evidence.
A finding by the court that any party is likely to suffer
damage is not admissible as evidence of damages in a suit on the
bond.
Acts 1977, 65th Leg., p. 2525. ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.253. Appeal.
After notice and hearing on an application for injunctive
relief, either party to the suit is entitled to appeal the
judgment or order granting or refusing the temporary restraining
order, temporary or permanent injunction, or other form of
injunctive relief or granting or overruling a motion to dissolve
the temporary restraining order, temporary or permanent
injunction, or other form of injunctive relief.
Acts 1977, 65th Leg., p. 2525, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.254. Appeal Has Precedence.
The appeal is returnable at once to the appellate court and the
action appealed shall have precedence in the appellate court over
all cases, proceedings, and causes of a different character that
are pending.
Acts 1977, 65th Leg., p. 2525, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.255. Early Decision by Court of Appeals.
The court of appeals shall decide the question in the appeal at
as early a date as possible.
Acts 1977, 65th Leg., p. 2526, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 800, ch. 291,
Sec. 92, eff. Sept. 1, 1981.
Sec. 85.256. Appeal Procedures.
The provisions and requirements of Article 4662, Revised Civil
Statutes of Texas, 1925, as amended, and Rule 385 of the Texas
Rules of Civil Procedure, as amended, relating to temporary
injunctions, apply to appeals from any order granting or refusing
a temporary restraining order, or granting or overruling a motion
to dissolve a temporary restraining order under the provisions of
this subchapter.
Acts 1977, 65th Leg., p. 2526, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.257. Certified Questions and Writs of Error.
(a) If a question is certified or writ of error requested or
granted to the supreme court, the supreme court shall set the
cause for hearing immediately and shall decide the cause at as
early a date as possible.
(b) The cause shall have precedence over all other causes,
proceedings, and causes of a different character in the court.
Acts 1977, 65th Leg., p. 2526, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.258. Authority of Court of Appeals to Issue Writs.
The court of appeals and its judges have the jurisdiction to
issue writs of prohibition, mandamus, and injunction to prevent
the enforcement of any order or judgment of a trial court or
judge who grants any type of injunctive relief without notice and
hearing in violation of the requirements of Sections 85.244 and
85.245 of this code.
Acts 1977, 65th Leg., p. 2526, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 800, ch. 291,
Sec. 93, eff. Sept. 1, 1981.
Sec. 85.259. Issuance of Writs by Court of Appeals.
If it appears that the provisions of Sections 85.244 and 85.245
of this code have not been complied with, then on proper
application from the commission to the court of appeals having
jurisdiction, the court shall issue instanter the necessary writs
of prohibition, mandamus, or injunction to prohibit and restrain
the trial judge from enforcing or attempting to enforce the
provisions of the injunction issued by him and to prohibit and
restrain the party or parties in whose favor the order is entered
from acting or attempting to act under the protection of the
order or from violating the law, rule, or order of the commission
attacked.
Acts 1977, 65th Leg., p. 2526, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 800, ch. 291,
Sec. 94, eff. Sept. 1, 1981.
SUBCHAPTER H. RECEIVERSHIP
Sec. 85.291. Request for Receiver.
If a rule or order of the commission has been finally adjudicated
to be valid in whole or part in a suit to which the commission is
a party, and if after that time a party to the suit or other
proceedings in which the rule or order was declared valid
violates the rule, order, or judgment or shall thereafter use or
permit to be used any property owned or controlled by him in
violation of the rule, order, or judgment, the commission shall
make application to the judge of the trial court setting out the
rule, order, or judgment and stating that the party subsequent to
the date of the judgment violated or is violating the rule,
order, or judgment and requesting that a receiver be appointed as
provided in this subchapter.
Acts 1977, 65th Leg., p. 2526, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.292. Appointment of Receiver and Bond.
After an application is submitted as provided in Section 85.291
of this code, the judge of the trial court, after notice and
hearing, may appoint a receiver of the property involved or used
in violation of the rule, order, or judgment and shall set a
proper bond for the receiver.
Acts 1977, 65th Leg., p. 2527, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.293. Duties of Receiver.
As soon as the receiver is qualified, he shall take possession
of the property and shall perform his duties as receiver of the
property under the orders of the court, strictly observing the
rule, order, or judgment.
Acts 1977, 65th Leg., p. 2527, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.294. Dissolution of Receivership.
A party whose property is placed in receivership may move to
dissolve the receivership and to discharge the receiver on the
terms the court may prescribe.
Acts 1977, 65th Leg., p. 2527, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
SUBCHAPTER I. DAMAGES
Sec. 85.321. Suit for Damages.
A party who owns an interest in property or production that may
be damaged by another party violating the provisions of this
chapter that were formerly a part of Chapter 26, Acts of the 42nd
Legislature, 1st Called Session, 1931, as amended, or another law
of this state prohibiting waste or a valid rule or order of the
commission may sue for and recover damages and have any other
relief to which he may be entitled at law or in equity.
Provided, however, that in any action brought under this section
or otherwise, alleging waste to have been caused by an act or
omission of a lease owner or operator, it shall be a defense that
the lease owner or operator was acting as a reasonably prudent
operator would act under the same or similar facts and
circumstances.
Acts 1977, 65th Leg., p. 2527, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1987, 70th Leg., ch. 1071, Sec.
1, eff. Aug. 31, 1987.
Sec. 85.322. Proceedings Not to Impair Suit for Damages.
None of the provisions of this chapter that were formerly a
part of Chapter 26, Acts of the 42nd Legislature, 1st Called
Session, 1931, as amended, no suit by or against the commission,
and no penalties imposed on or claimed against any party
violating a law, rule, or order of the commission shall impair or
abridge or delay a cause of action for damages or other relief
that an owner of land or a producer of oil or gas, or any other
party at interest, may have or assert against any party violating
any rule or order of the commission or any judgment under this
chapter.
Acts 1977, 65th Leg., p. 2527, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
SUBCHAPTER J. INJUNCTIONS
Sec. 85.351. Suit for Injunction.
(a) If it appears that a person is violating or threatening to
violate the provisions of this chapter that were formerly a part
of Chapter 76, General Laws, Acts of the 44th Legislature,
Regular Session, 1935, as amended, or Title 102, Revised Civil
Statutes of Texas, 1925, as amended, including provisions of this
code formerly included in that title, or any rule or order of the
commission adopted under those laws, the commission, through the
attorney general, shall bring suit in the name of the state to
restrain the violation or threatened violation.
(b) The suit shall be brought against the person violating or
threatening to violate the law, rule, or order in a court of
competent jurisdiction in Travis County, in the county in which
the violation occurred, or in the county of residence of any
defendant.
Acts 1977, 65th Leg., p. 2527, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 5255, ch.
967, Sec. 2, eff. Sept. 1, 1983.
Sec. 85.352. Types of Court Orders.
In the suit, the commission in the name of the state may obtain
prohibitory and mandatory injunctions, including temporary
restraining orders and temporary injunctions, that the facts may
warrant.
Acts 1977, 65th Leg., p. 2528, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.353. Appointment of Receiver.
(a) The violation by a person of any injunction granted under
the provisions of this subchapter shall be sufficient grounds for
appointment by the court of a receiver to take charge of the
person's property and to exercise authority that in the judgment
of the court is necessary to bring about compliance with the
injunction. The court may appoint the receiver either on its own
motion or on motion of the commission in the name of the state.
(b) No receiver may be appointed until after notice is given
and a hearing is held.
(c) The authority to appoint a receiver is in addition to and
cumulative of the authority to punish for contempt.
Acts 1977, 65th Leg., p. 2528, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
SUBCHAPTER K. PENALTIES, IMPRISONMENT, AND CONFINEMENT
Sec. 85.381. Penalty for Violation of Laws, Rules, and Orders.
(a) In addition to being subject to any forfeiture provided by
law and to any penalty imposed by the commission for contempt for
violation of its rules or orders, any person who violates the
provisions of Sections 85.045 and 85.046 of this code, Title 102,
Revised Civil Statutes of Texas, 1925, as amended, including
provisions of this code formerly included in that title, or any
rule or order of the commission promulgated under those laws is
subject to a penalty of not more than:
(1) $10,000 when the provision, rule, or order pertains to safety
or the prevention or control of pollution; or
(2) $1,000 when the provision, rule, or order does not pertain to
safety or the prevention or control of pollution.
(b) The applicable maximum penalty may be assessed for each and
every day of violation and for each and every act of violation.
Acts 1977, 65th Leg., p. 2528, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 5251, ch.
967, Sec. 1, eff. Sept. 1, 1983.
Sec. 85.382. Venue.
The penalty provided in Section 85.381 of this code shall be
recovered in a court of competent jurisdiction in Travis County,
in the county in which the violation occurred, or in the county
of the residence of any defendant.
Acts 1977, 65th Leg., p. 2528, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 5251, ch.
967, Sec. 1, eff. Sept. 1, 1983.
Sec. 85.383. Suit.
By direction of the commission, the suit to recover the penalty
shall be instituted and conducted in the name of the state by the
attorney general or by the county or district attorney in the
county in which the suit is brought.
Acts 1977, 65th Leg., p. 2528, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.384. Effect of Recovery or Payment of Penalty.
The recovery or payment of the penalty shall not authorize the
violation of any provision of Section 85.045 or 85.046 of this
code, Title 102, Revised Civil Statutes of Texas, 1925, as
amended, including provisions of this code formerly included in
that title, or any rule or order of the commission adopted under
those laws.
Acts 1977, 65th Leg., p. 2528, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.385. Persons Aiding or Abetting Violation.
Any person who aids or abets any other person in violating
Section 85.045 or 85.046 of this code, Title 102, Revised Civil
Statutes of Texas, 1925, as amended, including provisions of this
code formerly included in that title, or any rule or order
adopted by the commission under those laws is subject to the same
penalties as provided in Section 85.381 of this code.
Acts 1977, 65th Leg., p. 2529, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.386. Forging Names on Permits and Tenders.
A person shall be imprisoned in the penitentiary for not less
than two nor more than five years if he:
(1) forges the name of an agent, officer, or employee of the
commission to a permit or tender of the commission relating to
oil or gas or any product or by-product of oil or gas;
(2) forges the name of any person to such a tender or
permit; or
(3) knowingly uses a forged instrument to induce another to
handle or transport oil or gas or any product or by-product of
oil or gas.
Acts 1977, 65th Leg., p. 2529, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.387. Procuring Tenders and Permits.
A person shall be imprisoned in the penitentiary for not less
than two nor more than five years if he:
(1) knowingly procures or causes an agent, officer, or
employee of the commission to approve or issue a permit or
tender of the commission relating to oil or gas or any product
or by-product of oil or gas that includes a statement or
representation that is false and that materially misrepresents
the true facts respecting the oil or gas or any product or
by-product of either; or
(2) procures or causes an agent, officer, or employee of the
commission to issue to him a permit or tender relating to oil
or gas or any product or by-product of either with the intent
to defraud.
Acts 1977, 65th Leg., p. 2529, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.388. Possessing a Forged Permit or Tender.
Any person who knowingly has in his possession a forged tender
or permit of the commission relating to oil or gas or any product
or by-product of oil or gas for the purpose of transporting,
handling, or selling oil or gas shall be guilty of a misdemeanor
and on conviction shall be fined not less than $25 nor more than
$1,000 or shall be confined in the county jail for not less than
30 days nor more than one year, or both.
Acts 1977, 65th Leg., p. 2529, ch. 871, art. I, Sec. 1, eff.
Sept. 1, 1977.
Sec. 85.389. Criminal Penalty.
(a) A person who is not the owner or operator of an oil well,
gas well, or oil and gas well, a purchaser under contract of oil,
gas, or oil and gas from a well, a gatherer with written
authorization from the owner, operator, or purchaser, or an
authorized representative of the commission who knowingly
destroys, breaks, removes, or otherwise tampers with or attempts
to destroy, break, remove, or otherwise tamper with any cap,
seal, or other device placed on an oil well, gas well, oil and
gas well, or associated oil or gas gathering equipment by the
owner or operator for the purpose of controlling or limiting the
operation of the well or associated equipment commits an offense.
(b) An offense under this section is a felony of the third
degree.
Added by Acts 1983, 68th Leg., p. 5230, ch. 960, Sec. 1, eff.
Sept. 1, 1983